§ 2112. Barriers to and other distortions of trade

§ 2112. Barriers to and other distortions of trade

(a) Congressional findings; directives; disavowal of prior approval of legislation 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.

(b) Presidential determinations prerequisite to entry into trade agreements; trade with Israel

(1) 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 chapter will be promoted thereby, the President, during the 13-year period beginning on January 3, 1975, 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).

(2)

(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 has been the subject of a challenge by the United States Government under the authority of section 2411 of this title 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) 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 that provides for the elimination or reduction of any duty imposed by the United States.

(4)

(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 2191 of this title shall not apply to an implementing bill (within the meaning of section 2191(b) of this title) 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 or 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 (A)(ii)(I) with respect to the negotiation of such agreement.

(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), when either House of Congress is not in session.

(c) Presidential consultation with Congress prior to entry into trade agreements 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) Submission to Congress of agreements, drafts of implementing bills, and statements of proposed administrative action 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 2191(b) of this title) 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) Steps prerequisite to entry into force of trade agreements 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 together with—

(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 interests 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) Obligations imposed upon foreign countries or instrumentalities receiving benefits under trade agreements 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) Definitions For purposes of this section—

(1) the term “barrier” includes—

(A) the American selling price basis of customs evaluation as defined in section 1401a or 1402 of this title, as appropriate, and

(B) any duty or other import restriction;

(2) the term “distortion” includes a subsidy; and

(3) the term “international trade” includes—

(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.

(Pub. L. 93–618, title I, § 102, Jan. 3, 1975, 88 Stat. 1982; Pub. L. 96–39, title XI, §§ 1101, 1106(c)(1), July 26, 1979, 93 Stat. 307, 311; Pub. L. 98–573, title III, § 307(a), title IV, § 401(a)–(c)(1), Oct. 30, 1984, 98 Stat. 3012, 3013–3015; Pub. L. 99–47, § 8(b)(1), June 11, 1985, 99 Stat. 84; Pub. L. 99–514, title XVIII, § 1887(a)(1), Oct. 22, 1986, 100 Stat. 2923.)

Editorial Notes

References in Text

This chapter, referred to in subsec. (b)(1), was in the original “this Act”, meaning Pub. L. 93–618, Jan. 3, 1975, 88 Stat. 1978, which is classified principally to this chapter. For complete classification of this Act to the Code, see References in Text note set out under section 2101 of this title and Tables.

Section 1402 of this title, referred to in subsec. (g)(1)(A), was repealed by Pub. L. 96–39.

Amendments

1986—Subsec. (b)(4)(B)(ii)(II). Pub. L. 99–514 substituted “subparagraph” for “subsection”.

1985—Subsec. (b)(3). Pub. L. 99–47 inserted “that provides for the elimination or reduction of any duty imposed by the United States” after “such other country”.

1984—Subsec. (b). Pub. L. 98–573, § 401(a), designated existing provisions as par. (1) and added pars. (2) to (4).

Subsec. (g)(1). Pub. L. 98–573, § 401(b), designated existing provisions as subpar. (A) and added subpar. (B).

Subsec. (g)(3). Pub. L. 98–573, § 307(a), designated existing provisions as subpar. (A) and added subpar. (B).

1979—Subsec. (b). Pub. L. 96–39, § 1101, substituted “13-year period” for “5-year period”.

Subsec. (e)(2). Pub. L. 96–39, § 1106(c)(1), substituted “copy of the final legal text of such agreement” for “copy of such agreement”.

Statutory Notes and Related Subsidiaries

Effective Date of 1979 Amendment

Amendment of subsec. (b) of this section by section 1101 of Pub. L. 96–39 effective July 26, 1979, see section 1114 of Pub. L. 96–39, set out as an Effective Date note under section 2581 of this title.

Pub. L. 96–39, title XI, § 1106(c)(1), July 26, 1979, 93 Stat. 311, provided in part that the amendment of subsec. (e)(2) of this section by section 1106(c)(1) of Pub. L. 96–39 shall apply with respect to trade agreements submitted to the Congress under this section after July 26, 1979.

United States-Taiwan Initiative on 21st-Century Trade First Agreement Implementation

Pub. L. 118–13, Aug. 7, 2023, 137 Stat. 63, provided that: “SECTION 1. SHORT TITLE.“This Act may be cited as the ‘United States-Taiwan Initiative on 21st-Century Trade First Agreement Implementation Act’. “SEC. 2. FINDINGS.“Congress finds the following:“(1) As a leading democracy, Taiwan is a key partner of the United States in the Indo-Pacific region. “(2) The United States and Taiwan share democratic values, deep commercial and economic ties, and strong people-to-people connections. Those links serve as the impetus for expanding engagement by the United States with Taiwan. “(3) Taiwan is the eighth-largest trading partner of the United States and the United States is the second-largest trading partner of Taiwan. “(4) Since 2020, the United States and Taiwan, under the auspices of the American Institute in Taiwan (AIT) and the Taipei Economic and Cultural Representative Office in the United States (TECRO), have held an economic prosperity partnership dialogue to enhance economic and commercial ties between the United States and Taiwan, including with respect to supply chain security and resiliency, investment screening, health, science, and technology, and the digital economy. “(5) On June 1, 2022, the United States and Taiwan launched the United States-Taiwan Initiative on 21st-Century Trade to deepen our economic and trade relationship, advance mutual trade priorities based on shared values, promote innovation, and support inclusive economic growth for workers and businesses. “(6) On August 17, 2022, the United States and Taiwan announced the negotiating mandate for formal trade negotiations under the United States-Taiwan Initiative on 21st-Century Trade and agreed to seek high-standard commitments. “(7) Article I, section 8, clause 3 of the Constitution of the United States grants Congress authority over international trade. The President lacks the authority to enter into binding trade agreements absent approval from Congress. “(8) Congressional approval of the United States-Taiwan Initiative on 21st-Century Trade First Agreement will ensure that the agreement, and the trade relationship between the United States and Taiwan more broadly, will be durable. A durable trade agreement will foster sustained economic growth and give workers, consumers, businesses, farmers, ranchers, and other stakeholders assurance that commercial ties between the United States and Taiwan will be long-lasting and reliable. “SEC. 3. PURPOSE.“The purpose of this Act is—“(1) to approve and implement the Agreement between the American Institute in Taiwan and the Taipei Economic and Cultural Representative Office in the United States regarding Trade between the United States of America and Taiwan, done on June 1, 2023; “(2) to strengthen and develop economic relations between the United States and Taiwan for our mutual benefit; “(3) to lay the foundation for further cooperation to expand and enhance the benefits of the Agreement; and “(4) to establish transparency and consultation requirements with respect to Further Agreements. “SEC. 4. DEFINITIONS.“In this Act:“(1) Agreement.—The term ‘Agreement’ means the Agreement between the American Institute in Taiwan and the Taipei Economic and Cultural Representative Office in the United States regarding Trade between the United States of America and Taiwan approved by Congress under section 5. “(2) Appropriate congressional committees.—The term ‘appropriate congressional committees’ means—“(A) the Committee on Finance of the Senate; and “(B) the Committee on Ways and Means of the House of Representatives. “(3) Further agreement.—The term ‘Further Agreement’ means—“(A) any trade agreement, other than the Agreement approved by Congress under section 5, arising from or relating to the August 17, 2022, negotiating mandate relating to the United States-Taiwan Initiative on 21st-Century Trade; or “(B) any nonministerial modification or nonministerial amendment to the Agreement. “(4) Negotiating text.—The term ‘negotiating text’ means any document that proposes the consideration, examination, or adoption of a particular element or language in an international instrument. “(5) State law.—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. “(6) Trade representative.—The term ‘Trade Representative’ means the United States Trade Representative. “SEC. 5. APPROVAL OF AGREEMENT.“Congress approves the Agreement between the American Institute in Taiwan and the Taipei Economic and Cultural Representative Office in the United States regarding Trade between the United States of America and Taiwan, done on June 1, 2023. “SEC. 6. ENTRY INTO FORCE OF AGREEMENT.“(a) Conditions for Entry Into Force of Agreement.—The President may provide for the Agreement to enter into force not earlier than 30 days after the date on which the President submits to Congress a certification under subsection (c). “(b) Consultation and Report.—The President, not later than 30 days before submitting a certification under subsection (c), shall—“(1) consult with the appropriate congressional committees; “(2) submit to the appropriate congressional committees a report that—“(A) explains the basis of the determination of the President contained in that certification, including by providing specific reference to the measures the parties to the Agreement intend to use to comply with the obligations in the Agreement; and “(B) describes, including through the use of economic estimates and analyses, how entry into force of the Agreement will further trade relations between the United States and Taiwan and advance the interests of workers, consumers, businesses, farmers, ranchers, and other stakeholders in the United States; and “(3) answer in writing any questions that relate to potential compliance and implementation of the Agreement that are submitted by the appropriate congressional committees during the 15-day period beginning on the date of the submission of the report under paragraph (2). “(c) Certification.—A certification under this subsection is a certification in writing that—“(1) indicates the President has determined Taiwan has taken measures necessary to comply with the provisions of the Agreement that are to take effect not later than the date on which the Agreement enters into force; and “(2) identifies the anticipated date the President intends to exchange notes or take any other action to notify Taiwan that the United States has completed all procedures necessary to bring the Agreement into force. “(d) Report on Implementation.—“(1) In general.—Not later than 180 days after entry into force of the Agreement, the Trade Representative shall submit to the appropriate congressional committees a report providing an assessment of the implementation of the Agreement, including by identifying any provisions for which further progress is necessary to secure compliance. “(2) Form.—The report required by paragraph (1) shall be submitted with any confidential business information clearly identified or contained in a separate annex. “(3) Publication.—Not later than 5 days after the report required by paragraph (1) is submitted to the appropriate congressional committees, the Trade Representative shall publish the report, with any confidential business information redacted, on a publicly available website of the Office of the United States Trade Representative. “SEC. 7. TRANSPARENCY AND CONSULTATION WITH RESPECT TO FURTHER AGREEMENTS.“(a) Sense of Congress on Deepening Relationship With Taiwan.—It is the sense of Congress that—“(1) the United States should continue to deepen its relationship with Taiwan; and “(2) any Further Agreements should be high-standard, enforceable, and meaningful to both the United States and Taiwan, as well as subject to robust requirements on public transparency and congressional consultation. “(b) Access to Texts of Further Agreements.—The Trade Representative shall provide to the appropriate congressional committees the following with respect to a Further Agreement:“(1) Negotiating text drafted by the United States prior to sharing the negotiating text with Taiwan or otherwise sharing the text outside the executive branch. “(2) Negotiating text drafted by Taiwan not later than 3 days after receiving the text from Taiwan. “(3) Any consolidated negotiating texts that the United States and Taiwan are considering, which shall include an attribution of the source of each provision contained in those texts to either the United States or Taiwan. “(4) The final text not later than 45 days before the Trade Representative makes the text public or otherwise shares the text outside the executive branch. “(c) Review of Texts.—“(1) Briefing.—The Trade Representative shall schedule a briefing with the appropriate congressional committees to discuss the texts provided under subsection (b). “(2) Review.—The appropriate congressional committees shall have not less than—“(A) 2 business days prior to the briefing under paragraph (1) to review the texts provided under subsection (b); and “(B) 4 business days after the briefing to provide comments with respect to the texts before the Trade Representative transmits any such texts to Taiwan. “(3) Additional time to review united states negotiating text.—If, during the period specified in paragraph (2)(B), two Members of Congress who are not of the same political party and each of whom is the Chair or Ranking Member of one of the appropriate congressional committees jointly request additional time to review the negotiating text provided under subsection (b)(1), the Trade Representative shall not transmit the text to Taiwan for a period of 15 business days following the request, unless the request indicates less time is necessary or such Members issue a subsequent joint notification to the Trade Representative that they have concluded their review sooner. “(d) Notification and Briefing During Negotiations.—The Trade Representative shall—“(1) not later than one business day after scheduling any negotiating round with respect to a Further Agreement, promptly notify the appropriate congressional committees and provide those committees with the dates and locations for the negotiating round; “(2) ensure that any individual described in section 104(c)(2)(C) of the Bipartisan Congressional Trade Priorities and Accountability Act of 2015 (19 U.S.C. 4203(c)(2)(C)) that attends a negotiating round is accredited as a member of the United States delegation during any such negotiating round; and “(3) provide daily briefings to the individuals described in paragraph (2) during any such negotiating round regarding the status of those negotiations, including any tentative agreement to accept any aspect of negotiating text. “(e) Approval.—A Further Agreement shall not take effect unless—“(1) the President, at least 60 days before the day on which the President enters into the Further Agreement, publishes the text of the Further Agreement on a publicly available website of the Office of the United States Trade Representative; and “(2) a bill is enacted into law expressly approving the Further Agreement and, if necessary, making any required changes to United States law. “SEC. 8. RELATIONSHIP OF THE AGREEMENT TO UNITED STATES AND STATE LAW.“(a) Relationship of the 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. “(2) Internal revenue code.—The Agreement does not constitute a free trade agreement for purposes of section 30D(e)(1)(A)(i)(II) of the Internal Revenue Code of 1986 [26 U.S.C. 30D(e)(1)(A)(i)(II)]. “(3) Construction.—Unless specifically provided for in this Act, nothing in this Act shall be construed—“(A) to amend or modify any law of the United States; or “(B) to limit any authority conferred under any law of the United States. “(b) Relationship of the Agreement to State Law.—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. “(c) Effect of the Agreement With Respect to Private Remedies.—No person other than the United States—“(1) shall have any cause of action or defense under the Agreement or by virtue of congressional approval thereof; 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.”

[Functions and authorities vested in the President by section 6(a)–(c) of Pub. L. 118–13, set out above, and any future public laws that are the same or substantially the same, including to make and submit the required certification to the Congress and to consult with, and submit the required report to, the appropriate congressional committees, delegated to the United States Trade Representative, by Memorandum of President of the United States, Aug. 5, 2024, 89 F.R. 64781.]

United States-Jordan Free Trade Area Implementation

Pub. L. 107–43, Sept. 28, 2001, 115 Stat. 243, provided that: “SECTION 1. SHORT TITLE.“This Act may be cited as the ‘United States-Jordan Free Trade Area Implementation Act’. “SEC. 2. PURPOSES.“The purposes of this Act are—“(1) to implement the agreement between the United States and Jordan establishing a free trade area; “(2) to strengthen and develop the economic relations between the United States and Jordan for their mutual benefit; and “(3) to establish free trade between the 2 nations through the removal of trade barriers. “SEC. 3. DEFINITIONS.“For purposes of this Act:“(1) Agreement.—The term ‘Agreement’ means the Agreement between the United States of America and the Hashemite Kingdom of Jordan on the Establishment of a Free Trade Area, entered into on October 24, 2000. “(2) HTS.—The term ‘HTS’ means the Harmonized Tariff Schedule of the United States. “TITLE I—TARIFF MODIFICATIONS; RULES OF ORIGIN“SEC. 101. TARIFF MODIFICATIONS.“(a) Tariff Modifications Provided for in the Agreement.—The President may proclaim—“(1) such modifications or continuation of any duty; “(2) such continuation of duty-free or excise treatment; or “(3) such additional duties, as the President determines to be necessary or appropriate to carry out article 2.1 of the Agreement and the schedule of duty reductions with respect to Jordan set out in Annex 2.1 of the Agreement. “(b) Other Tariff Modifications.—The President may proclaim—“(1) such modifications or continuation of any duty; “(2) such continuation of duty-free or excise treatment; or “(3) 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 Jordan provided for by the Agreement. “SEC. 102. RULES OF ORIGIN.“(a) In General.—“(1) Eligible articles.—“(A) In general.—The reduction or elimination of any duty imposed on any article by the United States provided for in the Agreement shall apply only if—“(i) that article is imported directly from Jordan into the customs territory of the United States; and “(ii) that article— “(I) is wholly the growth, product, or manufacture of Jordan; or “(II) is a new or different article of commerce that has been grown, produced, or manufactured in Jordan and meets the requirements of subparagraph (B). “(B) Requirements.—“(i) General rule.—The requirements of this subparagraph are that with respect to an article described in subparagraph (A)(ii)(II), the sum of— “(I) the cost or value of the materials produced in Jordan, plus “(II) the direct costs of processing operations performed in Jordan, is not less than 35 percent of the appraised value of such article at the time it is entered. “(ii) Materials produced in united states.—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 paragraph 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 clause (i). “(2) Exclusions.—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) Direct Costs of Processing Operations.—“(1) In general.—As used in this section, the term ‘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. “(2) Excluded costs.—The term ‘direct costs of processing operations’ 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) Textile and Apparel Articles.—“(1) In general.—A textile or apparel article imported directly from Jordan into the customs territory of the United States shall be considered to meet the requirements of paragraph (1)(A) of subsection (a) only if—“(A) the article is wholly obtained or produced in Jordan; “(B) the article is a yarn, thread, twine, cordage, rope, cable, or braiding, and—“(i) the constituent staple fibers are spun in Jordan, or “(ii) the continuous filament is extruded in Jordan; “(C) the article is a fabric, including a fabric classified under chapter 59 of the HTS, and the constituent fibers, filaments, or yarns are woven, knitted, needled, tufted, felted, entangled, or transformed by any other fabric-making process in Jordan; or “(D) the article is any other textile or apparel article that is wholly assembled in Jordan from its component pieces. “(2) Definition.—For purposes of paragraph (1), an article is ‘wholly obtained or produced in Jordan’ if it is wholly the growth, product, or manufacture of Jordan. “(3) Special rules.—“(A) Certain made-up articles, textile articles in the piece, and certain other textiles and textile articles.—Notwithstanding paragraph (1)(D) and except as provided in subparagraphs (C) and (D) of this paragraph, subparagraph (A), (B), or (C) of paragraph (1), as appropriate, shall determine whether a good that is classified under one of the following headings or subheadings of the HTS shall be considered to meet the requirements of paragraph (1)(A) of subsection (a): 5609, 5807, 5811, 6209.20.50.40, 6213, 6214, 6301, 6302, 6304, 6305, 6306, 6307.10, 6307.90, 6308, and 9404.90. “(B) Certain knit-to-shape textiles and textile articles.—Notwithstanding paragraph (1)(D) and except as provided in subparagraphs (C) and (D) of this paragraph, a textile or apparel article which is knit-to-shape in Jordan shall be considered to meet the requirements of paragraph (1)(A) of subsection (a). “(C) Certain dyed and printed textiles and textile articles.—Notwithstanding paragraph (1)(D), a good classified under heading 6117.10, 6213.00, 6214.00. 6302.22, 6302.29, 6302.52, 6302.53, 6302.59, 6302.92, 6302.93, 6302.99, 6303.92, 6303.99, 6304.19, 6304.93, 6304.99, 9404.90.85, or 9404.90.95 of the HTS, except for a good classified under any such heading as of cotton or of wool or consisting of fiber blends containing 16 percent or more by weight of cotton, shall be considered to meet the requirements of paragraph (1)(A) of subsection (a) if the fabric in the good is both dyed and printed in Jordan, and such dyeing and printing is accompanied by 2 or more of the following finishing operations: bleaching, shrinking, fulling, napping, decating, permanent stiffening, weighting, permanent embossing, or moireing. “(D) Fabrics of silk, cotton, manmade fiber or vegetable fiber.—Notwithstanding paragraph (1)(C), a fabric classified under the HTS as of silk, cotton, man-made fiber, or vegetable fiber shall be considered to meet the requirements of paragraph (1)(A) of subsection (a) if the fabric is both dyed and printed in Jordan, and such dyeing and printing is accompanied by 2 or more of the following finishing operations: bleaching, shrinking, fulling, napping, decating, permanent stiffening, weighting, permanent embossing, or moireing. “(4) Multicountry rule.—If the origin of a textile or apparel article cannot be determined under paragraph (1) or (3), then that article shall be considered to meet the requirements of paragraph (1)(A) of subsection (a) if—“(A) the most important assembly or manufacturing process occurs in Jordan; or “(B) if the applicability of paragraph (1)(A) of subsection (a) cannot be determined under subparagraph (A), the last important assembly or manufacturing occurs in Jordan. “(d) Exclusion.—A good shall not be considered to meet the requirements of paragraph (1)(A) of subsection (a) if the good—“(1) is imported into Jordan, and, at the time of importation, would be classified under heading 0805 of the HTS; and “(2) is processed in Jordan into a good classified under any of subheadings 2009.11 through 2009.30 of the HTS. “(e) 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. “TITLE II—RELIEF FROM IMPORTS“Subtitle A—General Provisions“SEC. 201. DEFINITIONS.“As used in this title:“(1) Commission.—The term ‘Commission’ means the United States International Trade Commission. “(2) Jordanian article.—The term ‘Jordanian article’ means an article that qualifies for reduction or elimination of a duty under section 102. “Subtitle B—Relief From Imports Benefiting From The Agreement“SEC. 211. COMMENCING OF ACTION FOR RELIEF.“(a) Filing of Petition.—“(1) In general.—A petition requesting action under this subtitle for the purpose of adjusting to the obligations of the United States under the Agreement may be filed with the Commission by an entity, including a trade association, firm, certified or recognized union, or group of workers that is representative of an industry. The Commission shall transmit a copy of any petition filed under this subsection to the United States Trade Representative. “(2) Provisional relief.—An entity filing a petition under this subsection may request that provisional relief be provided as if the petition had been filed under section 202(a) of the Trade Act of 1974 [19 U.S.C. 2252(a)]. “(3) Critical circumstances.—Any allegation that critical circumstances exist shall be included in the petition. “(b) Investigation and Determination.—“(1) In general.—Upon the filing of a petition under subsection (a), the Commission, unless subsection (d) applies, shall promptly initiate an investigation to determine whether, as a result of the reduction or elimination of a duty provided for under the Agreement, a Jordanian article is being imported into the United States in such increased quantities, in absolute terms or relative to domestic production, and under such conditions that imports of the Jordanian article alone constitute a substantial cause of serious injury or threat thereof to the domestic industry producing an article that is like, or directly competitive with, the imported article. “(2) Causation.—For purposes of this subtitle, a Jordanian article is being imported into the United States in increased quantities as a result of the reduction or elimination of a duty provided for under the Agreement if the reduction or elimination is a cause that contributes significantly to the increase in imports. Such cause need not be equal to or greater than any other cause. “(c) Applicable Provisions.—The following provisions of section 202 of the Trade Act of 1974 (19 U.S.C. 2252) apply with respect to any investigation initiated under subsection (b):“(1) Paragraphs (1)(B) and (3) of subsection (b). “(2) Subsection (c). “(3) Subsection (d). “(d) Articles Exempt From Investigation.—No investigation may be initiated under this section with respect to any Jordanian article if import relief has been provided under this subtitle with respect to that article. “SEC. 212. COMMISSION ACTION ON PETITION.“(a) Determination.—By no later than 120 days (180 days if critical circumstances have been alleged) after the date on which an investigation is initiated under section 211(b) with respect to a petition, the Commission shall make the determination required under that section. “(b) Additional Finding and Recommendation if Determination Affirmative.—If the determination made by the Commission under subsection (a) with respect to imports of an article is affirmative, the Commission shall find, and recommend to the President in the report required under subsection (c), the amount of import relief that is necessary to remedy or prevent the injury found by the Commission in the determination and to facilitate the efforts of the domestic industry to make a positive adjustment to import competition. The import relief recommended by the Commission under this subsection shall be limited to that described in section 213(c). “(c) Report to President.—No later than the date that is 30 days after the date on which a determination is made under subsection (a) with respect to an investigation, the Commission shall submit to the President a report that shall include—“(1) a statement of the basis for the determination; “(2) dissenting and separate views; and “(3) any finding made under subsection (b) regarding import relief. “(d) Public Notice.—Upon submitting a report to the President under subsection (c), 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. “(e) Applicable Provisions.—For purposes of this subtitle, 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 section as if such determinations and findings were made under section 202 of the Trade Act of 1974 (19 U.S.C. 2252). “SEC. 213. PROVISION OF RELIEF.“(a) In General.—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 of the Commission under section 212(a), the President shall provide relief from imports of the article that is the subject of such determination to the extent that the President determines necessary to prevent or remedy the injury found by the Commission and to facilitate the efforts of the domestic industry to make a positive adjustment to import competition, unless the President determines that the provision of such relief is not in the national economic interest of the United States or, in extraordinary circumstances, that the provision of such relief would cause serious harm to the national security of the United States. “(b) National Economic Interest.—The President may determine under subsection (a) that providing import relief is not in the national economic interest of the United States only if the President finds that taking such action would have an adverse impact on the United States economy clearly greater than the benefits of taking such action. “(c) Nature of Relief.—The import relief (including provisional relief) that the President is authorized to provide under this subtitle with respect to imports of an article is—“(1) the suspension of any further reduction provided for under the United States Schedule to Annex 2.1 of the Agreement in the duty imposed on that article; “(2) an increase in the rate of duty imposed on such article to a level that does not exceed the lesser of—“(A) the column 1 general rate of duty imposed under the HTS on like articles at the time the import relief is provided; or “(B) the column 1 general rate of duty imposed under the HTS on like articles on the day before the date on which the Agreement enters into force; or “(3) in the case of a duty applied on a seasonal basis to that article, an increase in the rate of duty imposed on the article to a level that does not exceed the column 1 general rate of duty imposed under the HTS on the article for the corresponding season occurring immediately before the date on which the Agreement enters into force. “(d) Period of Relief.—The import relief that the President is authorized to provide under this section may not exceed 4 years. “(e) Rate After Termination of Import Relief.—When import relief under this subtitle is terminated with respect to an article—“(1) the rate of duty on that article after such termination and on or before December 31 of the year in which termination occurs shall be the rate that, according to the United States Schedule to Annex 2.1 of the Agreement for the staged elimination of the tariff, would have been in effect 1 year after the initiation of the import relief action under section 211; and “(2) the tariff treatment for that article after December 31 of the year in which termination occurs shall be, at the discretion of the President, either—“(A) the rate of duty conforming to the applicable rate set out in the United States Schedule to Annex 2.1; or “(B) the rate of duty resulting from the elimination of the tariff in equal annual stages ending on the date set out in the United States Schedule to Annex 2.1 for the elimination of the tariff. “SEC. 214. TERMINATION OF RELIEF AUTHORITY.“(a) General Rule.—Except as provided in subsection (b), no import relief may be provided under this subtitle after the date that is 15 years after the date on which the Agreement enters into force. “(b) Exception.—Import relief may be provided under this subtitle in the case of a Jordanian article after the date on which such relief would, but for this subsection, terminate under subsection (a), but only if the Government of Jordan consents to such provision. “SEC. 215. COMPENSATION AUTHORITY.“For purposes of section 123 of the Trade Act of 1974 (19 U.S.C. 2133), any import relief provided by the President under section 213 shall be treated as action taken under chapter 1 of title II of such Act [19 U.S.C. 2251 et seq.]. “SEC. 216. SUBMISSION OF PETITIONS.“A petition for import relief may be submitted to the Commission under—“(1) this subtitle; “(2) chapter 1 of title II of the Trade Act of 1974 [19 U.S.C. 2251 et seq.]; or “(3) under both this subtitle and such chapter 1 at the same time, in which case the Commission shall consider such petitions jointly. “Subtitle C—Cases Under Title II of The Trade Act of 1974“SEC. 221. FINDINGS AND ACTION ON JORDANIAN IMPORTS.“(a) Effect of Imports.—If, in any investigation initiated under chapter 1 of title II of the Trade Act of 1974 [19 U.S.C. 2251 et seq.], the Commission makes an affirmative determination (or a determination which the President may treat as an affirmative determination under such chapter by reason of section 330(d) of the Tariff Act of 1930 [19 U.S.C. 1330(d)]), the Commission shall also find (and report to the President at the time such injury determination is submitted to the President) whether imports of the article from Jordan are a substantial cause of serious injury or threat thereof. “(b) Presidential Action Regarding Jordanian Imports.—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 determine whether imports from Jordan are a substantial cause of the serious injury found by the Commission and, if such determination is in the negative, may exclude from such action imports from Jordan. “SEC. 222. TECHNICAL AMENDMENT. [Amended section 2252 of this title.] “TITLE III—TEMPORARY ENTRY“SEC. 301. NONIMMIGRANT TRADERS AND INVESTORS.“Upon the basis of reciprocity secured by the Agreement, an alien who is a national of Jordan (and any spouse or child (as defined in section 101(b)(1) of the Immigration and Nationality Act (8 U.S.C. 1101(b)(1)) of the alien, if accompanying or following to join the alien) shall be considered as entitled to enter the United States under and in pursuance of the provisions of the Agreement as a nonimmigrant described in section 101(a)(15)(E) of the Immigration and Nationality Act (8 U.S.C. 1101(a)(15)(E)), if the entry is solely for a purpose described in clause (i) or (ii) of such section and the alien is otherwise admissible to the United States as such a nonimmigrant. “TITLE IV—GENERAL PROVISIONS“SEC. 401. 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, that is inconsistent with any law of the United States shall have effect. “(2) Construction.—Nothing in this Act shall be construed—“(A) to amend or modify any law of the United States; or “(B) to limit any authority conferred under any law of the United States, unless specifically provided for in this Act. “(b) Relationship of Agreement to State Law.—“(1) 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. “(2) 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 the Agreement; 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. “SEC. 402. AUTHORIZATION OF APPROPRIATIONS.“There are authorized to be appropriated for each fiscal year after fiscal year 2001 to the Department of Commerce not more than $100,000 for the payment of the United States share of the expenses incurred in dispute settlement proceedings under article 17 of the Agreement. “SEC. 403. IMPLEMENTING REGULATIONS.“After the date of enactment of this Act [Sept. 28, 2001]—“(1) the President may proclaim such actions; and “(2) other appropriate officers of the United States 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 the Agreement enters into force. “SEC. 404. EFFECTIVE DATES; EFFECT OF TERMINATION.“(a) Effective Dates.—Except as provided in subsection (b), the provisions of this Act and the amendments made by this Act take effect on the date the Agreement enters into force [Dec. 17, 2001]. “(b) Exceptions.—Sections 1 through 3 and this title take effect on the date of the enactment of this Act [Sept. 28, 2001]. “(c) Termination of the Agreement.—On the date on which the Agreement ceases to be in force, the provisions of this Act (other than this subsection) and the amendments made by this Act, shall cease to be effective.”

[The Harmonized Tariff Schedule of the United States is not set out in the Code. See Publication of Harmonized Tariff Schedule note set out under section 1202 of this title.]

Protective Order Provisions Applicable With Respect to Countervailing and Antidumping Duty Investigations Involving Products of Canadian Origin

Pub. L. 101–382, title I, § 135(c), Aug. 20, 1990, 104 Stat. 652, provided that: “For purposes of section 404 of the United States-Canada Free-Trade Agreement Implementation Act of 1988 [Pub. L. 100–449, set out in a note below], the amendments made by subsection (b) [amending section 1677f of this title] also apply with respect to investigations under title VII of the Tariff Act of 1930 [19 U.S.C. 1671 et seq.] involving products of Canadian origin.”

United States-Canada Free-Trade Agreement Implementation