**TITLE II‑‑TRADE BENEFITS FOR CARIBBEAN BASIN**

**Subtitle B‑‑Trade Benefits for Caribbean Basin Countries**

**SEC. 211. TEMPORARY PROVISIONS TO PROVIDE ADDITIONAL TRADE BENEFITS TO
CERTAIN BENEFICIARY COUNTRIES.**

\(a\) TEMPORARY PROVISIONS.‑‑Section 213(b) of the Caribbean Basin
Economic Recovery Act (19 U.S.C. 2703(b)) is amended to read as follows:

(b) IMPORT-SENSITIVE ARTICLES.‑‑

(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 effec

tive 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.\'\'.

\(b\) DETERMINATION REGARDING RETENTION OF DESIGNATION.‑‑Section 212(e)
of the Caribbean Basin Economic Recovery Act (19 U.S.C. 2702(e)) is
amended‑‑

\(1\) in paragraph (1)‑‑

\(A\) by redesignating subparagraphs (A) and (B) as clauses (i) and
(ii), respectively;

\(B\) by inserting (A)\'\' after (1)\'\'; and

\(C\) by adding at the end the following:

(B) The President may, after the requirements of subsection (a)(2) and
paragraph (2) have been met‑‑

(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).\'\';
and

\(2\) by adding after paragraph (2) the following new paragraph:

(3) 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.\'\'.

\(c\) REPORTING REQUIREMENTS.‑‑

\(1\) Section 212(f ) of the Caribbean Basin Economic Recovery Act (19
U.S.C. 2702(f )) is amended to read as follows:

(f ) REPORTING REQUIREMENTS.‑‑

(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).\'\'.

\(2\) Section 203(f ) of the Andean Trade Preference Act (19 U.S.C.
3202(f )) is amended‑‑

\(A\) by striking Triennial Report\'\' in the heading and inserting
Report\'\'; and

\(B\) by striking \`\`On or before\'\' and all that follows through
enactment of this title\'\' and inserting Not later than January 31,
2001\'\'.

\(d\) INTERNATIONAL TRADE COMMISSION REPORTS.‑‑

\(1\) Section 215(a) of the Caribbean Basin Economic Recovery Act (19
U.S.C. 2704(a)) is amended to read as follows:

(a) REPORTING REQUIREMENT.‑‑

(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.\'\'.

\(2\) Section 206(a) of the Andean Trade Preference Act (19 U.S.C.
3204(a)) is amended to read as follows:

(a) REPORTING REQUIREMENTS.‑‑

(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.\'\'.