Trade Enforcement and Trade Deficit Reduction Act

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Trade Enforcement and Trade Deficit 
Reduction Act''.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) The United States market is widely recognized as one of 
        the most open markets in the world. Average United States 
        tariff rates are very low and the United States has limited, if 
        any, nontariff barriers.
            (2) With each subsequent round of bilateral, regional, and 
        multilateral trade negotiations, tariffs have been 
        significantly reduced or eliminated for many manufactured 
        goods, leaving nontariff barriers as the most pervasive, 
        significant, and challenging barriers to United States exports 
        and market opportunities.
            (3) Often the only leverage the United States has to obtain 
        the reduction or elimination of nontariff barriers imposed by 
        foreign countries is to negotiate the amount of tariffs the 
        United States imposes on imports from those foreign countries.
            (4) The United States has become the world's largest net 
        debtor nation, having run up massive trade deficits since the 
        mid-1970s.
            (5) Every year since 1976, whether in expansion or 
        recession, the United States has run a deficit in goods and 
        services trade, which weakens and detracts from America's 
        global leadership position.
            (6) The United States trade deficit in 1993, the year 
        before the North American Free Trade Agreement (NAFTA) went 
        into force, was $135.6 billion.
            (7) In 2015, the United States had a deficit in the balance 
        of trade in goods and services of $939.8 billion.
            (8) In 2015, the United States had a trade deficit of $179 
        billion with countries with which it has free trade agreements.
            (9) Persistent deficits weaken the United States economy, 
        defense industrial base, and innovation system and increase the 
        likelihood of ownership of large segments of the United States 
        economy by foreign interests.

SEC. 3. WITHDRAWAL OF TARIFF CONCESSIONS.

    (a) In General.--If the Department of Commerce determines pursuant 
to subsection (c) that--
            (1) a tariff or nontariff barrier or policy or practice of 
        the government of a foreign country with respect to United 
        States exports of any product has not been reduced or 
        eliminated in accordance with the terms of a trade agreement 
        entered into between the United States and the foreign country; 
        or
            (2) a tariff or nontariff barrier or policy or practice of 
        such government with respect to United States exports of any 
        product has been imposed or discovered,
the United States Trade Representative shall withdraw any modification 
of any duty that reduced or eliminated the bound or applied rate of 
duty on any product that has the same physical characteristics and uses 
as a product described in paragraph (1) or (2) until such time as the 
Department of Commerce submits to Congress a certification that the 
foreign government has reduced or eliminated the tariff or nontariff 
barrier or policy or practice.
    (b) Investigation.--
            (1) In general.--The Department of Commerce shall initiate 
        an investigation if an interested party files a petition with 
        the Department of Commerce which alleges the elements necessary 
        for the withdrawal of the modification of an existing duty 
        under subsection (a), and which is accompanied by information 
        reasonably available to the petitioner supporting such 
        allegations.
            (2) Interested party defined.--For purposes of paragraph 
        (1), the term ``interested party'' means--
                    (A) a manufacturer, producer, or wholesaler in the 
                United States of a domestic product that has the same 
                physical characteristics and uses as the product for 
                which a modification of an existing duty is sought;
                    (B) a certified union or recognized union or group 
                of workers engaged in the manufacture, production, or 
                wholesale in the United States of a domestic product 
                that has the same physical characteristics and uses as 
                the product for which a modification of an existing 
                duty is sought;
                    (C) a trade or business association a majority of 
                whose members manufacture, produce, or wholesale in the 
                United States a domestic product that has the same 
                physical characteristics and uses as the product for 
                which a modification of an existing duty is sought; or
                    (D) a member of the Committee on Ways and Means of 
                the House of Representatives or a member of the 
                Committee on Finance of the Senate.
    (c) Determination by the Department of Commerce.--Not later than 45 
days after the date on which a petition is filed under subsection (b), 
the Department of Commerce shall--
            (1) determine whether the petition alleges the elements 
        necessary for the withdrawal of the modification of an existing 
        duty under subsection (a); and
            (2) notify the petitioner of the determination under 
        paragraph (1) and the reasons for the determination.

SEC. 4. TRADE DEFICIT REDUCTION.

    (a) Identification.--
            (1) In general.--Not later than 60 days after the date of 
        the enactment of this Act, and monthly thereafter, the 
        Department of Commerce shall identify each country from which 
        the value of goods and services imported into the United States 
        exceeds twice the value of goods and services that are products 
        of the United States that are exported from the United States 
        to that country.
            (2) Statistical sources.--For purposes of the calculations 
        described in this section, the Department of Commerce shall use 
        the goods and services trade deficit data compiled by the 
        United States International Trade Commission, specifically--
                    (A) U.S. Imports for Consumption data, in the case 
                of imports; and
                    (B) U.S. Domestic Exports data, in the case of 
                exports.
            (3) Exclusion of least developed countries.--For purposes 
        of this subsection, the term ``country'' does not include a 
        country that is identified on the most recent List of Least 
        Developed Countries published by the United Nations Committee 
        for Development Policy.
    (b) Action by U.S. Customs and Border Protection.--In the case of a 
country which is identified under subsection (a) for six consecutive 
months, U.S. Customs and Border Protection shall bar the importation of 
products from a country identified under subsection (a), other than 
those granted a waiver under subsection (c), beginning 180 days after 
the date on which a determination is made under subsection (a) until 
such time that--
            (1) such country is no longer identified under subsection 
        (a); or
            (2) the President has provided written notice to Congress 
        of the President's intention to enter into negotiations with 
        such country to enter into a trade agreement, or changes to an 
        existing trade agreement, with such country pursuant to section 
        105(a)(1)(A) of the Bipartisan Congressional Trade Priorities 
        and Accountability Act of 2015 (19 U.S.C. 4204(a)(1)(A)).
    (c) Waiver.--A manufacturer, producer, or wholesaler in the United 
States may apply to the Department of Commerce to allow the importation 
of a product from a country identified under subsection (a), which the 
Department of Commerce shall grant--
            (1) if it is shown that such product is not available in 
        sufficient quantities from other sources; and
            (2) for a period not to exceed one year.

Summary: Trade Enforcement and Trade Deficit Reduction Act This bill requires the Office of the US Trade Representative to withdraw tariff concessions granted to a foreign country if the Department of Commerce determines that such country has not reduced or eliminated a tariff or nontariff barrier on US exports in accordance with a trade agreement. Commerce must: (1) initiate an investigation if it receives a petition alleging that a foreign country has not complied with the tariff provisions of a trade agreement, and (2) identify each country whose imports of goods and services to the United States exceed twice the value of US exports to that country over a six month period. The US Customs and Border Protection must bar the importation of products from such a country unless a waiver is granted for such products to a US manufacturer, producer, or wholesaler.