IIB 

116TH CONGRESS 

2D SESSION H. R. 5430 

IN THE SENATE OF THE UNITED STATES 

JANUARY 3, 2020 

Received; read twice and referred jointly to the Committees on Finance, 

Health, Education, Labor, and Pensions, Environment and Public Works, 

Appropriations, Foreign Relations, Commerce, Science, and Transportation, and the Budget pursuant to section 151(e)(2) of the Trade Act 

of 1974 

AN ACT 

To implement the Agreement between the United States of 

America, the United Mexican States, and Canada attached as an Annex to the Protocol Replacing the North 

American Free Trade Agreement. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 


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1 SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 

2 (a) SHORT TITLE.—This Act may be cited as the 

3 ‘‘United States-Mexico-Canada Agreement Implementa4 tion Act’’. 

5 (b) TABLE OF CONTENTS.—The table of contents for 

6 this Act is as follows: 

Sec. 1. Short title; table of contents. 

Sec. 2. Purpose. 

Sec. 3. Definitions. 

TITLE I—APPROVAL OF, AND GENERAL PROVISIONS RELATING 

TO, THE USMCA 

Sec. 101. Approval and entry into force of the USMCA. 

Sec. 102. Relationship of the USMCA to United States and State law. 

Sec. 103. Implementing actions in anticipation of entry into force; initial regulations; tariff proclamation authority. 

Sec. 104. Consultation and layover provisions for, and effective date of, proclaimed actions. 

Sec. 105. Administration of dispute settlement proceedings. 

Sec. 106. Trade Representative authority. 

Sec. 107. Effective date. 

TITLE II—CUSTOMS PROVISIONS 

Sec. 201. Exclusion of originating goods of USMCA countries from special agriculture safeguard authority. 

Sec. 202. Rules of origin. 

Sec. 202A. Special rules for automotive goods. 

Sec. 203. Merchandise processing fee. 

Sec. 204. Disclosure of incorrect information; false certifications of origin; denial of preferential tariff treatment. 

Sec. 205. Reliquidation of entries. 

Sec. 206. Recordkeeping requirements. 

Sec. 207. Actions regarding verification of claims under the USMCA. 

Sec. 208. Drawback [reserved]. 

Sec. 209. Other amendments to the Tariff Act of 1930. 

Sec. 210. Regulations. 

TITLE III—APPLICATION OF USMCA TO SECTORS AND SERVICES 

Subtitle A—Relief From Injury Caused by Import Competition [reserved] 

Subtitle B—Temporary Entry of Business Persons [reserved] 

Subtitle C—United States-Mexico Cross-Border Long-Haul Trucking Services 

Sec. 321. Definitions. 

Sec. 322. Investigations and determinations by Commission. 

Sec. 323. Commission recommendations and report. 


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Sec. 324. Action by President with respect to affirmative determination. 

Sec. 325. Confidential business information. 

Sec. 326. Conforming amendments. 

Sec. 327. Survey of operating authorities. 

TITLE IV—ANTIDUMPING AND COUNTERVAILING DUTIES 

Subtitle A—Preventing Duty Evasion 

Sec. 401. Cooperation on duty evasion. 

Subtitle B—Dispute Settlement [reserved] 

Subtitle C—Conforming Amendments 

Sec. 421. Judicial review in antidumping duty and countervailing duty cases. 

Sec. 422. Conforming amendments to other provisions of the Tariff Act of 

1930. 

Sec. 423. Conforming amendments to title 28, United States Code. 

Subtitle D—General Provisions 

Sec. 431. Effect of termination of USMCA country status. 

Sec. 432. Effective date. 

TITLE V—TRANSFER PROVISIONS AND OTHER AMENDMENTS 

Sec. 501. Drawback. 

Sec. 502. Relief from injury caused by import competition. 

Sec. 503. Temporary entry. 

Sec. 504. Dispute settlement in antidumping and countervailing duty cases. 

Sec. 505. Government procurement. 

Sec. 506. Actions affecting United States cultural industries. 

Sec. 507. Regulatory treatment of uranium purchases. 

Sec. 508. Report on amendments to existing law. 

TITLE VI—TRANSITION TO AND EXTENSION OF USMCA 

Subtitle A—Transitional Provisions 

Sec. 601. Repeal of North American Free Trade Agreement Implementation 

Act. 

Sec. 602. Continued suspension of the United States-Canada Free-Trade 

Agreement. 

Subtitle B—Joint Reviews Regarding Extension of USMCA 

Sec. 611. Participation in joint reviews with Canada and Mexico regarding extension of the term of the USMCA and other action regarding 

the USMCA. 

Subtitle C—Termination of USMCA 

Sec. 621. Termination of USMCA. 

TITLE VII—LABOR MONITORING AND ENFORCEMENT 

Sec. 701. Definitions. 

Subtitle A—Interagency Labor Committee for Monitoring and Enforcement 


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Sec. 711. Interagency labor committee for monitoring and enforcement. 

Sec. 712. Duties. 

Sec. 713. Enforcement priorities. 

Sec. 714. Assessments. 

Sec. 715. Recommendation for enforcement action. 

Sec. 716. Petition process. 

Sec. 717. Hotline. 

Sec. 718. Reports. 

Sec. 719. Consultations on appointment and funding of rapid response labor 

panelists. 

Subtitle B—Mexico Labor Attache ́s 

Sec. 721. Establishment. 

Sec. 722. Duties. 

Sec. 723. Status. 

Subtitle C—Independent Mexico Labor Expert Board 

Sec. 731. Establishment. 

Sec. 732. Membership; term. 

Sec. 733. Funding. 

Sec. 734. Reports. 

Subtitle D—Forced Labor 

Sec. 741. Forced labor enforcement task force. 

Sec. 742. Timeline required. 

Sec. 743. Reports required. 

Sec. 744. Duties related to Mexico. 

Subtitle E—Enforcement Under Rapid Response Labor Mechanism 

Sec. 751. Transmission of reports. 

Sec. 752. Suspension of liquidation. 

Sec. 753. Final remedies. 

TITLE VIII—ENVIRONMENT MONITORING AND ENFORCEMENT 

Sec. 801. Definitions. 

Subtitle A—Interagency Environment Committee for Monitoring and 

Enforcement 

Sec. 811. Establishment. 

Sec. 812. Assessment. 

Sec. 813. Monitoring actions. 

Sec. 814. Enforcement actions. 

Sec. 815. Other monitoring and enforcement actions. 

Sec. 816. Report to Congress. 

Sec. 817. Regulations. 

Subtitle B—Other Matters 

Sec. 821. Border water infrastructure improvement authority. 

Sec. 822. Detail of personnel to Office of the United States Trade Representative. 

Subtitle C—North American Development Bank 


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Sec. 831. General capital increase. 

Sec. 832. Policy goals. 

Sec. 833. Efficiencies and streamlining. 

Sec. 834. Performance measures. 

TITLE IX—USMCA SUPPLEMENTAL APPROPRIATIONS ACT, 2019 

1 SEC. 2. PURPOSE. 

2 The purpose of this Act is to approve and implement 

3 the Agreement between the United States of America, the 

4 United Mexican States, and Canada entered into under 

5 the authority of section 103(b) of the Bipartisan Congres6 sional Trade Priorities and Accountability Act of 2015 (19 

7 U.S.C. 4202(b)). 

8 SEC. 3. DEFINITIONS. 

9 In this Act: 

10 (1) APPROPRIATE CONGRESSIONAL COMMIT11 TEES.—The term ‘‘appropriate congressional com12 mittees’’ means the Committee on Finance of the 

13 Senate and the Committee on Ways and Means of 

14 the House of Representatives. 

15 (2) HTS.—The term ‘‘HTS’’ means the Har16 monized Tariff Schedule of the United States. 

17 (3) IDENTICAL GOODS.—The term ‘‘identical 

18 goods’’ means goods that are the same in all re19 spects relevant to the rule of origin that qualifies the 

20 goods as originating goods. 


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1 (4) INTERNATIONAL TRADE COMMISSION.—The 

2 term ‘‘International Trade Commission’’ means the 

3 United States International Trade Commission. 

4 (5) MEXICO.—The term ‘‘Mexico’’ means the 

5 United Mexican States. 

6 (6) NAFTA.—The term ‘‘NAFTA’’ means the 

7 North American Free Trade Agreement approved by 

8 Congress under section 101(a)(1) of the North 

9 American Free Trade Agreement Implementation 

10 Act (19 U.S.C. 3311(a)(1)). 

11 (7) PREFERENTIAL TARIFF TREATMENT.—The 

12 term ‘‘preferential tariff treatment’’ means the cus13 toms duty rate that is applicable to an originating 

14 good (as defined in section 202(a)) under the 

15 USMCA. 

16 (8) TRADE REPRESENTATIVE.—The term 

17 ‘‘Trade Representative’’ means the United States 

18 Trade Representative. 

19 (9) USMCA.—The term ‘‘USMCA’’ means the 

20 Agreement between the United States of America, 

21 the United Mexican States, and Canada, which is— 

22 (A) attached as an Annex to the Protocol 

23 Replacing the North American Free Trade 

24 Agreement with the Agreement between the 

25 United States of America, the United Mexican 


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1 States, and Canada, done at Buenos Aires on 

2 November 30, 2018, as amended by the Pro3 tocol of Amendment to the Agreement Between 

4 the United States of America, the United Mexi5 can States, and Canada, done at Mexico City 

6 on December 10, 2019; and 

7 (B) approved by Congress under section 

8 101(a)(1). 

9 (10) USMCA COUNTRY.—Except as otherwise 

10 provided, the term ‘‘USMCA country’’ means— 

11 (A) Canada for such time as the USMCA 

12 is in force with respect to, and the United 

13 States applies the USMCA to, Canada; and 

14 (B) Mexico for such time as the USMCA 

15 is in force with respect to, and the United 

16 States applies the USMCA to, Mexico. 

17 TITLE I—APPROVAL OF, AND 

18 GENERAL PROVISIONS RE19 LATING TO, THE USMCA 

20 SEC. 101. APPROVAL AND ENTRY INTO FORCE OF THE 

21 USMCA. 

22 (a) APPROVAL OF USMCA AND STATEMENT OF AD23 MINISTRATIVE ACTION.—Pursuant to section 106 of the 

24 Bipartisan Congressional Trade Priorities and Account25 ability Act of 2015 (19 U.S.C. 4205) and section 151 of 


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1 the Trade Act of 1974 (19 U.S.C. 2191), Congress ap2 proves— 

3 (1) the Protocol Replacing the North American 

4 Free Trade Agreement with the Agreement between 

5 the United States of America, the United Mexican 

6 States, and Canada, done at Buenos Aires on No7 vember 30, 2018, as submitted to Congress on De8 cember 13, 2019; 

9 (2) the Agreement between the United States of 

10 America, the United Mexican States, and Canada, 

11 attached as an Annex to the Protocol, as amended 

12 by the Protocol of Amendment to the Agreement be13 tween the United States of America, the United 

14 Mexican States, and Canada, done at Mexico City on 

15 December 10, 2019, as submitted to Congress on 

16 December 13, 2019; and 

17 (3) the statement of administrative action pro18 posed to implement that Agreement, as submitted to 

19 Congress on December 13, 2019. 

20 (b) CONDITIONS FOR ENTRY INTO FORCE OF THE

21 AGREEMENT.—The President is authorized to provide for 

22 the USMCA to enter into force with respect to Canada 

23 and Mexico not earlier than 30 days after the date on 

24 which the President submits to Congress the written no25 tice required by section 106(a)(1)(G) of the Bipartisan 


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1 Congressional Trade Priorities and Accountability Act of 

2 2015 (19 U.S.C. 4205(a)(1)(G)), which shall include the 

3 date on which the USMCA will enter into force. 

4 SEC. 102. RELATIONSHIP OF THE USMCA TO UNITED 

5 STATES AND STATE LAW. 

6 (a) RELATIONSHIP OF USMCA TO UNITED STATES

7 LAW.— 

8 (1) UNITED STATES LAW TO PREVAIL IN CON9 FLICT.—No provision of the USMCA, nor the appli10 cation of any such provision to any person or cir11 cumstance, which is inconsistent with any law of the 

12 United States, shall have effect. 

13 (2) CONSTRUCTION.—Nothing in this Act shall 

14 be construed— 

15 (A) to amend or modify any law of the 

16 United States, or 

17 (B) to limit any authority conferred under 

18 any law of the United States, 

19 unless specifically provided for in this Act. 

20 (b) RELATIONSHIP OF USMCA TO STATE LAW.— 

21 (1) LEGAL CHALLENGE.—No State law, or the 

22 application thereof, may be declared invalid as to 

23 any person or circumstance on the ground that the 

24 provision or application is inconsistent with the 

25 USMCA, except in an action brought by the United 


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1 States for the purpose of declaring such law or ap2 plication invalid. 

3 (2) DEFINITION OF STATE LAW.—For purposes 

4 of this subsection, the term ‘‘State law’’ includes— 

5 (A) any law of a political subdivision of a 

6 State; and 

7 (B) any State law regulating or taxing the 

8 business of insurance. 

9 (c) EFFECT OF USMCA WITH RESPECT TO PRIVATE

10 REMEDIES.—No person other than the United States— 

11 (1) shall have any cause of action or defense 

12 under the USMCA or by virtue of congressional ap13 proval thereof; or 

14 (2) may challenge, in any action brought under 

15 any provision of law, any action or inaction by any 

16 department, agency, or other instrumentality of the 

17 United States, any State, or any political subdivision 

18 of a State, on the ground that such action or inac19 tion is inconsistent with the USMCA. 

20 SEC. 103. IMPLEMENTING ACTIONS IN ANTICIPATION OF 

21 ENTRY INTO FORCE; INITIAL REGULATIONS; 

22 TARIFF PROCLAMATION AUTHORITY. 

23 (a) IMPLEMENTING ACTIONS.— 

24 (1) PROCLAMATION AUTHORITY.—After the 

25 date of the enactment of this Act— 


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1 (A) the President may proclaim such ac2 tions, and 

3 (B) other appropriate officers of the 

4 United States Government may prescribe such 

5 regulations, 

6 as may be necessary to ensure that any provision of 

7 this Act, or amendment made by this Act, that takes 

8 effect on the date on which the USMCA enters into 

9 force is appropriately implemented on such date, but 

10 no such proclamation or regulation may have an ef11 fective date earlier than the date on which the 

12 USMCA enters into force. 

13 (2) EFFECTIVE DATE OF CERTAIN PROCLAIMED

14 ACTIONS.—Any action proclaimed by the President 

15 under the authority of this Act that is not subject 

16 to the consultation and layover provisions under sec17 tion 104 may not take effect before the 15th day 

18 after the date on which the text of the proclamation 

19 is published in the Federal Register. 

20 (3) WAIVER OF 15-DAY RESTRICTION.—The 15- 

21 day restriction contained in paragraph (2) on the 

22 taking effect of proclaimed actions is waived to the 

23 extent that the application of such restriction would 

24 prevent the taking effect on the date on which the 


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1 USMCA enters into force of any action proclaimed 

2 under this section. 

3 (b) INITIAL REGULATIONS.— 

4 (1) IN GENERAL.—Except as provided by para5 graph (2) or (3), initial regulations necessary or ap6 propriate to carry out the actions required by or au7 thorized under this Act or proposed in the statement 

8 of administrative action approved under section 

9 101(a)(2) to implement the USMCA shall, to the 

10 maximum extent feasible, be prescribed within 1 

11 year after the date on which the USMCA enters into 

12 force. 

13 (2) UNIFORM REGULATIONS.—Interim or initial 

14 regulations to implement the Uniform Regulations 

15 regarding rules of origin provided for under article 

16 5.16 of the USMCA shall be prescribed not later 

17 than the date on which the USMCA enters into 

18 force. 

19 (3) IMPLEMENTING ACTIONS WITH EFFECTIVE

20 DATES AFTER ENTRY INTO FORCE.—In the case of 

21 any implementing action that takes effect on a date 

22 after the date on which the USMCA enters into 

23 force, initial regulations to carry out that action 

24 shall, to the maximum extent feasible, be prescribed 

25 within 1 year after such effective date. 


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1 (c) TARIFF MODIFICATIONS.— 

2 (1) TARIFF MODIFICATIONS PROVIDED FOR IN

3 THE USMCA.—The President may proclaim— 

4 (A) such modifications or continuation of 

5 any duty, 

6 (B) such continuation of duty-free or ex7 cise treatment, or 

8 (C) such additional duties, 

9 as the President determines to be necessary or ap10 propriate to carry out or apply articles 2.4, 2.5, 2.7, 

11 2.8, 2.9, 2.10, 6.2, and 6.3, the Schedule of the 

12 United States to Annex 2–B, including the appen13 dices to that Annex, Annex 2–C, and Annex 6–A, of 

14 the USMCA. 

15 (2) OTHER TARIFF MODIFICATIONS.—Subject 

16 to the consultation and layover provisions of section 

17 104, the President may proclaim— 

18 (A) such modifications or continuation of 

19 any duty, 

20 (B) such modifications as the United 

21 States may agree to with a USMCA country re22 garding the staging of any duty treatment set 

23 forth in the Schedule of the United States to 

24 Annex 2–B of the USMCA, including the ap25 pendices to that Annex, 


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1 (C) such continuation of duty-free or excise 

2 treatment, or 

3 (D) such additional duties, 

4 as the President determines to be necessary or ap5 propriate to maintain the general level of reciprocal 

6 and mutually advantageous concessions with respect 

7 to a USMCA country provided for by the USMCA. 

8 (3) CONVERSION TO AD VALOREM RATES.—For 

9 purposes of paragraphs (1) and (2), with respect to 

10 any good for which the base rate in the Schedule of 

11 the United States to Annex 2–B of the USMCA is 

12 a specific or compound rate of duty, the President 

13 shall substitute for the base rate an ad valorem rate 

14 that the President determines to be equivalent to the 

15 base rate. 

16 (4) TARIFF-RATE QUOTAS.—In implementing 

17 the tariff-rate quotas set forth in the Schedule of the 

18 United States to Annex 2–B of the USMCA, the 

19 President shall take such actions as may be nec20 essary to ensure that imports of agricultural goods 

21 do not disrupt the orderly marketing of agricultural 

22 goods in the United States. 

23 (5) PRESIDENTIAL PROCLAMATION AUTHORITY

24 RELATING TO RULES OF ORIGIN.— 


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1 (A) IN GENERAL.—The President may 

2 proclaim, as part of the HTS— 

3 (i) the provisions set forth in Annex 

4 4–B of the USMCA; 

5 (ii) the provisions set forth in para6 graph 2 of article 3.A.6 of Annex 3–A of 

7 the USMCA; 

8 (iii) the provisions set forth in para9 graph 5 of Annex 3–B of the USMCA; 

10 (iv) the provisions set forth in para11 graphs 14(b), 14(c), and 15(e) of Section 

12 B of Appendix 2 to Annex 2–B of the 

13 USMCA; and 

14 (v) any additional subordinate cat15 egory that is necessary to carry out section 

16 202 and section 202A consistent with the 

17 USMCA. 

18 (B) MODIFICATIONS.— 

19 (i) IN GENERAL.—Subject to the con20 sultation and layover provisions of section 

21 104, the President may proclaim modifica22 tions to the provisions proclaimed under 

23 the authority of subparagraph (A), other 

24 than the provisions of chapters 50 through 

25 63 of the USMCA. 


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1 (ii) SPECIAL RULE FOR TEXTILES.— 

2 Notwithstanding clause (i), and subject to 

3 the consultation and layover provisions of 

4 section 104, the President may proclaim— 

5 (I) such modifications to the pro6 visions proclaimed under the authority 

7 of subparagraph (A) as are necessary 

8 to implement an agreement with one 

9 or more USMCA countries pursuant 

10 to article 6.4 of the USMCA; and 

11 (II) before the end of the 1-year 

12 period beginning on the date on which 

13 the USMCA enters into force, modi14 fications to correct any typographical, 

15 clerical, or other nonsubstantive tech16 nical error regarding the provisions of 

17 chapters 50 through 63 of the 

18 USMCA. 

19 SEC. 104. CONSULTATION AND LAYOVER PROVISIONS FOR, 

20 AND EFFECTIVE DATE OF, PROCLAIMED AC21 TIONS. 

22 If a provision of this Act provides that the implemen23 tation of an action by the President by proclamation is 

24 subject to the consultation and layover requirements of 

25 this section, that action may be proclaimed only if— 


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1 (1) the President has obtained advice regarding 

2 the proposed action from— 

3 (A) the appropriate advisory committees 

4 established under section 135 of the Trade Act 

5 of 1974 (19 U.S.C. 2155); and 

6 (B) the International Trade Commission, 

7 which shall hold a public hearing on the pro8 posed action before providing advice regarding 

9 the proposed action; 

10 (2) the President has submitted to the Com11 mittee on Finance of the Senate and the Committee 

12 on Ways and Means of the House of Representatives 

13 a report that sets forth— 

14 (A) the proposed action and the reasons 

15 therefor; and 

16 (B) the advice obtained under paragraph 

17 (1); 

18 (3) a period of 60 calendar days, beginning on 

19 the first day on which the requirements set forth in 

20 paragraphs (1) and (2) have been met, has expired; 

21 and 

22 (4) the President has consulted with the com23 mittees referred to in paragraph (2) regarding the 

24 proposed action during the period referred to in 

25 paragraph (3). 


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1 SEC. 105. ADMINISTRATION OF DISPUTE SETTLEMENT PRO2 CEEDINGS. 

3 (a) UNITED STATES SECTION OF SECRETARIAT.— 

4 (1) ESTABLISHMENT OR DESIGNATION OF OF5 FICE.—The President is authorized to establish or 

6 designate within the Department of Commerce an 

7 office to serve as the United States Section of the 

8 Secretariat established under article 30.6 of the 

9 USMCA. 

10 (2) FUNCTIONS AND ADMINISTRATIVE ASSIST11 ANCE.—The office established or designated under 

12 paragraph (1), subject to the oversight of the inter13 agency group established under section 411(c)(2), 

14 shall— 

15 (A) carry out its functions within the Sec16 retariat to facilitate the operation of the 

17 USMCA, including the operation of section D 

18 of chapter 10 and chapter 31 of the USMCA; 

19 and 

20 (B) provide administrative assistance to— 

21 (i) panels established under chapter 

22 31 of the USMCA, including under Annex 

23 31–A (relating to the Facility-Specific 

24 Rapid Response Labor Mechanism); 

25 (ii) technical advisers and experts pro26 vided for under chapter 31 of the USMCA; 


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1 (iii) binational panels and extraor2 dinary challenge committees established 

3 under section D of chapter 10 of the 

4 USMCA; and 

5 (iv) binational panels and extraor6 dinary challenge committees established 

7 under NAFTA for matters covered by arti8 cle 34.1 of the USMCA (relating to transi9 tion from NAFTA). 

10 (3) TREATMENT OF OFFICE UNDER FREEDOM

11 OF INFORMATION ACT.—The office established or 

12 designated under paragraph (1) shall not be consid13 ered an agency for purposes of section 552 of title 

14 5, United States Code. 

15 (b) AUTHORIZATION OF APPROPRIATIONS.—There 

16 are authorized to be appropriated for each fiscal year after 

17 fiscal year 2020 to the Department of Commerce 

18 $2,000,000 for— 

19 (1) the operations of the office established or 

20 designated under subsection (a)(1); and 

21 (2) the payment of the United States share of 

22 the expenses of— 

23 (A) panels established under chapter 31 of 

24 the USMCA, including under Annex 31–A (reVerDate Sep 11 2014 21:16 Jan 03, 2020 Jkt 099200 PO 00000 Frm 00019 Fmt 6652 Sfmt 6201 E:\BILLS\H5430.RFS H5430

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1 lating to the Facility-Specific Rapid Response 

2 Labor Mechanism); 

3 (B) binational panels and extraordinary 

4 challenge committees established under section 

5 D of chapter 10 of the USMCA; and 

6 (C) binational panels and extraordinary 

7 challenge committees established under NAFTA 

8 for matters covered by article 34.1 of the 

9 USMCA (relating to transition from NAFTA). 

10 (c) REIMBURSEMENT OF CERTAIN EXPENSES.—If 

11 the Canadian Section or the Mexican Section of the Secre12 tariat provides funds to the United States Section during 

13 any fiscal year as reimbursement for expenses in connec14 tion with dispute settlement proceedings under section D 

15 of chapter 10 or chapter 31 of the USMCA, or under 

16 chapter 19 of NAFTA, the United States Section may, 

17 notwithstanding section 3302 of title 31, United States 

18 Code, retain and use such funds to carry out the functions 

19 described in subsection (a)(2). 

20 SEC. 106. TRADE REPRESENTATIVE AUTHORITY. 

21 If a country (other than the United States) that has 

22 signed the USMCA does not enact implementing legisla23 tion, the Trade Representative is authorized to enter into 

24 negotiations with the other country that has signed the 

25 USMCA to consider how the applicable provisions of the 


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1 USMCA can come into force with respect to the United 

2 States and that other country as promptly as possible. 

3 SEC. 107. EFFECTIVE DATE. 

4 (a) IN GENERAL.—Sections 1 through 3 and this title 

5 (other than section 103(c)) shall take effect on the date 

6 of the enactment of this Act. 

7 (b) PROCLAMATION AUTHORITY.—Section 103(c) 

8 shall take effect on the date on which the USMCA enters 

9 into force. 

10 TITLE II—CUSTOMS PROVISIONS 

11 SEC. 201. EXCLUSION OF ORIGINATING GOODS OF USMCA 

12 COUNTRIES FROM SPECIAL AGRICULTURE 

13 SAFEGUARD AUTHORITY. 

14 (a) IN GENERAL.—Section 405(e) of the Uruguay 

15 Round Agreements Act (19 U.S.C. 3602(e)) is amended 

16 to read as follows: 

17 ‘‘(e) EXCLUSION OF ORIGINATING GOODS OF

18 USMCA COUNTRIES.— 

19 ‘‘(1) IN GENERAL.—The President shall exempt 

20 from any duty imposed under this section any good 

21 that qualifies as an originating good under section 

22 202 of the United States-Mexico-Canada Agreement 

23 Implementation Act of a USMCA country with re24 spect to which preferential tariff treatment is pro25 vided under the USMCA. 


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1 ‘‘(2) DEFINITIONS.—In this subsection, the 

2 terms ‘preferential tariff treatment’, ‘USMCA’, and 

3 ‘USMCA country’ have the meanings given those 

4 terms in section 3 of the United States-Mexico-Can5 ada Agreement Implementation Act.’’. 

6 (b) EFFECTIVE DATE.— 

7 (1) IN GENERAL.—The amendment made by 

8 subsection (a) shall— 

9 (A) take effect on the date on which the 

10 USMCA enters into force; and 

11 (B) apply with respect to a good entered 

12 for consumption, or withdrawn from warehouse 

13 for consumption, on or after that date. 

14 (2) TRANSITION FROM NAFTA TREATMENT.—In 

15 the case of a good entered for consumption, or with16 drawn from warehouse for consumption, before the 

17 date on which the USMCA enters into force— 

18 (A) the amendment made by subsection (a) 

19 to section 405(e) of the Uruguay Round Agree20 ments Act (19 U.S.C. 3602(e)) shall not apply 

21 with respect to the good; and 

22 (B) section 405(e) of such Act, as in effect 

23 on the day before that date, shall continue to 

24 apply on and after that date with respect to the 

25 good. 


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1 SEC. 202. RULES OF ORIGIN. 

2 (a) DEFINITIONS.—In this section: 

3 (1) AQUACULTURE.—The term ‘‘aquaculture’’ 

4 means the farming of aquatic organisms, including 

5 fish, molluscs, crustaceans, other aquatic inverte6 brates, and aquatic plants from seed stock such as 

7 eggs, fry, fingerlings, or larvae, by intervention in 

8 the rearing or growth processes to enhance produc9 tion such as regular stocking, feeding, or protection 

10 from predators. 

11 (2) CUSTOMS VALUATION AGREEMENT.—The 

12 term ‘‘Customs Valuation Agreement’’ means the 

13 Agreement on Implementation of Article VII of the 

14 General Agreement on Tariffs and Trade 1994 re15 ferred to in section 101(d)(8) of the Uruguay Round 

16 Agreements Act (19 U.S.C. 3511(d)(8)). 

17 (3) FUNGIBLE GOOD OR FUNGIBLE MATE18 RIAL.—The term ‘‘fungible good’’ or ‘‘fungible mate19 rial’’ means a good or material, as the case may be, 

20 that is interchangeable with another good or mate21 rial for commercial purposes and the properties of 

22 which are essentially identical to such other good or 

23 material. 

24 (4) GOOD WHOLLY OBTAINED OR PRODUCED

25 ENTIRELY IN THE TERRITORY OF ONE OR MORE

26 USMCA COUNTRIES.—The term ‘‘good wholly obVerDate Sep 11 2014 21:16 Jan 03, 2020 Jkt 099200 PO 00000 Frm 00023 Fmt 6652 Sfmt 6201 E:\BILLS\H5430.RFS H5430

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1 tained or produced entirely in the territory of one or 

2 more USMCA countries’’ means any of the fol3 lowing: 

4 (A) A mineral good or other naturally oc5 curring substance extracted or taken from the 

6 territory of one or more USMCA countries. 

7 (B) A plant, plant good, vegetable, or fun8 gus grown, cultivated, harvested, picked, or 

9 gathered in the territory of one or more 

10 USMCA countries. 

11 (C) A live animal born and raised in the 

12 territory of one or more USMCA countries. 

13 (D) A good obtained in the territory of one 

14 or more USMCA countries from a live animal. 

15 (E) An animal obtained by hunting, trap16 ping, fishing, gathering, or capturing in the ter17 ritory of one or more USMCA countries. 

18 (F) A good obtained in the territory of one 

19 or more USMCA countries from aquaculture. 

20 (G) A fish, shellfish, or other marine life 

21 taken from the sea, seabed, or subsoil outside 

22 the territory of one or more USMCA countries 

23 and outside the territorial sea of any country 

24 that is not a USMCA country by— 


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1 (i) a vessel that is registered or re2 corded with a USMCA country and flying 

3 the flag of that country; or 

4 (ii) a vessel that is documented under 

5 the laws of the United States. 

6 (H) A good produced on board a factory 

7 ship from goods referred to in subparagraph 

8 (G), if such factory ship— 

9 (i) is registered or recorded with a 

10 USMCA country and flies the flag of that 

11 country; or 

12 (ii) is a vessel that is documented 

13 under the laws of the United States. 

14 (I) A good, other than a good referred to 

15 in subparagraph (G), that is taken by a 

16 USMCA country, or a person of a USMCA 

17 country, from the seabed or subsoil outside the 

18 territory of a USMCA country, if that USMCA 

19 country has the right to exploit such seabed or 

20 subsoil. 

21 (J) Waste and scrap derived from— 

22 (i) production in the territory of one 

23 or more USMCA countries; or 

24 (ii) used goods collected in the terri25 tory of one or more USMCA countries, if 


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1 such goods are fit only for the recovery of 

2 raw materials. 

3 (K) A good produced in the territory of 

4 one or more USMCA countries exclusively from 

5 goods referred to in any of subparagraphs (A) 

6 through (J), or from their derivatives, at any 

7 stage of production. 

8 (5) INDIRECT MATERIAL.—The term ‘‘indirect 

9 material’’ means a material used or consumed in the 

10 production, testing, or inspection of a good but not 

11 physically incorporated into the good, or a material 

12 used or consumed in the maintenance of buildings or 

13 the operation of equipment associated with the pro14 duction of a good, including— 

15 (A) fuel and energy; 

16 (B) tools, dies, and molds; 

17 (C) spare parts and materials used or con18 sumed in the maintenance of equipment or 

19 buildings; 

20 (D) lubricants, greases, compounding ma21 terials, and other materials used or consumed 

22 in production or to operate equipment or build23 ings; 

24 (E) gloves, glasses, footwear, clothing, 

25 safety equipment, and supplies; 


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1 (F) equipment, devices, and supplies used 

2 for testing or inspecting the good; 

3 (G) catalysts and solvents; and 

4 (H) any other material that is not incor5 porated into the good, if the use of the material 

6 in the production of the good can reasonably be 

7 demonstrated to be a part of that production. 

8 (6) INTERMEDIATE MATERIAL.—The term ‘‘in9 termediate material’’ means a material that is self10 produced, used or consumed in the production of a 

11 good, and designated as an intermediate material 

12 pursuant to subsection (d)(9). 

13 (7) MATERIAL.—The term ‘‘material’’ means a 

14 good that is used or consumed in the production of 

15 another good and includes a part or an ingredient. 

16 (8) NET COST.—The term ‘‘net cost’’ means 

17 total cost minus sales promotion, marketing, and 

18 after-sales service costs, royalties, shipping and 

19 packing costs, and nonallowable interest costs that 

20 are included in the total cost. 

21 (9) NET COST OF A GOOD.—The term ‘‘net cost 

22 of a good’’ means the net cost that can be reason23 ably allocated to a good using one of the methods set 

24 forth in subsection (d)(7). 


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1 (10) NONALLOWABLE INTEREST COSTS.—The 

2 term ‘‘nonallowable interest costs’’ means interest 

3 costs incurred by a producer that exceed 700 basis 

4 points above the applicable official interest rate for 

5 comparable maturities of the country in which the 

6 producer is located. 

7 (11) NONORIGINATING GOOD OR NONORIGI8 NATING MATERIAL.—The term ‘‘nonoriginating 

9 good’’ or ‘‘nonoriginating material’’ means a good or 

10 material, as the case may be, that does not qualify 

11 as originating under this section. 

12 (12) ORIGINATING GOOD; ORIGINATING MATE13 RIAL.—The term ‘‘originating good’’ or ‘‘originating 

14 material’’ means a good or material, as the case may 

15 be, that qualifies as originating under this section. 

16 (13) PACKAGING MATERIALS AND CON17 TAINERS.—The term ‘‘packaging materials and con18 tainers’’ means materials and containers in which a 

19 good is packaged for retail sale. 

20 (14) PACKING MATERIALS AND CONTAINERS.— 

21 The term ‘‘packing materials and containers’’ means 

22 materials and containers that are used to protect a 

23 good during transportation. 

24 (15) PRODUCER.—The term ‘‘producer’’ means 

25 a person who engages in the production of a good. 


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1 (16) PRODUCTION.—The term ‘‘production’’ 

2 means— 

3 (A) growing, cultivating, raising, mining, 

4 harvesting, fishing, trapping, hunting, cap5 turing, breeding, extracting, manufacturing, 

6 processing, or assembling a good; or 

7 (B) the farming of aquatic organisms 

8 through aquaculture. 

9 (17) REASONABLY ALLOCATE.—The term ‘‘rea10 sonably allocate’’ means to apportion in a manner 

11 appropriate to the circumstances. 

12 (18) RECOVERED MATERIAL.—The term ‘‘re13 covered material’’ means a material in the form of 

14 individual parts that are the result of— 

15 (A) the disassembly of a used good into in16 dividual parts; and 

17 (B) the cleaning, inspecting, testing, or 

18 other processing that is necessary for improve19 ment to sound working condition of such indi20 vidual parts. 

21 (19) REMANUFACTURED GOOD.—The term ‘‘re22 manufactured good’’ means a good classified in the 

23 HTS under any of chapters 84 through 90 or under 

24 heading 9402, other than a good classified under 

25 heading 8418, 8509, 8510, 8516, or 8703 or subVerDate Sep 11 2014 21:16 Jan 03, 2020 Jkt 099200 PO 00000 Frm 00029 Fmt 6652 Sfmt 6201 E:\BILLS\H5430.RFS H5430

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1 heading 8414.51, 8450.11, 8450.12, 8508.11, or 

2 8517.11, that— 

3 (A) is entirely or partially composed of re4 covered materials; 

5 (B) has a life expectancy similar to, and 

6 performs in a manner that is the same as or 

7 similar to, such a good when new; and 

8 (C) has a factory warranty similar to that 

9 applicable to such a good when new. 

10 (20) ROYALTIES.—The term ‘‘royalties’’ means 

11 payments of any kind, including payments under 

12 technical assistance or similar agreements, made as 

13 consideration for the use of, or right to use, a copy14 right, literary, artistic, or scientific work, patent, 

15 trademark, design, model, plan, or secret formula or 

16 secret process, excluding payments under technical 

17 assistance or similar agreements that can be related 

18 to a specific service such as— 

19 (A) personnel training, without regard to 

20 where the training is performed; or 

21 (B) if performed in the territory of one or 

22 more USMCA countries, engineering, tooling, 

23 die-setting, software design and similar com24 puter services, or other services. 


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1 (21) SALES PROMOTION, MARKETING, AND

2 AFTER-SALES SERVICE COSTS.—The term ‘‘sales 

3 promotion, marketing, and after-sales service costs’’ 

4 means the costs related to sales promotion, mar5 keting, and after-sales service for the following: 

6 (A) Sales and marketing promotion, media 

7 advertising, advertising and market research, 

8 promotional and demonstration materials, ex9 hibits, sales conferences, trade shows, conven10 tions, banners, marketing displays, free sam11 ples, sales, marketing, and after-sales service 

12 literature (product brochures, catalogs, tech13 nical literature, price lists, service manuals, and 

14 sales aid information), establishment and pro15 tection of logos and trademarks, sponsorships, 

16 wholesale and retail charges, and entertain17 ment. 

18 (B) Sales and marketing incentives, con19 sumer, retailer, or wholesaler rebates, and mer20 chandise incentives. 

21 (C) Salaries and wages, sales commissions, 

22 bonuses, benefits (such as medical, insurance, 

23 and pension benefits), traveling and living ex24 penses, and membership and professional fees 


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1 for sales promotion, marketing, and after-sales 

2 service personnel. 

3 (D) Product liability insurance. 

4 (E) Rent and depreciation of sales pro5 motion, marketing, and after-sales service of6 fices and distribution centers. 

7 (F) Payments by the producer to other 

8 persons for warranty repairs. 

9 (G) If the costs are identified separately 

10 for sales promotion, marketing, or after-sales 

11 service of goods on the financial statements or 

12 cost accounts of the producer, the following: 

13 (i) Property insurance premiums, 

14 taxes, utilities, and repair and maintenance 

15 of sales promotion, marketing, and after16 sales service offices and distribution cen17 ters. 

18 (ii) Recruiting and training of sales 

19 promotion, marketing, and after-sales serv20 ice personnel, and after-sales training of 

21 customers’ employees. 

22 (iii) Office supplies for sales pro23 motion, marketing, and after-sales service 

24 of goods. 


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1 (iv) Telephone, mail, and other com2 munications. 

3 (22) SELF-PRODUCED MATERIAL.—The term 

4 ‘‘self-produced material’’ means a material that is 

5 produced by the producer of a good and used in the 

6 production of that good. 

7 (23) SHIPPING AND PACKING COSTS.—The 

8 term ‘‘shipping and packing costs’’ means the costs 

9 incurred in packing a good for shipment and ship10 ping the good from the point of direct shipment to 

11 the buyer, excluding the costs of preparing and 

12 packaging the good for retail sale. 

13 (24) TERRITORY.—The term ‘‘territory’’, with 

14 respect to a USMCA country, has the meaning given 

15 that term in section C of chapter 1 of the USMCA. 

16 (25) TOTAL COST.— 

17 (A) IN GENERAL.—The term ‘‘total 

18 cost’’— 

19 (i) means all product costs, period 

20 costs, and other costs for a good incurred 

21 in the territory of one or more USMCA 

22 countries; and 

23 (ii) does not include— 

24 (I) profits that are earned by the 

25 producer of the good, regardless of 


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1 whether the costs are retained by the 

2 producer or paid out to other persons 

3 as dividends; or 

4 (II) taxes paid on those profits, 

5 including capital gains taxes. 

6 (B) OTHER DEFINITIONS.—In this para7 graph: 

8 (i) OTHER COSTS.—The term ‘‘other 

9 costs’’ means all costs recorded on the 

10 books of the producer that are not product 

11 costs or period costs, such as interest. 

12 (ii) PERIOD COSTS.—The term ‘‘pe13 riod costs’’ means costs, other than prod14 uct costs, that are expensed in the period 

15 in which they are incurred, such as selling 

16 expenses and general and administrative 

17 expenses. 

18 (iii) PRODUCT COSTS.—The term 

19 ‘‘product costs’’ means costs that are asso20 ciated with the production of a good, in21 cluding the value of materials, direct labor 

22 costs, and direct overhead. 

23 (26) TRANSACTION VALUE.—The term ‘‘trans24 action value’’ means the price— 


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1 (A) actually paid or payable for a good or 

2 material with respect to a transaction of a pro3 ducer; and 

4 (B) adjusted in accordance with the prin5 ciples set forth in paragraphs 1, 3, and 4 of ar6 ticle 8 of the Customs Valuation Agreement. 

7 (27) USMCA COUNTRY.—The term ‘‘USMCA 

8 country’’ means the United States, Canada, or Mex9 ico for such time as the USMCA is in force with re10 spect to Canada or Mexico, and the United States 

11 applies the USMCA to Canada or Mexico. 

12 (28) VALUE.—The term ‘‘value’’ means the 

13 value of a good or material for purposes of calcu14 lating customs duties or applying this section. 

15 (b) APPLICATION AND INTERPRETATION.—In this 

16 section: 

17 (1) TARIFF CLASSIFICATION.—The basis for 

18 any tariff classification is the HTS. 

19 (2) REFERENCE TO HTS.—Whenever in this 

20 section there is a reference to a chapter, heading, or 

21 subheading, that reference shall be a reference to a 

22 chapter, heading, or subheading of the HTS. 

23 (3) COST OR VALUE.—Any cost or value re24 ferred to in this section with respect to a good shall 

25 be recorded and maintained in accordance with the 


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1 generally accepted accounting principles applicable 

2 in the territory of the USMCA country in which the 

3 good is produced. 

4 (c) ORIGINATING GOODS.— 

5 (1) IN GENERAL.—For purposes of this Act 

6 and for purposes of implementing the preferential 

7 tariff treatment provided for under the USMCA, ex8 cept as otherwise provided in this section, a good is 

9 an originating good if— 

10 (A) the good is a good wholly obtained or 

11 produced entirely in the territory of one or 

12 more USMCA countries; 

13 (B) the good is produced entirely in the 

14 territory of one or more USMCA countries 

15 using nonoriginating materials, if the good sat16 isfies all applicable requirements set forth in 

17 Annex 4–B of the USMCA; or 

18 (C) the good is produced entirely in the 

19 territory of one or more USMCA countries, ex20 clusively from originating materials; 

21 (D) except for a good provided for under 

22 any of chapters 61 through 63— 

23 (i) the good is produced entirely in the 

24 territory of one or more USMCA countries; 


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1 (ii) one or more of the nonoriginating 

2 materials provided for as parts under the 

3 HTS and used in the production of the 

4 good do not satisfy the requirements set 

5 forth in Annex 4–B of the USMCA be6 cause— 

7 (I) both the good and its mate8 rials are classified under the same 

9 subheading or under the same head10 ing that is not further subdivided into 

11 subheadings; or 

12 (II) the good was imported into 

13 the territory of a USMCA country in 

14 an unassembled form or a disassem15 bled form but was classified as an as16 sembled good pursuant to rule 2(a) of 

17 the General Rules of Interpretation of 

18 the HTS; and 

19 (iii) the regional value content of the 

20 good is not less than 60 percent if the 

21 transaction value method is used, or not 

22 less than 50 percent if the net cost method 

23 is used and the good satisfies all other ap24 plicable requirements of this section; or 


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1 (E) the good itself, as imported, is listed in 

2 table 2.10.1 of the USMCA and is imported 

3 into the territory of the United States from the 

4 territory of a USMCA country. 

5 (2) REMANUFACTURED GOODS.—For purposes 

6 of determining whether a remanufactured good is an 

7 originating good, a recovered material derived in the 

8 territory of one or more USMCA countries shall be 

9 treated as originating if the recovered material is 

10 used or consumed in the production of, and incor11 porated into, the remanufactured good. 

12 (d) REGIONAL VALUE CONTENT.— 

13 (1) IN GENERAL.—Except as provided in para14 graph (5), for purposes of subparagraphs (B) and 

15 (D) of subsection (c)(1), the regional value content 

16 of a good shall be calculated, at the choice of the im17 porter, exporter, or producer of the good, on the 

18 basis of— 

19 (A) the transaction value method described 

20 in paragraph (2); or 

21 (B) the net cost method described in para22 graph (3). 

23 (2) TRANSACTION VALUE METHOD.— 

24 (A) IN GENERAL.—An importer, exporter, 

25 or producer of a good may calculate the reVerDate Sep 11 2014 21:16 Jan 03, 2020 Jkt 099200 PO 00000 Frm 00038 Fmt 6652 Sfmt 6201 E:\BILLS\H5430.RFS H5430

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1 gional value content of the good on the basis of 

2 the following transaction value method: 

TV¥VNM 

RVC = ————— × 100 

TV 

3 (B) DEFINITIONS.—In this paragraph: 

4 (i) RVC.—The term ‘‘RVC’’ means 

5 the regional value content of the good, ex6 pressed as a percentage. 

7 (ii) TV.—The term ‘‘TV’’ means the 

8 transaction value of the good, adjusted to 

9 exclude any costs incurred in the inter10 national shipment of the good. 

11 (iii) VNM.—The term ‘‘VNM’’ means 

12 the value of nonoriginating materials used 

13 by the producer in the production of the 

14 good. 

15 (3) NET COST METHOD.— 

16 (A) IN GENERAL.—An importer, exporter, 

17 or producer of a good may calculate the re18 gional value content of the good on the basis of 

19 the following net cost method: 

NC¥VNM 

RVC = ————— × 100 

NC 

20 (B) DEFINITIONS.—In this paragraph: 

21 (i) NC.—The term ‘‘NC’’ means the 

22 net cost of the good. 


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1 (ii) RVC.—The term ‘‘RVC’’ means 

2 the regional value content of the good, ex3 pressed as a percentage. 

4 (iii) VNM.—The term ‘‘VNM’’ means 

5 the value of nonoriginating materials used 

6 by the producer in the production of the 

7 good. 

8 (4) VALUE OF NONORIGINATING MATERIALS.— 

9 (A) IN GENERAL.—The value of nonorigi10 nating materials used by the producer in the 

11 production of a good shall not, for purposes of 

12 calculating the regional value content of the 

13 good under paragraph (2) or (3), include the 

14 value of nonoriginating materials used or con15 sumed to produce originating materials that are 

16 subsequently used or consumed in the produc17 tion of the good. 

18 (B) SPECIAL RULE FOR CERTAIN COMPO19 NENTS.—The following components of the value 

20 of nonoriginating materials used by the pro21 ducer in the production of a good may be 

22 counted as originating content for purposes of 

23 determining whether the good meets the re24 gional value content requirement set forth in 

25 Annex 4–B of the USMCA: 


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1 (i) The value of processing the non2 originating materials undertaken in the 

3 territory of one or more USMCA countries. 

4 (ii) The value of any originating mate5 rials used or consumed in the production 

6 of the nonoriginating materials undertaken 

7 in the territory of one or more USMCA 

8 countries. 

9 (5) NET COST METHOD REQUIRED IN CERTAIN

10 CASES.—An importer, exporter, or producer of a 

11 good shall calculate the regional value content of the 

12 good solely on the basis of the net cost method de13 scribed in paragraph (3) if the rule for the good set 

14 forth in Annex 4–B of the USMCA includes a re15 gional value content requirement not based on the 

16 transaction value method described in paragraph 

17 (2). 

18 (6) NET COST METHOD ALLOWED FOR ADJUST19 MENTS.— 

20 (A) IN GENERAL.—If an importer, ex21 porter, or producer of a good calculates the re22 gional value content of the good on the basis of 

23 the transaction value method described in para24 graph (2) and a USMCA country subsequently 

25 notifies the importer, exporter, or producer, 


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1 during the course of a verification conducted in 

2 accordance with chapter 5 or 6 of the USMCA, 

3 that the transaction value of the good or the 

4 value of any material used in the production of 

5 the good must be adjusted or is unacceptable 

6 under article 1 of the Customs Valuation 

7 Agreement, the importer, exporter, or producer 

8 may calculate the regional value content of the 

9 good on the basis of the net cost method. 

10 (B) REVIEW OF ADJUSTMENT.—Nothing 

11 in subparagraph (A) shall be construed to pre12 vent any review or appeal available in accord13 ance with article 5.15 of the USMCA with re14 spect to an adjustment to or a rejection of— 

15 (i) the transaction value of a good; or 

16 (ii) the value of any material used in 

17 the production of a good. 

18 (7) CALCULATING NET COST.—The producer of 

19 a good may, consistent with regulations imple20 menting this section, calculate the net cost of the 

21 good under paragraph (3) by— 

22 (A) calculating the total cost incurred with 

23 respect to all goods produced by that producer, 

24 subtracting any sales promotion, marketing, 

25 and after-sales services costs, royalties, shipping 


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1 and packing costs, and nonallowable interest 

2 costs that are included in the total cost of those 

3 goods, and then reasonably allocating the re4 sulting net cost of those goods to the good; 

5 (B) calculating the total cost incurred with 

6 respect to all goods produced by that producer, 

7 reasonably allocating the total cost to the good, 

8 and subtracting any sales promotion, mar9 keting, and after-sales service costs, royalties, 

10 shipping and packing costs, and nonallowable 

11 interest costs, that are included in the portion 

12 of the total cost allocated to the good; or 

13 (C) reasonably allocating each cost that is 

14 part of the total cost incurred with respect to 

15 the good so that the aggregate of those costs 

16 does not include any sales promotion, mar17 keting, and after-sales service costs, royalties, 

18 shipping and packing costs, and nonallowable 

19 interest costs. 

20 (8) VALUE OF MATERIALS USED IN PRODUC21 TION.—For purposes of calculating the regional 

22 value content of a good under this subsection, apply23 ing the de minimis rules under subsection (f), and 

24 calculating the value of nonoriginating components 


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1 in a set under subsection (m), the value of a mate2 rial used in the production of a good is— 

3 (A) in the case of a material that is im4 ported by the producer of the good, the trans5 action value of the material at the time of im6 portation, including the costs incurred in the 

7 international shipment of the material; 

8 (B) in the case of a material acquired in 

9 the territory in which the good is produced— 

10 (i) the price paid or payable by the 

11 producer in the USMCA country where the 

12 producer is located; 

13 (ii) the value as determined under 

14 subparagraph (A), as set forth in regula15 tions prescribed by the Secretary of the 

16 Treasury providing for the application of 

17 transaction value in the absence of an im18 portation by the producer; or 

19 (iii) the earliest ascertainable price 

20 paid or payable in the territory of the 

21 country; or 

22 (C) in the case of a self-produced material, 

23 the sum of— 


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1 (i) all expenses incurred in the pro2 duction of the material, including general 

3 expenses; and 

4 (ii) an amount for profit equivalent to 

5 the profit added in the normal course of 

6 trade or equal to the profit that is usually 

7 reflected in the sale of goods of the same 

8 class or kind as the material. 

9 (9) INTERMEDIATE MATERIALS.— 

10 (A) IN GENERAL.—Any self-produced ma11 terial that is used in the production of a good 

12 may be designated by the producer of the good 

13 as an intermediate material for purposes of cal14 culating the regional value content of the good 

15 under paragraph (2) or (3). 

16 (B) MATERIALS USED IN PRODUCTION OF

17 INTERMEDIATE MATERIALS.—If a self-produced 

18 material is designated as an intermediate mate19 rial under subparagraph (A) for purposes of 

20 calculating a regional value content require21 ment, no other self-produced material subject to 

22 a regional value content requirement used or 

23 consumed in the production of that inter24 mediate material may be designated by the pro25 ducer as an intermediate material. 


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1 (10) FURTHER ADJUSTMENTS TO VALUE OF

2 MATERIALS.—The following expenses, if included in 

3 the value of a nonoriginating material calculated 

4 under paragraph (8), may be deducted from the 

5 value of the nonoriginating material: 

6 (A) The costs of freight, insurance, pack7 ing, and all other costs incurred in transporting 

8 the material to the location of the producer. 

9 (B) Duties, taxes, and customs brokerage 

10 fees on the material paid in the territory of one 

11 or more USMCA countries, other than duties or 

12 taxes that are waived, refunded, refundable, or 

13 otherwise recoverable, including credit against 

14 duty or tax paid or payable. 

15 (C) The cost of waste and spoilage result16 ing from the use of the material in the produc17 tion of the good, less the value of renewable 

18 scrap or byproducts. 

19 (e) ACCUMULATION.— 

20 (1) PRODUCERS.—A good that is produced in 

21 the territory of one or more USMCA countries, by 

22 one or more producers, is an originating good if the 

23 good satisfies the requirements of subsection (c) and 

24 all other applicable requirements of this section. 


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1 (2) ORIGINATING MATERIALS USED IN PRODUC2 TION OF GOODS OF A USMCA COUNTRY.—Origi3 nating materials from the territory of one or more 

4 USMCA countries that are used in the production of 

5 a good in the territory of another USMCA country 

6 shall be considered to originate in the territory of 

7 such other USMCA country. 

8 (3) PRODUCTION UNDERTAKEN ON NONORIGI9 NATING MATERIALS USED IN THE PRODUCTION OF

10 GOODS.—In determining whether a good is an origi11 nating good under this section, production under12 taken on nonoriginating material in the territory of 

13 one or more USMCA countries by one or more pro14 ducers shall contribute to the originating status of 

15 the good, regardless of whether that production is 

16 sufficient to confer originating status to the non17 originating material. 

18 (f) DE MINIMIS AMOUNTS OF NONORIGINATING MA19 TERIALS.— 

20 (1) IN GENERAL.—Except as provided in para21 graphs (2) through (4), a good that does not under22 go a change in tariff classification or satisfy a re23 gional value content requirement set forth in Annex 

24 4–B of the USMCA is an originating good if— 


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1 (A) the value of all nonoriginating mate2 rials that are used in the production of the 

3 good, and do not undergo the applicable change 

4 in tariff classification set forth in Annex 4–B of 

5 the USMCA— 

6 (i) does not exceed 10 percent of the 

7 transaction value of the good, adjusted to 

8 exclude any costs incurred in the inter9 national shipment of the good; or 

10 (ii) does not exceed 10 percent of the 

11 total cost of the good; 

12 (B) the good meets all other applicable re13 quirements of this section; and 

14 (C) the value of such nonoriginating mate15 rials is included in the value of nonoriginating 

16 materials for any applicable regional value con17 tent requirement for the good. 

18 (2) EXCEPTIONS FOR DAIRY AND OTHER PROD19 UCTS.—Paragraph (1) does not apply to the fol20 lowing: 

21 (A) A nonoriginating material of headings 

22 0401 through 0406, or a nonoriginating dairy 

23 preparation containing over 10 percent by dry 

24 weight of milk solids of subheading 1901.90 or 


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1 2106.90, used or consumed in the production of 

2 a good of headings 0401 through 0406. 

3 (B) A nonoriginating material of headings 

4 0401 through 0406, or nonoriginating dairy 

5 preparation containing over 10 percent by dry 

6 weight of milk solids of subheading 1901.90 or 

7 2106.90, used or consumed in the production of 

8 any of the following goods: 

9 (i) Infant preparations containing 

10 over 10 percent by dry weight of milk sol11 ids, of subheading 1901.10. 

12 (ii) Mixes and doughs containing over 

13 25 percent by dry weight of butterfat, not 

14 put up for retail sale, of subheading 

15 1901.20. 

16 (iii) A dairy preparation containing 

17 over 10 percent by dry weight of milk sol18 ids, of subheading 1901.90 or 2106.90. 

19 (iv) A good of heading 2105. 

20 (v) Beverages containing milk of sub21 heading 2202.90. 

22 (vi) Animal feeds containing over 10 

23 percent by dry weight of milk solids of sub24 heading 2309.90. 


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1 (C) A nonoriginating material of heading 

2 0805, or any of subheadings 2009.11 through 

3 2009.39, used or consumed in the production of 

4 a good of subheadings 2009.11 through 

5 2009.39, or a fruit or vegetable juice of any 

6 single fruit or vegetable, fortified with minerals 

7 or vitamins, concentrated or unconcentrated, of 

8 subheading 2106.90 or 2202.90. 

9 (D) A nonoriginating material of chapter 9 

10 used or consumed in the production of instant 

11 coffee, not flavored, of subheading 2101.11. 

12 (E) A nonoriginating material of chapter 

13 15 used or consumed in the production of a 

14 good of heading 1507, 1508, 1512, 1514, or 

15 1515. 

16 (F) A nonoriginating material of heading 

17 1701 used or consumed in the production of a 

18 good of any of headings 1701 through 1703. 

19 (G) A nonoriginating material of chapter 

20 17 or heading 1805 used in the production of 

21 a good of subheading 1806.10. 

22 (H) Nonoriginating peaches, pears, or 

23 apricots of chapter 8 or 20, used in the produc24 tion of a good of heading 2008. 


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1 (I) A nonoriginating single juice ingredient 

2 of heading 2009 used or consumed in the pro3 duction of a good of— 

4 (i) subheading 2009.90, or tariff item 

5 2106.90.54 (concentrated mixtures of fruit 

6 or vegetable juice, fortified with minerals 

7 or vitamins); or 

8 (ii) tariff item 2202.99.37 (mixtures 

9 of fruit or vegetable juices, fortified with 

10 minerals or vitamins). 

11 (J) A nonoriginating material of any of 

12 headings 2203 through 2208 used or consumed 

13 in the production of a good provided for under 

14 heading 2207 or 2208. 

15 (3) GOODS PROVIDED FOR UNDER CHAPTERS 1

16 THROUGH 27.—Paragraph (1) does not apply to a 

17 nonoriginating material used or consumed in the 

18 production of a good provided for in chapters 1 

19 through 27 unless the nonoriginating material is 

20 provided for in a different subheading than the sub21 heading of the good for which origin is being deter22 mined. 

23 (4) TEXTILE OR APPAREL GOODS.— 

24 (A) GOODS CLASSIFIED UNDER CHAPTERS

25 50 THROUGH 60.—Except as provided in subVerDate Sep 11 2014 21:16 Jan 03, 2020 Jkt 099200 PO 00000 Frm 00051 Fmt 6652 Sfmt 6201 E:\BILLS\H5430.RFS H5430

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1 paragraph (C), a textile or apparel good pro2 vided for in any of chapters 50 through 60 or 

3 heading 9619 that is not an originating good 

4 because certain nonoriginating materials used 

5 in the production of the good do not undergo an 

6 applicable change in tariff classification set 

7 forth in Annex 4–B of the USMCA, shall be 

8 considered to be an originating good if the total 

9 weight of all such materials, including elas10 tomeric yarns, is not more than 10 percent of 

11 the total weight of the good and the good meets 

12 all other applicable requirements of this section. 

13 (B) GOODS CLASSIFIED UNDER CHAPTERS

14 61 THROUGH 63.—Except as provided in sub15 paragraph (C), a textile or apparel good pro16 vided for in chapter 61, 62, or 63 that is not 

17 an originating good because certain fibers or 

18 yarns used in the production of the component 

19 of the good that determines the tariff classifica20 tion of the good do not undergo an applicable 

21 change in tariff classification set forth in Annex 

22 4–B of the USMCA shall be considered to be 

23 an originating good if the total weight of all 

24 such fibers or yarns in the component, includ25 ing elastomeric yarns, is not more than 10 perVerDate Sep 11 2014 21:16 Jan 03, 2020 Jkt 099200 PO 00000 Frm 00052 Fmt 6652 Sfmt 6201 E:\BILLS\H5430.RFS H5430

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1 cent of the total weight of the component and 

2 the good meets all other applicable require3 ments of this section. 

4 (C) GOODS CONTAINING NONORIGINATING

5 ELASTOMERIC YARNS.— 

6 (i) GOODS CLASSIFIED UNDER CHAP7 TERS 50 THROUGH 60 OR HEADING 9619 .— 

8 A textile or apparel good described in sub9 paragraph (A) containing nonoriginating 

10 elastomeric yarns shall be considered to be 

11 an originating good only if the nonorigi12 nating elastomeric yarns contained in the 

13 good do not exceed 7 percent of the total 

14 weight of the good. 

15 (ii) GOODS CLASSIFIED UNDER CHAP16 TERS 61 THROUGH 63.—A textile or ap17 parel good described in subparagraph (B) 

18 containing nonoriginating elastomeric 

19 yarns shall be considered to be an origi20 nating good only if the nonoriginating elas21 tomeric yarns contained in the component 

22 of the good that determines the tariff clas23 sification of the good do not exceed 7 per24 cent of the total weight of the good. 

25 (g) FUNGIBLE GOODS AND MATERIALS.— 


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1 (1) FUNGIBLE MATERIALS USED IN PRODUC2 TION.—Subject to paragraph (3), if originating and 

3 nonoriginating fungible materials are used or con4 sumed in the production of a good, the determina5 tion of whether the materials are originating may be 

6 made on the basis of any of the inventory manage7 ment methods set forth in regulations implementing 

8 this section. 

9 (2) FUNGIBLE GOODS COMMINGLED AND EX10 PORTED.—Subject to paragraph (3), if originating 

11 and nonoriginating fungible goods are commingled 

12 and exported in the same form, the determination of 

13 whether the goods are originating may be made on 

14 the basis of any of the inventory management meth15 ods set forth in regulations implementing this sec16 tion. 

17 (3) USE OF INVENTORY MANAGEMENT METH18 OD.—A person that selects an inventory manage19 ment method for purposes of paragraph (1) or (2) 

20 shall use that inventory management method 

21 throughout the fiscal year of the person. 

22 (h) ACCESSORIES, SPARE PARTS, TOOLS, AND IN23 STRUCTIONAL OR OTHER INFORMATION MATERIALS.— 

24 (1) IN GENERAL.—Subject to paragraph (2), 

25 accessories, spare parts, tools, or instructional or 


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1 other information materials delivered with a good 

2 shall— 

3 (A) be treated as originating if the good is 

4 an originating good; 

5 (B) be disregarded in determining whether 

6 a good is a good wholly obtained or produced 

7 entirely in the territory of one or more USMCA 

8 countries or satisfies a process or change in tar9 iff classification set forth in Annex 4–B of the 

10 USMCA; and 

11 (C) be taken into account as originating or 

12 nonoriginating materials, as the case may be, in 

13 calculating any applicable regional value con14 tent of the good set forth in Annex 4–B of the 

15 USMCA. 

16 (2) CONDITIONS.—Paragraph (1) shall apply 

17 only if— 

18 (A) the accessories, spare parts, tools, or 

19 instructional or other information materials are 

20 classified with and delivered with, but not 

21 invoiced separately from, the good; and 

22 (B) the types, quantities, and value of the 

23 accessories, spare parts, tools, or instructional 

24 or other information materials are customary 

25 for the good. 


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1 (i) PACKAGING MATERIALS AND CONTAINERS FOR

2 RETAIL SALE.—Packaging materials and containers in 

3 which a good is packaged for retail sale, if classified with 

4 the good, shall be disregarded in determining whether all 

5 of the nonoriginating materials used in the production of 

6 the good undergo the applicable process or change in tariff 

7 classification requirement set forth in Annex 4–B of the 

8 USMCA, or whether the good is a good wholly obtained 

9 or produced entirely in the territory of one or more 

10 USMCA countries. If the good is subject to a regional 

11 value content requirement set forth in that Annex, the 

12 value of such packaging materials and containers shall be 

13 taken into account as originating or nonoriginating mate14 rials, as the case may be, in calculating the regional value 

15 content of the good. 

16 (j) PACKING MATERIALS AND CONTAINERS FOR

17 SHIPMENT.—Packing materials and containers for ship18 ment shall be disregarded in determining whether a good 

19 is an originating good. 

20 (k) INDIRECT MATERIALS.—An indirect material 

21 shall be treated as an originating material without regard 

22 to where it is produced. 

23 (l) TRANSIT AND TRANSSHIPMENT.—A good that has 

24 undergone production necessary to qualify as an origi25 nating good under subsection (c) shall not be considered 


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1 to be an originating good if, subsequent to that produc2 tion, the good— 

3 (1) undergoes further production or any other 

4 operation outside the territory of a USMCA country, 

5 other than— 

6 (A) unloading, reloading, separation from 

7 a bulk shipment, storing, labeling, or marking, 

8 as required by a USMCA country; or 

9 (B) any other operation necessary to pre10 serve the good in good condition or to transport 

11 the good to the territory of the importing 

12 USMCA country; or 

13 (2) does not remain under the control of cus14 toms authorities in a country other than a USMCA 

15 country. 

16 (m) GOODS CLASSIFIABLE AS GOODS PUT UP IN

17 SETS.— 

18 (1) GOODS OTHER THAN TEXTILE OR APPAREL

19 GOODS.—Notwithstanding the rules set forth in 

20 Annex 4–B of the USMCA, goods classifiable as 

21 goods put up in sets for retail sale as provided for 

22 in rule 3 of the General Rule of Interpretation of the 

23 HTS shall not be considered to be originating goods 

24 unless— 


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1 (A) each of the goods in the set is an origi2 nating good; or 

3 (B) the total value of the nonoriginating 

4 goods in the set does not exceed 10 percent of 

5 the value of the set. 

6 (2) TEXTILE OR APPAREL GOODS.—Notwith7 standing the rules set forth in Annex 4–B of the 

8 USMCA, goods classifiable as goods put up in sets 

9 for retail sale as provided for in rule 3 of the Gen10 eral Rule of Interpretation of the HTS shall not be 

11 considered to be originating goods unless— 

12 (A) each of the goods in the set is an origi13 nating good; or 

14 (B) the total value of the nonoriginating 

15 goods in the set does not exceed 10 percent of 

16 the value of the set. 

17 (n) NONQUALIFYING OPERATIONS.—A good shall not 

18 be considered to be an originating good merely by reason 

19 of— 

20 (1) mere dilution with water or another sub21 stance that does not materially alter the characteris22 tics of the good; or 

23 (2) any production or pricing practice with re24 spect to which it may be demonstrated, by a preponVerDate Sep 11 2014 21:16 Jan 03, 2020 Jkt 099200 PO 00000 Frm 00058 Fmt 6652 Sfmt 6201 E:\BILLS\H5430.RFS H5430

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1 derance of the evidence, that the object of the prac2 tice was to circumvent this section. 

3 (o) EFFECTIVE DATE.— 

4 (1) IN GENERAL.—This section shall— 

5 (A) take effect on the date on which the 

6 USMCA enters into force; and 

7 (B) apply with respect to a good entered 

8 for consumption, or withdrawn from warehouse 

9 for consumption, on or after that date. 

10 (2) TRANSITION FROM NAFTA TREATMENT.— 

11 Section 202 of the North American Free Trade 

12 Agreement Implementation Act (19 U.S.C. 3332), as 

13 in effect on the day before the date on which the 

14 USMCA enters into force, shall continue to apply on 

15 and after that date with respect to a good entered 

16 for consumption, or withdrawn from warehouse for 

17 consumption, before that date. 

18 SEC. 202A. SPECIAL RULES FOR AUTOMOTIVE GOODS. 

19 (a) DEFINITIONS.—In this section: 

20 (1) ALTERNATIVE STAGING REGIME.—The term 

21 ‘‘alternative staging regime’’ means the application, 

22 pursuant to subsection (d), of the requirements of 

23 article 8 of the automotive appendix to the produc24 tion of covered vehicles to allow producers of such 

25 vehicles to bring such production into compliance 


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1 with the requirements of articles 2 through 7 of that 

2 appendix. 

3 (2) ALTERNATIVE STAGING REGIME PERIOD.— 

4 The term ‘‘alternative staging regime period’’ means 

5 the period during which the alternative staging re6 gime is in effect. 

7 (3) AUTOMOTIVE APPENDIX.—The term ‘‘auto8 motive appendix’’ means the Appendix to Annex 4– 

9 B of the USMCA (relating to the product-specific 

10 rules of origin for automotive goods). 

11 (4) AUTOMOTIVE GOOD.—The term ‘‘auto12 motive good’’ means— 

13 (A) a covered vehicle; or 

14 (B) a part, component, or material listed 

15 in table A.1, A.2, B, C, D, or E of the auto16 motive appendix. 

17 (5) AUTOMOTIVE RULES OF ORIGIN.—The term 

18 ‘‘automotive rules of origin’’ means the rules of ori19 gin for automotive goods set forth in the automotive 

20 appendix. 

21 (6) COMMISSIONER.—The term ‘‘Commis22 sioner’’ means the Commissioner of U.S. Customs 

23 and Border Protection. 


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1 (7) COVERED VEHICLE.—The term ‘‘covered ve2 hicle’’ means a passenger vehicle, light truck, or 

3 heavy truck. 

4 (8) INTERAGENCY COMMITTEE.—The term 

5 ‘‘interagency committee’’ means the interagency 

6 committee established under subsection (b)(1). 

7 (9) PASSENGER VEHICLE; LIGHT TRUCK; 

8 HEAVY TRUCK.—The terms ‘‘passenger vehicle’’, 

9 ‘‘light truck’’, and ‘‘heavy truck’’ have the meanings 

10 given those terms in article 1 of the automotive ap11 pendix. 

12 (10) USMCA COUNTRY.—The term ‘‘USMCA 

13 country’’ means the United States, Canada, or Mex14 ico for such time as the USMCA is in force with re15 spect to Canada or Mexico, and the United States 

16 applies the USMCA to Canada or Mexico. 

17 (b) ESTABLISHMENT OF INTERAGENCY COM18 MITTEE.— 

19 (1) IN GENERAL.—Not later than 30 days after 

20 the date of the enactment of this Act, the President 

21 shall establish an interagency committee— 

22 (A) to provide advice, as appropriate, on 

23 the implementation, enforcement, and modifica24 tion of provisions of the USMCA that relate to 


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1 automotive goods, including the alternative 

2 staging regime; and 

3 (B) to review the operation of the USMCA 

4 with respect to trade in automotive goods, in5 cluding— 

6 (i) the economic effects of the auto7 motive rules of origin on the United States 

8 economy, workers, and consumers; and 

9 (ii) the impact of new technology on 

10 such rules of origin. 

11 (2) MEMBERS.—The members of the inter12 agency committee shall be the following: 

13 (A) The Trade Representative. 

14 (B) The Secretary of Commerce. 

15 (C) The Commissioner. 

16 (D) The Secretary of Labor. 

17 (E) The Chair of the International Trade 

18 Commission. 

19 (F) Any other members determined to be 

20 necessary by the Trade Representative. 

21 (3) CHAIR.—The chair of the interagency com22 mittee shall be the Trade Representative. 

23 (4) USE OF INFORMATION.— 

24 (A) INFORMATION SHARING.—Notwith25 standing any other provision of law, the memVerDate Sep 11 2014 21:16 Jan 03, 2020 Jkt 099200 PO 00000 Frm 00062 Fmt 6652 Sfmt 6201 E:\BILLS\H5430.RFS H5430

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1 bers of the interagency committee may ex2 change information for purposes of carrying out 

3 this section. 

4 (B) CONFIDENTIALITY OF INFORMA5 TION.—The interagency committee and any 

6 Federal agency represented on the interagency 

7 committee may not disclose to the public any 

8 confidential documents or information received 

9 in the course of carrying out this section, except 

10 information aggregated to preserve confiden11 tiality and used in the reports described in sub12 section (g). 

13 (c) CERTIFICATION REQUIREMENTS.— 

14 (1) CERTIFICATION RELATING TO LABOR

15 VALUE CONTENT REQUIREMENTS.— 

16 (A) IN GENERAL.—A covered vehicle shall 

17 be eligible for preferential tariff treatment only 

18 if the producer of the covered vehicle— 

19 (i) provides a certification to the Com20 missioner that the production of covered 

21 vehicles by the producer meets the labor 

22 value content requirements, including the 

23 high-wage material and manufacturing ex24 penditures, high-wage technology expendi25 tures, and high-wage assembly expendiVerDate Sep 11 2014 21:16 Jan 03, 2020 Jkt 099200 PO 00000 Frm 00063 Fmt 6652 Sfmt 6201 E:\BILLS\H5430.RFS H5430

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1 tures, as set forth in article 7 of the auto2 motive appendix or, if the producer is sub3 ject to the alternative staging regime, arti4 cles 7 and 8 of that appendix, and includes 

5 the calculations of the producer related to 

6 the labor value content requirements; and 

7 (ii) has information on record to sup8 port those calculations. 

9 (B) IMPLEMENTATION.—For purposes of 

10 meeting the requirements under subparagraph 

11 (A)— 

12 (i) the Secretary of Labor, in con13 sultation with the Commissioner, shall en14 sure that the certification of a producer 

15 under subparagraph (A)(i) does not con16 tain omissions or errors before the certifi17 cation is considered properly filed; and 

18 (ii) a calculation described in subpara19 graph (A)(i) based on a producer’s pre20 ceding fiscal or calendar year is valid for 

21 the producer’s subsequent fiscal or cal22 endar year, as the case may be, as set 

23 forth in articles 7 and 8 of the automotive 

24 appendix. 


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1 (C) REGULATIONS REQUIRED.—The Sec2 retary of the Treasury, in consultation with the 

3 Secretary of Labor, shall prescribe regulations 

4 to carry out this paragraph, including regula5 tions setting forth the procedures and require6 ments for a producer of covered vehicles to es7 tablish that the producer meets the labor value 

8 content requirements for preferential tariff 

9 treatment. 

10 (2) CERTIFICATION RELATING TO STEEL AND

11 ALUMINUM PURCHASE REQUIREMENTS.— 

12 (A) IN GENERAL.—A covered vehicle shall 

13 be eligible for preferential tariff treatment only 

14 if the producer of the covered vehicle— 

15 (i) provides a certification to the Com16 missioner that the production of covered 

17 vehicles by the producer meets the steel 

18 and aluminum purchase requirements set 

19 forth in article 6 of the automotive appen20 dix or, if the producer is subject to the al21 ternative staging regime, articles 6 and 8 

22 of that appendix; and 

23 (ii) has information on record to sup24 port the calculations relied on for the cer25 tification. 


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1 (B) IMPLEMENTATION.—For purposes of 

2 meeting the requirements under subparagraph 

3 (A)— 

4 (i) the Commissioner shall ensure that 

5 the certification of a producer under sub6 paragraph (A)(i) does not contain omis7 sions or errors before the certification is 

8 considered properly filed; and 

9 (ii) a calculation described in subpara10 graph (A)(ii) based on a producer’s pre11 ceding fiscal or calendar year is valid for 

12 the producer’s subsequent fiscal or cal13 endar year, as the case may be, as set 

14 forth in articles 6 and 8 of the automotive 

15 appendix. 

16 (C) REGULATIONS REQUIRED.—The Sec17 retary of the Treasury shall prescribe regula18 tions to carry out this paragraph, including reg19 ulations setting forth the procedures and re20 quirements for a producer of covered vehicles to 

21 establish that the producer meets the steel and 

22 aluminum purchase requirements for pref23 erential tariff treatment. 

24 (d) ALTERNATIVE STAGING REGIME.— 


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1 (1) PUBLICATION OF REQUIREMENTS.—Not 

2 later than 90 days after the date of the enactment 

3 of this Act, the Trade Representative, in consulta4 tion with the interagency committee, shall publish in 

5 the Federal Register requirements, procedures, and 

6 guidance required to implement the alternative stag7 ing regime, including with respect to the following: 

8 (A) The procedures, calculation method9 ology, timeframe, specific regional value content 

10 thresholds, and other minimum requirements, 

11 consistent with article 8 of the automotive ap12 pendix, with which a producer of covered vehi13 cles subject to the alternative staging regime is 

14 required to comply during the alternative stag15 ing regime period for such vehicles to be eligible 

16 for preferential tariff treatment pursuant to the 

17 alternative staging regime. 

18 (B) The date by which requests for the al19 ternative staging regime are required to be sub20 mitted. 

21 (C) The information a producer of pas22 senger vehicles or light trucks is required to 

23 provide, in the producer’s request to use the al24 ternative staging regime, to demonstrate the ac25 tions that the producer will take to be prepared 


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1 to meet all the requirements set forth in articles 

2 2 through 7 of the automotive appendix after 

3 the alternative staging regime period has ex4 pired, including the following: 

5 (i) A statement identifying which of 

6 the requirements set forth in articles 2 

7 through 7 of the automotive appendix that 

8 the producer expects it will be unable to 

9 meet upon entry into force of the USMCA 

10 based on current business plans. 

11 (ii) A statement indicating whether 

12 the passenger vehicles or light trucks for 

13 which the producer seeks to use the alter14 native staging regime account for 10 per15 cent or less, or more than 10 percent, of 

16 the total production of passenger vehicles 

17 or light trucks, as the case may be, in 

18 USMCA countries by the producer during 

19 the 12-month period preceding the date on 

20 which the USMCA enters into force, or the 

21 average of such production during the 36- 

22 month period preceding that date, which23 ever is greater. 

24 (iii) In the case of a producer that 

25 seeks to use the alternative staging regime 


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1 for more than 10 percent of the producer’s 

2 total production of passenger vehicles or 

3 light trucks, as the case may be, in 

4 USMCA countries— 

5 (I) a detailed and credible plan 

6 describing with specificity the actions 

7 the producer intends to take to bring 

8 production of the passenger vehicles 

9 or light trucks, as the case may be, 

10 into compliance with the requirements 

11 set forth in articles 2 through 7 of the 

12 automotive appendix after the alter13 native staging regime period expires; 

14 and 

15 (II) a statement indicating the 

16 time period for which the producer is 

17 requesting to use the alternative stag18 ing regime, if that time period is 

19 greater than 5 years after the 

20 USMCA enters into force. 

21 (D) The procedures for accepting and re22 viewing requests for the alternative staging re23 gime, including that the Trade Representative 

24 will— 


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1 (i) notify a producer of any defi2 ciencies in the request of the producer that 

3 would result in a denial of the request not 

4 later than 30 days after the request is sub5 mitted; and 

6 (ii) provide producers the opportunity 

7 to submit supplemental information. 

8 (E) The criteria the Trade Representative, 

9 in consultation with the interagency committee, 

10 will consider when determining whether to ap11 prove a request for the alternative staging re12 gime. Such criteria shall only include elements 

13 necessary for the producer to demonstrate the 

14 producer’s ability to meet the requirements 

15 specified in subparagraphs (A) and (B). The 

16 criteria shall also describe the information to 

17 meet those requirements in sufficient detail to 

18 allow the producer to identify the information 

19 necessary to complete a request for the alter20 native staging regime. 

21 (F) The opportunity for a producer de22 scribed in subparagraph (C)(iii) to modify the 

23 producer’s request for the alternative staging 

24 regime. 


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1 (2) REVIEW OF REQUESTS FOR ALTERNATIVE

2 STAGING REGIME.— 

3 (A) IN GENERAL.—In reviewing the re4 quest of a producer of passenger vehicles or 

5 light trucks for the alternative staging regime, 

6 the Trade Representative, in consultation with 

7 the interagency committee, shall determine— 

8 (i) whether the request covers 10 per9 cent or less, or more than 10 percent, of 

10 the production of passenger vehicles or 

11 light trucks in USMCA countries by the 

12 producer; and 

13 (ii) whether the producer has identi14 fied with specificity which of the require15 ments set forth in articles 2 through 7 of 

16 the automotive appendix the producer is 

17 unable to meet based on current business 

18 plans. 

19 (B) APPROVAL OF ALTERNATIVE STAGING

20 REGIME FOR PASSENGER VEHICLE OR LIGHT

21 TRUCK PRODUCTION NOT EXCEEDING 10 PER22 CENT OF NORTH AMERICAN PRODUCTION.—The 

23 Trade Representative shall authorize the use of 

24 the alternative staging regime if the Trade RepVerDate Sep 11 2014 21:16 Jan 03, 2020 Jkt 099200 PO 00000 Frm 00071 Fmt 6652 Sfmt 6201 E:\BILLS\H5430.RFS H5430

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1 resentative, in consultation with the interagency 

2 committee, determines that— 

3 (i) the request for the alternative 

4 staging regime covers passenger vehicles or 

5 light trucks that do not exceed 10 percent 

6 of the production of passenger vehicles or 

7 lights trucks, as the case may be, in 

8 USMCA countries by the producer; and 

9 (ii) the producer has identified with 

10 specificity which of the requirements set 

11 forth in articles 2 through 7 of the auto12 motive appendix the producer is unable to 

13 meet based on current business plans. 

14 (C) APPROVAL OF ALTERNATIVE STAGING

15 REGIME FOR PASSENGER VEHICLE OR LIGHT

16 TRUCK PRODUCTION EXCEEDING 10 PERCENT

17 OF NORTH AMERICAN PRODUCTION.—The 

18 Trade Representative shall authorize the use of 

19 the alternative staging regime if the Trade Rep20 resentative, in consultation with the interagency 

21 committee, determines that— 

22 (i) the request for the alternative 

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1 cles or lights trucks, as the case may be, 

2 in USMCA countries by the producer; 

3 (ii) the producer has identified with 

4 specificity which of the requirements set 

5 forth in articles 2 through 7 of the auto6 motive appendix the producer is unable to 

7 meet based on current business plans; and 

8 (iii) the detailed and credible plan of 

9 the producer submitted under paragraph 

10 (1)(C)(iii) is based on substantial evidence 

11 and reasonably calculated to bring the pro12 duction of the passenger vehicles or light 

13 trucks, as the case may be, into compliance 

14 with the requirements set forth in articles 

15 2 through 7 of the automotive appendix 

16 after the alternative staging regime period 

17 has expired. 

18 (3) PROCEDURES RELATED TO REVIEWING AND

19 APPROVING REQUESTS.— 

20 (A) DEADLINE FOR REVIEW.—Not later 

21 than 120 days after receiving a request of a 

22 producer for the alternative staging regime, the 

23 Trade Representative, in consultation with the 

24 interagency committee, shall— 

25 (i) review the request; 


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1 (ii) make a determination with respect 

2 to whether to authorize the use of the al3 ternative staging regime; and 

4 (iii) provide to each producer a re5 sponse in writing stating whether the pro6 ducer may use the alternative staging re7 gime. 

8 (B) ESTABLISHMENT OF A PUBLIC LIST.— 

9 The Trade Representative shall maintain, and 

10 update as necessary, a public list of the pro11 ducers of covered vehicles that have been au12 thorized to use the alternative staging regime. 

13 (C) REPORTING.—Before a determination 

14 is made with respect to whether to authorize 

15 the use of the alternative staging regime, the 

16 Trade Representative shall provide to the ap17 propriate congressional committees a summary 

18 of requests for the alternative staging regime. 

19 (4) ALTERNATIVE STAGING REGIME REVIEW

20 AND MODIFICATION.— 

21 (A) MATERIAL CHANGES TO CIR22 CUMSTANCES.— 

23 (i) NOTIFICATION.—If the request of 

24 a producer to use the alternative staging 

25 regime for more than 10 percent of the 


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1 total production of passenger vehicles or 

2 light trucks, as the case may be, in 

3 USMCA countries by the producer has 

4 been granted, the producer shall notify the 

5 Trade Representative and the interagency 

6 committee of any material changes to the 

7 information contained in the request, in8 cluding any supplemental information re9 lating to that request, and of any material 

10 changes to circumstances, that will affect 

11 the producer’s ability to meet any of the 

12 requirements set forth in articles 2 

13 through 7 of the automotive appendix after 

14 the alternative staging regime period has 

15 expired. 

16 (ii) REQUESTS FOR MODIFICATION OF

17 PLANS.— 

18 (I) IN GENERAL.—A producer 

19 that submits a notification under 

20 clause (i) with respect to a change de21 scribed in that clause may submit to 

22 the Trade Representative and the 

23 interagency committee a request for 

24 modification of its plan. 


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1 (II) DETERMINATION REGARDING

2 MODIFICATION.—Not later than 90 

3 days after receiving a request sub4 mitted under subclause (I), the Trade 

5 Representative, in consultation with 

6 the interagency committee, shall— 

7 (aa) review the request; 

8 (bb) make a determination 

9 with respect to whether the modi10 fied plan is based on substantial 

11 evidence and reasonably cal12 culated to ensure that the pro13 ducer will still be able to meet 

14 the requirements set forth in ar15 ticles 2 through 7 of the auto16 motive appendix after the alter17 native staging regime period has 

18 expired; 

19 (cc) if the Trade Represent20 ative makes an affirmative deter21 mination under item (bb), ap22 prove the modified plan; and 

23 (dd) notify the producer in 

24 writing of the determination. 


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1 (iii) INABILITY TO MEET REQUIRE2 MENTS.—If the Trade Representative, in 

3 consultation with the interagency com4 mittee, determines that the information 

5 provided by a producer under clause (i) 

6 demonstrates that the producer will no 

7 longer be able to meet the requirements set 

8 forth in articles 2 through 7 of the auto9 motive appendix after the alternative stag10 ing regime period has expired, the Trade 

11 Representative shall notify the producer in 

12 writing, and no claim for preferential tariff 

13 treatment may be made, on or after the 

14 date of the determination, with respect to 

15 a covered vehicle of the producer pursuant 

16 to the alternative staging regime. 

17 (5) FAILURE TO MEET REQUIREMENTS FOR AL18 TERNATIVE STAGING REGIME.— 

19 (A) IN GENERAL.—If, at any time, the 

20 Trade Representative, in consultation with the 

21 interagency committee, makes a determination 

22 described in subparagraph (B) with respect to 

23 a producer of covered vehicles subject to the al24 ternative staging regime— 


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1 (i) any claim for preferential tariff 

2 treatment under the alternative staging re3 gime for any covered vehicle of that pro4 ducer shall be considered invalid; and 

5 (ii) notwithstanding the finality of a 

6 liquidation of an entry, the importer of any 

7 covered vehicle of that producer shall be 

8 liable for the duties, taxes, and fees that 

9 would have been applicable to that vehicle 

10 if preferential tariff treatment pursuant to 

11 the alternative staging regime had not ap12 plied when the vehicle was entered for con13 sumption, or withdrawn from warehouse 

14 for consumption, plus interest assessed on 

15 or after the date of entry and before the 

16 date of the determination. 

17 (B) DETERMINATION DESCRIBED.—A de18 termination described in this subparagraph is a 

19 determination that a producer of covered vehi20 cles subject to the alternative staging regime— 

21 (i) has failed to take the steps set 

22 forth in the producer’s request for the al23 ternative staging regime and, as a result of 

24 that failure, the producer will no longer be 

25 able to meet the requirements set forth in 


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1 articles 2 through 7 of the automotive ap2 pendix after the alternative staging regime 

3 period has expired; 

4 (ii) has provided false or misleading 

5 information in the producer’s request; or 

6 (iii) in the case of a producer author7 ized to use the alternative staging regime 

8 for more than 10 percent of the total pro9 duction of passenger vehicles or light 

10 trucks in USMCA countries by the pro11 ducer, has failed to notify the Trade Rep12 resentative under paragraph (4)(A) of ma13 terial changes to circumstances that will 

14 prevent the producer from meeting any of 

15 the requirements set forth in articles 2 

16 through 7 of the automotive appendix after 

17 the alternative staging regime period has 

18 expired. 

19 (e) VERIFICATION OF LABOR VALUE CONTENT RE20 QUIREMENTS.— 

21 (1) IN GENERAL.—As part of a verification con22 ducted under section 207, the Secretary of the 

23 Treasury, in conjunction with the Secretary of 

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1 quirements set forth in article 7 of the automotive 

2 appendix or, if the producer is subject to the alter3 native staging regime under subsection (d), articles 

4 7 and 8 of that appendix. 

5 (2) ROLE OF SECRETARY OF LABOR.—In co6 operation with the Secretary of the Treasury, the 

7 Secretary of Labor shall participate in any 

8 verification conducted under paragraph (1) by 

9 verifying whether the production of covered vehicles 

10 by a producer meets the high-wage components of 

11 the labor value content requirements, including the 

12 wage component of the high-wage material and man13 ufacturing expenditures, the high-wage technology 

14 expenditures, and the high-wage assembly expendi15 tures, within the meaning given those terms in arti16 cle 7 of that appendix. 

17 (3) ROLE OF SECRETARY OF THE TREASURY.— 

18 The Secretary of the Treasury shall participate in 

19 any verification conducted under paragraph (1) by 

20 verifying— 

21 (A) the components of the labor value con22 tent requirements not covered by paragraph 

23 (2), including the annual purchase value and 

24 cost components of the high-wage material and 

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1 ing given those terms in article 7 of that appen2 dix; and 

3 (B) whether the producer has met the 

4 labor value content requirements. 

5 (4) ACTIONS BY SECRETARY OF LABOR.— 

6 (A) IN GENERAL.—In participating in a 

7 verification conducted under paragraph (1), the 

8 Secretary of Labor shall assist the Secretary of 

9 the Treasury to do the following: 

10 (i) Examine, or cause to be examined, 

11 upon reasonable notice, any record (includ12 ing any statement, declaration, document, 

13 or electronically generated or machine 

14 readable data) described in the notice with 

15 reasonable specificity. 

16 (ii) Request information from any of17 ficer, employee, or agent of a producer of 

18 automotive goods, as necessary, that may 

19 be relevant with respect to whether the 

20 production of covered vehicles meets the 

21 high-wage components of the labor value 

22 content requirements set forth in article 7 

23 of the automotive appendix or, if the pro24 ducer is subject to the alternative staging 


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1 regime under subsection (d), articles 7 and 

2 8 of that appendix. 

3 (B) NATURE OF INFORMATION RE4 QUESTED.—Records and information that may 

5 be examined or requested under subparagraph 

6 (A) may relate to wages, hours, job responsibil7 ities, and other information in any plant or fa8 cility relied on by a producer of covered vehicles 

9 to demonstrate that the production of such ve10 hicles by the producer meets the labor value 

11 content requirements set forth in article 7 of 

12 the automotive appendix or, if the producer is 

13 subject to the alternative staging regime under 

14 subsection (d), articles 7 and 8 of that appen15 dix. 

16 (5) WHISTLEBLOWER PROTECTIONS.— 

17 (A) UNLAWFUL ACTS.—It is unlawful to 

18 intimidate, threaten, restrain, coerce, blacklist, 

19 discharge, or in any other manner discriminate 

20 against any person for— 

21 (i) disclosing information to a Federal 

22 agency or to any person relating to a 

23 verification under this subsection; or 

24 (ii) cooperating or seeking to cooper25 ate in a verification under this subsection. 


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1 (B) ENFORCEMENT.—The Secretary of the 

2 Treasury and the Secretary of Labor are au3 thorized to take such actions under existing 

4 law, including imposing appropriate penalties 

5 and seeking appropriate injunctive relief, as 

6 may be necessary to ensure compliance with 

7 this subsection and as provided for in existing 

8 regulations. 

9 (6) PROTESTS OF DECISIONS OF U.S. CUSTOMS

10 AND BORDER PROTECTION.— 

11 (A) IN GENERAL.—If a protest under sec12 tion 514 of the Tariff Act of 1930 (19 U.S.C. 

13 1514) of a decision of U.S. Customs and Bor14 der Protection with respect to the eligibility for 

15 preferential tariff treatment of a covered vehicle 

16 relates to the analysis of the Department of 

17 Labor relating to the high-wage components of 

18 the labor value content requirements described 

19 in paragraph (1), the Secretary of Labor 

20 shall— 

21 (i) conduct an administrative review 

22 of the portion of the decision relating to 

23 such requirements; and 

24 (ii) provide the results of that review 

25 to the Commissioner. 


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1 (B) NO ACCELERATED DISPOSITION.—An 

2 importer may not request the accelerated dis3 position under section 515(b) of the Tariff Act 

4 of 1930 (19 U.S.C. 1515(b)) of a protest 

5 against a decision of the Commissioner de6 scribed in subparagraph (A). 

7 (f) ADMINISTRATION BY DEPARTMENT OF LABOR.— 

8 The Secretary of Labor is authorized to establish or des9 ignate an office within the Department of Labor to carry 

10 out the provisions of this section for which the Depart11 ment is responsible. 

12 (g) REVIEW AND REPORTS.— 

13 (1) PERIODIC REVIEW ON AUTOMOTIVE RULES

14 OF ORIGIN.— 

15 (A) IN GENERAL.—The Trade Representa16 tive, in consultation with the interagency com17 mittee, shall conduct a biennial review of the 

18 operation of the USMCA with respect to trade 

19 in automotive goods, including— 

20 (i) to the extent practicable, a sum21 mary of actions taken by producers to 

22 demonstrate compliance with the auto23 motive rules of origin, use of the alter24 native staging regime, enforcement of such 


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1 rules of origin, and other relevant matters; 

2 and 

3 (ii) whether the automotive rules of 

4 origin are effective and relevant in light of 

5 new technology and changes in the content, 

6 production processes, and character of 

7 automotive goods. 

8 (B) REPORT.— 

9 (i) IN GENERAL.—The Trade Rep10 resentative shall submit to the appropriate 

11 congressional committees a report on each 

12 review conducted under subparagraph (A). 

13 (ii) INITIAL REPORT.—The first re14 port required under clause (i) shall be sub15 mitted not later than 2 years after the 

16 date on which the USMCA enters into 

17 force. 

18 (iii) TERMINATION OF REPORTING RE19 QUIREMENT.—The requirement to submit 

20 reports under clause (i) shall terminate on 

21 the date that is 10 years after the date on 

22 which the USMCA enters into force. 

23 (2) REPORT BY INTERNATIONAL TRADE COM24 MISSION.—Not later than 1 year after the submis25 sion of the first report required by paragraph 


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1 (1)(B), and every 2 years thereafter until the date 

2 that is 12 years after the date on which the USMCA 

3 enters into force, the International Trade Commis4 sion shall submit to the appropriate congressional 

5 committees and the President a report on— 

6 (A) the economic impact of the automotive 

7 rules of origin on— 

8 (i) the gross domestic product of the 

9 United States; 

10 (ii) exports from and imports into the 

11 United States; 

12 (iii) aggregate employment and em13 ployment opportunities in the United 

14 States; 

15 (iv) production, investment, use of 

16 productive facilities, and profit levels in the 

17 automotive industries and other pertinent 

18 industries in the United States affected by 

19 the automotive rules of origin; 

20 (v) wages and employment of workers 

21 in the automotive sector in the United 

22 States; and 

23 (vi) the interests of consumers in the 

24 United States; 


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1 (B) the operation of the automotive rules 

2 of origin and their effects on the competitive3 ness of the United States with respect to pro4 duction and trade in automotive goods, taking 

5 into account developments in technology, pro6 duction processes, or other related matters; 

7 (C) whether the automotive rules of origin 

8 are relevant in light of technological changes in 

9 the United States; and 

10 (D) such other matters as the Inter11 national Trade Commission considers relevant 

12 to the economic impact of the automotive rules 

13 of origin, including prices, sales, inventories, 

14 patterns of demand, capital investment, obsoles15 cence of equipment, and diversification of pro16 duction in the United States. 

17 (3) REPORT BY COMPTROLLER GENERAL.—Not 

18 later than 4 years after the date on which the 

19 USMCA enters into force, the Comptroller General 

20 of the United States shall submit to the Committee 

21 on Appropriations and the Committee on Ways and 

22 Means of the House of Representatives and the 

23 Committee on Appropriations and the Committee on 

24 Finance of the Senate a report assessing the effec25 tiveness of United States Government interagency 


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1 coordination on implementation, enforcement, and 

2 verification of the automotive rules of origin and the 

3 customs procedures of the USMCA with respect to 

4 automotive goods. 

5 (4) PUBLIC PARTICIPATION.—Before submit6 ting a report under paragraph (1)(B) or (2), the 

7 agency responsible for the report shall— 

8 (A) solicit information relating to matters 

9 that will be addressed in the report from pro10 ducers of automotive goods, labor organizations, 

11 and other interested parties; 

12 (B) provide for an opportunity for the sub13 mission of comments, orally or in writing, from 

14 members of the public relating to such matters; 

15 and 

16 (C) after submitting the report, post a 

17 version of the report appropriate for public 

18 viewing on a publicly available internet website 

19 for the agency. 

20 (h) EFFECTIVE DATE.—This section shall— 

21 (1) take effect on the date of the enactment of 

22 this Act; and 

23 (2) apply with respect to goods entered, or 

24 withdrawn from warehouse for consumption, on or 


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1 after the date on which the USMCA enters into 

2 force. 

3 SEC. 203. MERCHANDISE PROCESSING FEE. 

4 (a) IN GENERAL.—Section 13031(b)(10) of the Con5 solidated Omnibus Budget Reconciliation Act of 1985 (19 

6 U.S.C. 58c(b)(10)) is amended by striking subparagraph 

7 (B) and inserting the following: 

8 ‘‘(B) No fee may be charged under paragraph (9) or 

9 (10) of subsection (a) with respect to goods that qualify 

10 as originating goods under section 202 of the United 

11 States-Mexico-Canada Agreement Implementation Act or 

12 qualify for duty-free treatment under Annex 6–A of the 

13 USMCA (as defined in section 3 of that Act). Any service 

14 for which an exemption from such fee is provided by rea15 son of this paragraph may not be funded with money con16 tained in the Customs User Fee Account.’’. 

17 (b) EFFECTIVE DATE.— 

18 (1) IN GENERAL.—The amendment made by 

19 subsection (a) shall— 

20 (A) take effect on the date on which the 

21 USMCA enters into force; and 

22 (B) apply with respect to a good entered or 

23 released on or after that date. 


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1 (2) TRANSITION FROM NAFTA TREATMENT.—In 

2 the case of a good entered or released before the 

3 date on which the USMCA enters into force— 

4 (A) the amendments made by subsection 

5 (a) to section 13031(b)(10)(B) of the Consoli6 dated Omnibus Budget Reconciliation Act of 

7 1985 (19 U.S.C. 58c(b)(10)(B)) shall not apply 

8 with respect to the good; and 

9 (B) section 13031(b)(10)(B) of such Act, 

10 as in effect on the day before that date, shall 

11 continue to apply on and after that date with 

12 respect to the good. 

13 (3) ENTERED OR RELEASED DEFINED.—In this 

14 subsection, the term ‘‘entered or released’’ has the 

15 meaning given that term in section 13031(b)(8)(E) 

16 of the Consolidated Omnibus Budget Reconciliation 

17 Act of 1985 (19 U.S.C. 58c(b)(8)(E)). 

18 SEC. 204. DISCLOSURE OF INCORRECT INFORMATION; 

19 FALSE CERTIFICATIONS OF ORIGIN; DENIAL 

20 OF PREFERENTIAL TARIFF TREATMENT. 

21 (a) DISCLOSURE OF INCORRECT INFORMATION.— 

22 Section 592 of the Tariff Act of 1930 (19 U.S.C. 1592) 

23 is amended— 

24 (1) in subsection (c), by striking paragraph (5) 

25 and inserting the following: 


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1 ‘‘(5) PRIOR DISCLOSURE REGARDING CLAIMS

2 UNDER THE USMCA.—An importer shall not be sub3 ject to penalties under subsection (a) for making an 

4 incorrect claim that a good qualifies as an origi5 nating good under section 202 of the United States6 Mexico-Canada Agreement Implementation Act if 

7 the importer, in accordance with regulations pre8 scribed by the Secretary of the Treasury, promptly 

9 makes a corrected declaration and pays any duties 

10 owing with respect to that good.’’; and 

11 (2) by striking subsection (f) and inserting the 

12 following: 

13 ‘‘(f) FALSE CERTIFICATIONS OF ORIGIN UNDER THE

14 USMCA.— 

15 ‘‘(1) IN GENERAL.—Subject to paragraph (2), 

16 it is unlawful for any person to certify falsely, by 

17 fraud, gross negligence, or negligence, in a USMCA 

18 certification of origin (as such term is defined in sec19 tion 508 of this Act) that a good exported from the 

20 United States qualifies as an originating good under 

21 the rules of origin provided for in section 202 of the 

22 United States-Mexico-Canada Agreement Implemen23 tation Act. The procedures and penalties of this sec24 tion that apply to a violation of subsection (a) also 

25 apply to a violation of this subsection. 


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1 ‘‘(2) PROMPT AND VOLUNTARY DISCLOSURE OF

2 INCORRECT INFORMATION.—No penalty shall be im3 posed under this subsection if, promptly after an ex4 porter or producer that issued a USMCA certifi5 cation of origin has reason to believe that such cer6 tification contains or is based on incorrect informa7 tion, the exporter or producer voluntarily provides 

8 written notice of such incorrect information to every 

9 person to whom the certification was issued. 

10 ‘‘(3) EXCEPTION.—A person shall not be con11 sidered to have violated paragraph (1) if— 

12 ‘‘(A) the information was correct at the 

13 time it was provided in a USMCA certification 

14 of origin but was later rendered incorrect due 

15 to a change in circumstances; and 

16 ‘‘(B) the person promptly and voluntarily 

17 provides written notice of the change in cir18 cumstances to all persons to whom the person 

19 provided the certification.’’. 

20 (b) DENIAL OF PREFERENTIAL TARIFF TREAT21 MENT.—Section 514 of the Tariff Act of 1930 (19 U.S.C. 

22 1514) is amended— 

23 (1) in subsection (b), by striking ‘‘and article 

24 1904’’ and all that follows through ‘‘Free-Trade 

25 Agreement’’; 


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1 (2) in subsection (c)— 

2 (A) in paragraph (1), in the matter fol3 lowing subparagraph (D), by striking ‘‘section 

4 202 of the North American Free Trade Agree5 ment Implementation Act’’ and inserting ‘‘sec6 tion 202 of the United States-Mexico-Canada 

7 Agreement Implementation Act’’; and 

8 (B) in paragraph (2)(E)— 

9 (i) by striking ‘‘section 202 of the 

10 North American Free Trade Agreement 

11 Implementation Act’’ and inserting ‘‘sec12 tion 202 of the United States-Mexico-Can13 ada Agreement Implementation Act’’; and 

14 (ii) by striking ‘‘NAFTA Certificate 

15 of Origin’’ and inserting ‘‘USMCA certifi16 cation of origin (as such term is defined in 

17 section 508 of this Act)’’; 

18 (3) in subsection (e), by striking ‘‘section 202 

19 of the North American Free Trade Agreement Im20 plementation Act’’ and inserting ‘‘section 202 of the 

21 United States-Mexico-Canada Agreement Implemen22 tation Act’’; and 

23 (4) by striking subsection (f) and inserting the 

24 following: 


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1 ‘‘(f) DENIAL OF PREFERENTIAL TARIFF TREAT2 MENT UNDER THE USMCA.—If U.S. Customs and Bor3 der Protection or U.S. Immigration and Customs Enforce4 ment of the Department of Homeland Security finds indi5 cations of a pattern of conduct by an importer, exporter, 

6 or producer of false or unsupported representations that 

7 goods qualify under the rules of origin provided for in sec8 tion 202 of the United States-Mexico-Canada Agreement 

9 Implementation Act, U.S. Customs and Border Protec10 tion, in accordance with regulations prescribed by the Sec11 retary of the Treasury, may suspend preferential tariff 

12 treatment under the USMCA (as defined in section 3 of 

13 that Act) to entries of identical goods covered by subse14 quent representations by that importer, exporter, or pro15 ducer until U.S. Customs and Border Protection deter16 mines that representations of that person are in con17 formity with such section 202.’’. 

18 (c) EFFECTIVE DATE.— 

19 (1) IN GENERAL.—The amendments made by 

20 subsections (a) and (b) shall— 

21 (A) take effect on the date on which the 

22 USMCA enters into force; and 

23 (B) apply with respect to a good entered, 

24 or exported from the United States, as the case 

25 may be, on or after that date. 


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1 (2) TRANSITION FROM NAFTA TREATMENT.—In 

2 the case of a good entered, or exported from the 

3 United States, as the case may be, before the date 

4 on which the USMCA enters into force— 

5 (A) the amendments made by subsection 

6 (a) to section 592 of the Tariff Act of 1930 (19 

7 U.S.C. 1592) and the amendments made by 

8 subsection (b) to section 514 of such Act (19 

9 U.S.C. 1514) shall not apply with respect to the 

10 good; and 

11 (B) sections 592 and 514 of such Act, as 

12 in effect on the day before that date, shall con13 tinue to apply on and after that date with re14 spect to the good. 

15 (3) ENTERED DEFINED.—In this subsection, 

16 the term ‘‘entered’’ includes a withdrawal from 

17 warehouse for consumption. 

18 SEC. 205. RELIQUIDATION OF ENTRIES. 

19 (a) IN GENERAL.—Section 520(d) of the Tariff Act 

20 of 1930 (19 U.S.C. 1520(d)) is amended— 

21 (1) in the matter preceding paragraph (1)— 

22 (A) by striking ‘‘section 202 of the North 

23 American Free Trade Agreement Implementa24 tion Act,’’; 


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1 (B) by striking ‘‘, or section 203’’ and in2 serting ‘‘, section 203’’; and 

3 (C) by striking ‘‘for which’’ and inserting 

4 ‘‘, or section 202 of the United States-Mexico5 Canada Agreement Implementation Act (except 

6 with respect to any merchandise processing 

7 fees), for which’’; and 

8 (2) by striking paragraph (2) and inserting the 

9 following: 

10 ‘‘(2) copies of all applicable certificates or cer11 tifications of origin; and’’. 

12 (b) EFFECTIVE DATE.— 

13 (1) IN GENERAL.—The amendments made by 

14 subsection (a) shall— 

15 (A) take effect on the date on which the 

16 USMCA enters into force; and 

17 (B) apply with respect to a good entered 

18 for consumption, or withdrawn from warehouse 

19 for consumption, on or after that date. 

20 (2) TRANSITION FROM NAFTA TREATMENT.—In 

21 the case of a good entered for consumption, or with22 drawn from warehouse for consumption, before the 

23 date on which the USMCA enters into force— 

24 (A) the amendments made by subsection 

25 (a) to section 520(d) of the Tariff Act of 1930 


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1 (19 U.S.C. 1520(d)) shall not apply with re2 spect to the good; and 

3 (B) section 520(d) of such Act, as in effect 

4 on the day before that date, shall continue to 

5 apply on and after that date with respect to the 

6 good. 

7 SEC. 206. RECORDKEEPING REQUIREMENTS. 

8 (a) IN GENERAL.—Section 508 of the Tariff Act of 

9 1930 (19 U.S.C. 1508) is amended— 

10 (1) by striking subsection (b) and inserting the 

11 following: 

12 ‘‘(b) EXPORTS AND IMPORTS RELATING TO USMCA 

13 COUNTRIES.— 

14 ‘‘(1) DEFINITIONS.—In this subsection: 

15 ‘‘(A) USMCA; USMCA COUNTRY.—The 

16 terms ‘USMCA’ and ‘USMCA country’ have the 

17 meanings given those terms in section 3 of the 

18 United States-Mexico-Canada Agreement Im19 plementation Act. 

20 ‘‘(B) USMCA CERTIFICATION OF ORI21 GIN.—The term ‘USMCA certification of origin’ 

22 means the certification established under article 

23 5.2.1 of the USMCA that a good qualifies as an 

24 originating good under the USMCA. 


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1 ‘‘(2) EXPORTS TO USMCA COUNTRIES.—Any 

2 person who completes a USMCA certification of ori3 gin or provides a written representation for a good 

4 exported from the United States to a USMCA coun5 try shall make, keep, and, pursuant to rules and reg6 ulations prescribed by the Secretary of the Treasury, 

7 render for examination and inspection, all records 

8 and supporting documents related to the origin of 

9 the good (including the certification or copies there10 of), including records related to— 

11 ‘‘(A) the purchase, cost, value, and ship12 ping of, and payment for, the good; 

13 ‘‘(B) the purchase, cost, value, and ship14 ping of, and payment for, all materials, includ15 ing indirect materials, used in the production of 

16 the good; and 

17 ‘‘(C) the production of the good in the 

18 form in which it was exported or the production 

19 of the material in the form in which it was sold. 

20 ‘‘(3) EXPORTS UNDER THE CANADIAN AGREE21 MENT.—Any person who exports, or who knowingly 

22 causes to be exported, any merchandise to Canada 

23 during such time as the United States-Canada Free24 Trade Agreement is in force with respect to, and the 

25 United States applies that Agreement to, Canada 


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1 shall make, keep, and render for examination and 

2 inspection such records (including certifications of 

3 origin or copies thereof) which pertain to the expor4 tations. 

5 ‘‘(4) IMPORTS INTO THE UNITED STATES.— 

6 ‘‘(A) IN GENERAL.—Any importer who 

7 claims preferential tariff treatment under the 

8 USMCA for a good imported into the United 

9 States from a USMCA country shall make, 

10 keep, and, pursuant to rules and regulations 

11 prescribed by the Secretary of the Treasury of 

12 the Secretary of Labor, render for examination 

13 and inspection— 

14 ‘‘(i) records and supporting docu15 mentation related to the importation; 

16 ‘‘(ii) all records and supporting docu17 ments related to the origin of the good (in18 cluding the certification or copies thereof), 

19 if the importer completed the certification; 

20 and 

21 ‘‘(iii) records and supporting docu22 ments necessary to demonstrate that the 

23 good did not, while in transit to the United 

24 States, undergo further production or any 

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1 loading, or any other operation necessary 

2 to preserve the good in good condition or 

3 to transport the good to the United States. 

4 ‘‘(B) VEHICLE PRODUCER.—Any vehicle 

5 producer whose good is the subject of a claim 

6 for preferential tariff treatment under the 

7 USMCA shall make, keep, and, pursuant to 

8 rules and regulations promulgated by the Sec9 retary of the Treasury and Secretary of Labor, 

10 render for examination and inspection records 

11 and supporting documents related to the labor 

12 value content and steel and aluminum pur13 chasing requirements for the qualification of its 

14 vehicles for preferential treatment. 

15 ‘‘(5) RETENTION PERIOD.— 

16 ‘‘(A) EXPORTS TO USMCA COUNTRIES.—A 

17 person covered by paragraph (2) who completes 

18 a USMCA certification of origin or provides a 

19 written representation for a good exported from 

20 the United States to a USMCA country shall 

21 keep the records required by such paragraph re22 lating to that certification of origin for a period 

23 of at least 5 years after the date on which the 

24 certification is completed. 


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1 ‘‘(B) EXPORTS UNDER CANADIAN AGREE2 MENT.—The records required by paragraph (3) 

3 shall be kept for such periods of time as the 

4 Secretary shall prescribe, except that— 

5 ‘‘(i) no period of time for the reten6 tion of the records may exceed 5 years 

7 from the date of entry, filing of a reconcili8 ation, or exportation, as appropriate; and 

9 ‘‘(ii) records for any drawback claim 

10 shall be kept until the third anniversary of 

11 the date of liquidation of the claim. 

12 ‘‘(C) IMPORTS INTO THE UNITED

13 STATES.— 

14 ‘‘(i) IN GENERAL.—An importer cov15 ered by paragraph (4)(A) shall keep the 

16 records and supporting documents required 

17 by such paragraph for a period of at least 

18 5 years after the date of importation of the 

19 good. 

20 ‘‘(ii) VEHICLE PRODUCER.—A vehicle 

21 producer covered by paragraph (4)(B) 

22 shall keep the records and supporting doc23 uments required by paragraph (4)(B) for a 

24 period of at least 5 years after the date of 

25 filing the certifications required under 


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1 paragraphs (1) and (2) of section 202A(c) 

2 of the United States-Mexico-Canada 

3 Agreement Implementation Act.’’; 

4 (2) by striking subsection (c); and 

5 (3) in the paragraph heading for subsection 

6 (e)(1), by striking ‘‘NAFTA’’ and inserting ‘‘USMCA’’. 

7 (b) EFFECTIVE DATE.— 

8 (1) IN GENERAL.—The amendments made by 

9 subsection (a) shall take effect on the date on which 

10 the USMCA enters into force. 

11 (2) APPLICABILITY.— 

12 (A) EXPORTS.—Paragraphs (2) and (5)(A) 

13 of section 508(b) of the Tariff Act of 1930, as 

14 amended by subsection (a), shall apply with re15 spect to a good exported from the United 

16 States on or after the date on which the 

17 USMCA enters into force. 

18 (B) IMPORTS.—Paragraphs (4) and (5)(C) 

19 of section 508(b) of the Tariff Act of 1930, as 

20 amended by subsection (a), shall apply with re21 spect to a good that is entered for consumption, 

22 or withdrawn from warehouse for consumption, 

23 on or after the date on which the USMCA en24 ters into force. 

25 (3) TRANSITION FROM NAFTA TREATMENT.— 


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1 (A) EXPORTS.—In the case of a good ex2 ported from the United States before the date 

3 on which the USMCA enters into force— 

4 (i) the amendments made by sub5 section (a) to paragraphs (2) and (5)(A) of 

6 section 508(b) of the Tariff Act of 1930 

7 (19 U.S.C. 1508) shall not apply with re8 spect to the good; and 

9 (ii) section 508 of such Act, as in ef10 fect on the day before that date, shall con11 tinue to apply on and after that date with 

12 respect to the good. 

13 (B) IMPORTS.—In the case of a good that 

14 is entered for consumption, or withdrawn from 

15 warehouse for consumption, before the date on 

16 which the USMCA enters into force, the 

17 amendments made by subsection (a) to para18 graphs (4) and (5)(C) of section 508(b) of the 

19 Tariff Act of 1930 (19 U.S.C. 1508) shall not 

20 apply with respect to the good. 

21 SEC. 207. ACTIONS REGARDING VERIFICATION OF CLAIMS 

22 UNDER THE USMCA. 

23 (a) VERIFICATION.— 

24 (1) ORIGIN VERIFICATION.— 


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1 (A) IN GENERAL.—The Secretary of the 

2 Treasury may, pursuant to article 5.9 of the 

3 USMCA, conduct a verification of whether a 

4 good is an originating good under section 202 

5 or 202A. 

6 (B) ADDITIONAL REQUIREMENTS.—If the 

7 Secretary conducts a verification under sub8 paragraph (A), the President may direct the 

9 Secretary— 

10 (i) during the verification process, to 

11 release the good only upon payment of du12 ties or provision of security; and 

13 (ii) if the Secretary makes a negative 

14 determination under subsection (b), to take 

15 action under subsection (c). 

16 (2) TEXTILE AND APPAREL GOODS.— 

17 (A) IN GENERAL.—The Secretary of the 

18 Treasury may, pursuant to article 6.6 of the 

19 USMCA, conduct a verification described in 

20 subparagraph (C) with respect to a textile or 

21 apparel good. 

22 (B) ADDITIONAL REQUIREMENTS.—If the 

23 Secretary conducts a verification under sub24 paragraph (A) with respect to a textile or apVerDate Sep 11 2014 21:16 Jan 03, 2020 Jkt 099200 PO 00000 Frm 00104 Fmt 6652 Sfmt 6201 E:\BILLS\H5430.RFS H5430

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1 parel good, the President may direct the Sec2 retary— 

3 (i) during the verification process, to 

4 take appropriate action described in sub5 paragraph (D); and 

6 (ii) if the Secretary makes a negative 

7 determination described in subsection (b), 

8 to take action under subsection (c). 

9 (C) VERIFICATION DESCRIBED.—A 

10 verification described in this subparagraph with 

11 respect to a textile or apparel good is— 

12 (i) a verification of whether the good 

13 qualifies for preferential tariff treatment 

14 under the USMCA; or 

15 (ii) a verification of whether customs 

16 offenses are occurring or have occurred 

17 with respect to the good. 

18 (D) ACTION DURING VERIFICATION.—Ap19 propriate action described in this subparagraph 

20 may consist of— 

21 (i) release of the textile or apparel 

22 good that is the subject of a verification 

23 described in subparagraph (C) upon pay24 ment of duties or provision of security; 


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1 (ii) suspension of preferential tariff 

2 treatment under the USMCA with respect 

3 to— 

4 (I) the textile or apparel good 

5 that is the subject of a verification de6 scribed in subparagraph (C)(i), if the 

7 Secretary determines that there is in8 sufficient information to support the 

9 claim for preferential tariff treatment; 

10 or 

11 (II) any textile or apparel good 

12 exported or produced by a person that 

13 is the subject of a verification de14 scribed in subparagraph (C)(ii) if the 

15 Secretary of the Treasury determines 

16 that there is insufficient information 

17 to support the claim for preferential 

18 tariff treatment made with respect to 

19 that good; 

20 (iii) denial of preferential tariff treat21 ment under the USMCA with respect to— 

22 (I) the textile or apparel good 

23 that is the subject of a verification de24 scribed in subparagraph (C)(i) if the 

25 Secretary determines that incorrect 


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1 information has been provided to sup2 port the claim for preferential tariff 

3 treatment; or 

4 (II) any textile or apparel good 

5 exported or produced by a person that 

6 is the subject of a verification de7 scribed in subparagraph (C)(ii) if the 

8 Secretary determines that the person 

9 has provided incorrect information to 

10 support the claim for preferential tar11 iff treatment that has been made with 

12 respect to that good; 

13 (iv) detention of any textile or apparel 

14 good exported or produced by a person 

15 that is the subject of a verification de16 scribed in subparagraph (C) if the Sec17 retary determines that there is insufficient 

18 information to determine the country of or19 igin of that good; and 

20 (v) denial of entry into the United 

21 States of any textile or apparel good ex22 ported or produced by a person that is the 

23 subject of a verification described in sub24 paragraph (C) if the Secretary determines 

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1 formation regarding the country of origin 

2 of that good. 

3 (b) NEGATIVE DETERMINATION.— 

4 (1) IN GENERAL.—A negative determination de5 scribed in this subsection with respect to a good im6 ported, exported, or produced by an importer, ex7 porter, or producer is a determination by the Sec8 retary, based on a verification conducted under sub9 section (a), that— 

10 (A) a claim by the importer, exporter, or 

11 producer that the good qualifies as an origi12 nating good under section 202 is inaccurate; or 

13 (B) the good does not qualify for pref14 erential tariff treatment under the USMCA be15 cause— 

16 (i) the importer, exporter, or producer 

17 failed to respond to a written request for 

18 information or failed to provide sufficient 

19 information to determine that the good 

20 qualifies as an originating good; 

21 (ii) after receipt of a written notifica22 tion for a visit to conduct verification 

23 under subsection (a), the exporter or pro24 ducer did not provide written consent for 

25 that visit; 


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1 (iii) the importer, exporter, or pro2 ducer does not maintain, or denies access 

3 to, records or documentation required 

4 under section 508(l) of the Tariff Act of 

5 1930 (19 U.S.C. 1508(l)); 

6 (iv) in the case of verification con7 ducted under subsection (a)(2)— 

8 (I) access or permission for a site 

9 visit is denied; 

10 (II) officials of the United States 

11 are prevented from completing a site 

12 visit on the proposed date and the ex13 porter or producer does not provide 

14 an acceptable alternative date for the 

15 site visit; or 

16 (III) the exporter or producer 

17 does not provide access to relevant 

18 documents or facilities during a site 

19 visit; or 

20 (v) the importer, exporter, or pro21 ducer— 

22 (I) otherwise fails to comply with 

23 the requirements of this section; or 


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1 (II) based on the preponderance 

2 of the evidence, circumvents the re3 quirements of this section. 

4 (2) REQUESTS FOR INFORMATION.—The Sec5 retary shall not make a negative determination de6 scribed in paragraph (1)(B) unless— 

7 (A) in a case in which the Secretary con8 ducts a verification with respect to a good by 

9 written request or questionnaire submitted to 

10 the importer under article 5.9.1(a) of the 

11 USMCA and the claim for preferential tariff 

12 treatment under the USMCA is based on a cer13 tification of origin completed by the exporter or 

14 producer of the good, the Secretary requests in15 formation from the exporter or producer that 

16 completed the certification; or 

17 (B) in a case in which the Secretary con18 ducts a verification with respect to a textile or 

19 apparel good by requesting a site visit under ar20 ticle 6.6.2 of the USMCA, the Secretary re21 quests information from the importer and from 

22 any exporter or producer that provided informa23 tion to the Secretary to support the claim for 

24 preferential tariff treatment. 

25 (c) ACTION BASED ON DETERMINATION.— 


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1 (1) DENIAL OF PREFERENTIAL TARIFF TREAT2 MENT.—Upon making a negative determination de3 scribed in subsection (b)(1) with respect to a good, 

4 the Secretary may deny preferential tariff treatment 

5 under the USMCA with respect to the good. 

6 (2) WITHHOLDING OF PREFERENTIAL TARIFF

7 TREATMENT BASED ON PATTERN OF CONDUCT.—If 

8 verifications of origin relating to identical goods in9 dicate a pattern of conduct by an importer, exporter, 

10 or producer of false or unsupported representations 

11 relevant to a claim that a good imported into the 

12 United States qualifies for preferential tariff treat13 ment under the USMCA, U.S. Customs and Border 

14 Protection, in accordance with regulations prescribed 

15 by the Secretary, may withhold preferential tariff 

16 treatment under the USMCA for entries of those 

17 goods imported, exported, or produced by that per18 son until U.S. Customs and Border Protection deter19 mines that person has established compliance with 

20 requirements for claims for preferential tariff treat21 ment under the USMCA. 

22 (d) PREVENTION OF CIRCUMVENTION.—In making a 

23 determination under this section, including whether to ac24 cept or reject a claim for preferential tariff treatment 

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1 quirements of this section in a manner to avoid and pre2 vent circumvention of those requirements. 

3 SEC. 208. DRAWBACK [RESERVED]. 

4 SEC. 209. OTHER AMENDMENTS TO THE TARIFF ACT OF 

5 1930. 

6 (a) COUNTRY OF ORIGIN MARKING.—Section 304 of 

7 the Tariff Act of 1930 (19 U.S.C. 1304) is amended by 

8 striking subsection (k) and inserting the following: 

9 ‘‘(k) TREATMENT OF GOODS OF A USMCA COUN10 TRY.—In applying this section to an article that qualifies 

11 as a good of a USMCA country (as defined in section 3 

12 of the United States-Mexico-Canada Agreement Imple13 mentation Act)— 

14 ‘‘(1) the exemption under subsection (a)(3)(H) 

15 shall be applied by substituting ‘reasonably know’ 

16 for ‘necessarily know’; 

17 ‘‘(2) the Secretary shall exempt the good from 

18 the requirements for marking under subsection (a) if 

19 the good— 

20 ‘‘(A) is an original work of art; or 

21 ‘‘(B) is provided for under subheading 

22 6904.10, heading 8541, or heading 8542 of the 

23 Harmonized Tariff Schedule of the United 

24 States; and 


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1 ‘‘(3) subsection (b) does not apply to the usual 

2 container of any good described in subsection 

3 (a)(3)(E) or (I) or paragraph (2)(A) or (B) of this 

4 subsection.’’. 

5 (b) EXAMINATION OF BOOKS AND WITNESSES.—Sec6 tion 509(a)(2)(A) of the Tariff Act of 1930 (19 U.S.C. 

7 1509(a)(2)(A)) is amended— 

8 (1) in clause (i), by inserting at the end ‘‘or a 

9 vehicle producer whose good is subject to a claim of 

10 preferential tariff treatment under the USMCA (as 

11 defined in section 3 of the United States-Mexico12 Canada Agreement Implementation Act),’’; and 

13 (2) in clause (ii), by striking ‘‘a NAFTA coun14 try’’ and all that follows through ‘‘Implementation 

15 Act)’’ and inserting ‘‘a USMCA country (as defined 

16 in section 3 of the United States-Mexico-Canada 

17 Agreement Implementation Act)’’. 

18 (c) EXCHANGE OF INFORMATION.—Section 628 of 

19 the Tariff Act of 1930 (19 U.S.C. 1628) is amended by 

20 striking subsection (c) and inserting the following: 

21 ‘‘(c) GOVERNMENT AGENCY OF USMCA COUN22 TRY.— 

23 ‘‘(1) IN GENERAL.—The Secretary may author24 ize U.S. Customs and Border Protection to exchange 


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1 information with any government agency of a 

2 USMCA country, if the Secretary— 

3 ‘‘(A) reasonably believes the exchange of 

4 information is necessary to implement chapter 

5 2, 4, 5, 6, or 7 of the USMCA; and 

6 ‘‘(B) obtains assurances from such agency 

7 that the information will be held in confidence 

8 and used only for governmental purposes. 

9 ‘‘(2) DEFINITIONS.—In this subsection, the 

10 terms ‘USMCA’ and ‘USMCA country’ have the 

11 meanings given those terms in section 3 of the 

12 United States-Mexico-Canada Agreement Implemen13 tation Act.’’. 

14 (d) EFFECTIVE DATE.— 

15 (1) IN GENERAL.—The amendments made by 

16 this section shall— 

17 (A) take effect on the date on which the 

18 USMCA enters into force; and 

19 (B) apply with respect to a good entered 

20 for consumption, or withdrawn from warehouse 

21 for consumption, on or after that date. 

22 (2) TRANSITION FROM NAFTA TREATMENT.—In 

23 the case of a good entered for consumption, or with24 drawn from warehouse for consumption, before the 

25 date on which the USMCA enters into force— 


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1 (A) the amendments made by this section 

2 shall not apply with respect to the good; and 

3 (B) the provisions of law amended by this 

4 section, as such provisions were in effect on the 

5 day before that date, shall continue to apply on 

6 and after that date with respect to the good. 

7 (e) EFFECTIVE DATE RELATING TO EXCHANGE OF

8 INFORMATION.—Notwithstanding the amendment made 

9 by subsection (c), the Secretary of the Treasury shall re10 tain the authority provided in section 628(c) of the Tariff 

11 Act of 1930 (as in effect on the day before the date on 

12 which the USMCA enters into force) to exchange informa13 tion with any government agency of a NAFTA country 

14 (as defined in section 2 of the North American Free Trade 

15 Agreement Implementation Act (as in effect on the day 

16 before the date on which the USMCA enters into force)). 

17 SEC. 210. REGULATIONS. 

18 (a) SECRETARY OF THE TREASURY.—The Secretary 

19 of the Treasury shall prescribe such regulations as may 

20 be necessary to carry out this title and the amendments 

21 made by this title (except as provided by subsection (b)). 

22 (b) SECRETARY OF LABOR.—The Secretary of Labor 

23 shall prescribe such regulations as may be necessary to 

24 carry out the labor value content determination under sec25 tion 202A. 


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1 TITLE III—APPLICATION OF 

2 USMCA TO SECTORS AND 

3 SERVICES 

4 Subtitle A—Relief From Injury 

5 Caused by Import Competition 

6 [reserved] 

7 Subtitle B—Temporary Entry of 

8 Business Persons [reserved] 

9 Subtitle C—United States-Mexico 

10 Cross-Border Long-Haul Truck11 ing Services 

12 SEC. 321. DEFINITIONS. 

13 In this subtitle: 

14 (1) BORDER COMMERCIAL ZONE.—The term 

15 ‘‘border commercial zone’’ means— 

16 (A) the area of United States territory of 

17 the municipalities along the United States-Mex18 ico international border and the commercial 

19 zones of such municipalities as described in 

20 subpart B of part 372 of title 49, Code of Fed21 eral Regulations; and 

22 (B) any additional border crossing and as23 sociated commercial zones listed in the Federal 

24 Motor Carrier Safety Administration OP–2 ap25 plication instructions or successor documents. 


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1 (2) CARGO ORIGINATING IN MEXICO.—The term 

2 ‘‘cargo originating in Mexico’’ means any cargo that 

3 enters the United States by commercial motor vehi4 cle from Mexico, including cargo that may have 

5 originated in a country other than Mexico. 

6 (3) CHANGE IN CIRCUMSTANCES.—The term 

7 ‘‘change in circumstance’’ may include a substantial 

8 increase in services supplied by the grantee of a 

9 grant of authority. 

10 (4) COMMERCIAL MOTOR VEHICLE.—The term 

11 ‘‘commercial motor vehicle’’ means a commercial 

12 motor vehicle, as such term is defined in paragraph 

13 (1) of section 31132 of title 49, United States Code, 

14 that meets the requirements of subparagraph (A) of 

15 such paragraph. 

16 (5) CROSS-BORDER LONG-HAUL TRUCKING

17 SERVICES.—The term ‘‘cross-border long-haul truck18 ing services’’ means— 

19 (A) the transportation by commercial 

20 motor vehicle of cargo originating in Mexico to 

21 a point in the United States outside of a border 

22 commercial zone; or 

23 (B) the transportation by commercial 

24 motor vehicle of cargo originating in the United 

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1 side of a border commercial zone to a point in 

2 a border commercial zone or a point in Mexico. 

3 (6) DRIVER.—The term ‘‘driver’’ means a per4 son that drives a commercial motor vehicle in cross5 border long-haul trucking services. 

6 (7) GRANT OF AUTHORITY.—The term ‘‘grant 

7 of authority’’ means registration granted pursuant 

8 to section 13902 of title 49, United States Code, or 

9 a successor provision, to persons of Mexico to con10 duct cross-border long-haul trucking services in the 

11 United States. 

12 (8) INTERESTED PARTY.—The term ‘‘interested 

13 party’’ means— 

14 (A) persons of the United States engaged 

15 in the provision of cross-border long-haul truck16 ing services; 

17 (B) a trade or business association, a ma18 jority of whose members are part of the rel19 evant United States long-haul trucking services 

20 industry; 

21 (C) a certified or recognized union, or rep22 resentative group of suppliers, operators, or 

23 drivers who are part of the United States long24 haul trucking services industry; 

25 (D) the Government of Mexico; or 


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1 (E) persons of Mexico. 

2 (9) MATERIAL HARM.—The term ‘‘material 

3 harm’’ means a significant loss in the share of the 

4 United States market or relevant sub-market for 

5 cross-border long-haul trucking services held by per6 sons of the United States. 

7 (10) OPERATOR OR SUPPLIER.—The term ‘‘op8 erator’’ or ‘‘supplier’’ means an entity that has been 

9 granted registration under section 13902 of title 49, 

10 United States Code, to provide cross-border long11 haul trucking services. 

12 (11) PERSONS OF MEXICO.—The term ‘‘persons 

13 of Mexico’’ includes— 

14 (A) entities domiciled in Mexico organized, 

15 or otherwise constituted under Mexican law, in16 cluding subsidiaries of United States companies 

17 domiciled in Mexico, or entities owned or con18 trolled by a Mexican national, which conduct 

19 cross-border long-haul trucking services, or em20 ploy drivers who are non-United States nation21 als; and 

22 (B) drivers who are Mexican nationals. 

23 (12) PERSONS OF THE UNITED STATES.—The 

24 term ‘‘persons of the United States’’ includes enti25 ties domiciled in the United States, organized or 


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1 otherwise constituted under United States law, and 

2 not owned or controlled by persons of Mexico, which 

3 provide cross-border long-haul trucking services and 

4 long-haul commercial motor vehicle drivers who are 

5 United States nationals. 

6 (13) THREAT OF MATERIAL HARM.—The term 

7 ‘‘threat of material harm’’ means material harm 

8 that is likely to occur. 

9 (14) UNITED STATES LONG-HAUL TRUCKING

10 SERVICES INDUSTRY.—The term ‘‘United States 

11 long-haul trucking services industry’’ means— 

12 (A) United States suppliers, operators, or 

13 drivers as a whole providing cross-border long14 haul trucking services; or 

15 (B) United States suppliers, operators, or 

16 drivers providing cross-border long-haul truck17 ing services in a specific sub-market of the 

18 whole United States market. 

19 SEC. 322. INVESTIGATIONS AND DETERMINATIONS BY COM20 MISSION. 

21 (a) INVESTIGATION.—Upon the filing of a petition by 

22 an interested party described in subparagraph (A), (B), 

23 or (C) of section 321(8) which is representative of a 

24 United States long-haul trucking services industry, or at 

25 the request of the President or the Trade Representative, 


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1 or upon the resolution of the Committee on Ways and 

2 Means of the House of Representatives or the Committee 

3 on Finance of the Senate, the International Trade Com4 mission (in this subtitle referred to as the ‘‘Commission’’) 

5 shall promptly initiate an investigation to determine— 

6 (1) whether a request by a person of Mexico to 

7 receive a grant of authority that is pending as of the 

8 date of the filing of the petition threatens to cause 

9 material harm to a United States long-haul trucking 

10 services industry; 

11 (2) whether a person of Mexico who has re12 ceived a grant of authority on or after the date of 

13 entry into force of the USMCA and retains such 

14 grant of authority is causing or threatens to cause 

15 material harm to a United States long-haul trucking 

16 services industry; or 

17 (3) whether, with respect to a person of Mexico 

18 who has received a grant of authority before the 

19 date of entry into force of the USMCA and retains 

20 such grant of authority, there has been a change in 

21 circumstances such that such person of Mexico is 

22 causing or threatens to cause material harm to a 

23 United States long-haul trucking services industry. 

24 (b) TRANSMISSION OF PETITION, REQUEST, OR RES25 OLUTION.—The Commission shall transmit a copy of any 


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1 petition, request, or resolution filed under subsection (a) 

2 to the Trade Representative and the Secretary of Trans3 portation. 

4 (c) PUBLICATION AND HEARINGS.—The Commission 

5 shall— 

6 (1) promptly publish notice of the commence7 ment of any investigation under subsection (a) in 

8 the Federal Register; and 

9 (2) within a reasonable time period thereafter, 

10 hold public hearings at which the Commission shall 

11 afford interested parties an opportunity to be 

12 present, to present evidence, to respond to presen13 tations of other parties, and otherwise to be heard. 

14 (d) FACTORS APPLIED IN MAKING DETERMINA15 TIONS.—In making a determination under subsection (a) 

16 of whether a request by a person of Mexico to receive a 

17 grant of authority, or a person of Mexico who has received 

18 a grant of authority and retains such grant of authority, 

19 as the case may be, threatens to cause material harm to 

20 a United States long-haul trucking services industry, the 

21 Commission shall— 

22 (1) consider, among other things, and as rel23 evant— 

24 (A) the volume and tonnage of merchan25 dise transported; and 


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1 (B) the employment, wages, hours of serv2 ice, and working conditions; and 

3 (2) with respect to a change in circumstances 

4 described in subsection (a)(3), take into account 

5 those operations by persons of Mexico under grants 

6 of authority in effect as of the date of entry into 

7 force of the USMCA are not causing material harm. 

8 (e) ASSISTANCE TO COMMISSION.— 

9 (1) IN GENERAL.—At the request of the Com10 mission, the Secretary of Homeland Security shall 

11 consult with the Commission and shall collect and 

12 maintain such additional data and other information 

13 on commercial motor vehicles entering or exiting the 

14 United States at a port of entry or exit at the 

15 United States border with Mexico as the Commis16 sion may request for the purpose of conducting in17 vestigations under subsection (a) and shall make 

18 such information available to the Commission in a 

19 timely manner. 

20 (2) REQUESTS FOR INFORMATION.— 

21 (A) IN GENERAL.—At the request of the 

22 Commission, the Secretary of Homeland Secu23 rity, the Secretary of Transportation, the Sec24 retary of Commerce, the Secretary of Labor, 

25 and the head of any other Federal agency shall 


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1 make available to the Commission any informa2 tion in their possession, including proprietary 

3 information, as the Commission may require in 

4 order to assist the Commission in making deter5 minations under subsection (a). 

6 (B) CONFIDENTIAL BUSINESS INFORMA7 TION.—The Commission shall treat any propri8 etary information obtained under subparagraph 

9 (A) as confidential business information in ac10 cordance with regulations adopted by the Com11 mission to carry out this subtitle. 

12 (f) LIMITED DISCLOSURE OF CONFIDENTIAL BUSI13 NESS INFORMATION UNDER PROTECTIVE ORDER.—The 

14 Commission shall promulgate regulations to provide access 

15 to confidential business information under protective order 

16 to authorized representatives of interested parties who are 

17 parties to an investigation under subsection (a). 

18 (g) DEADLINE FOR DETERMINATION.— 

19 (1) IN GENERAL.—Not later than 120 days 

20 after the date on which an investigation is initiated 

21 under subsection (a) with respect to a petition, re22 quest, or resolution, the Commission shall make a 

23 determination with respect to the petition, request, 

24 or resolution. 


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1 (2) EXCEPTION.—If, before the 100th day after 

2 an investigation is initiated under subsection (a), the 

3 Commission determines that the investigation is ex4 traordinarily complicated, the Commission shall 

5 make its determination with respect to the investiga6 tion not later than 150 days after the date referred 

7 to in paragraph (1). 

8 (h) APPLICABLE PROVISIONS.—For purposes of this 

9 subtitle, the provisions of paragraphs (1), (2), and (3) of 

10 section 330(d) of the Tariff Act of 1930 (19 U.S.C. 

11 1330(d)) shall be applied with respect to determinations 

12 and findings made under this section as if such determina13 tions and findings were made under section 202 of the 

14 Trade Act of 1974 (19 U.S.C. 2252). 

15 SEC. 323. COMMISSION RECOMMENDATIONS AND REPORT. 

16 (a) IN GENERAL.—If the Commission makes an af17 firmative determination under section 322, the Commis18 sion shall recommend the action that is necessary to ad19 dress the material harm or threat of material harm found. 

20 (b) LIMITATION.—Only those members of the Com21 mission who agreed to the affirmative determination under 

22 section 322 are eligible to vote on the recommendation re23 quired to be made under subsection (a). 

24 (c) REPORT.—Not later than the date that is 60 days 

25 after the date on which the determination is made under 


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1 section 322, the Commission shall submit to the President 

2 a report that includes— 

3 (1) the determination and an explanation of the 

4 basis for the determination; 

5 (2) if the determination is affirmative, rec6 ommendations for action and an explanation of the 

7 basis for the recommendation; and 

8 (3) any dissenting or separate views by mem9 bers of the Commission regarding the determination. 

10 (d) PUBLIC NOTICE.—Upon submitting a report to 

11 the President under subsection (c), the Commission 

12 shall— 

13 (1) promptly make public the report (with the 

14 exception of information which the Commission de15 termines to be confidential business information); 

16 and 

17 (2) publish a summary of the report in the Fed18 eral Register. 

19 SEC. 324. ACTION BY PRESIDENT WITH RESPECT TO AF20 FIRMATIVE DETERMINATION. 

21 (a) IN GENERAL.—Not later than the date that is 

22 30 days after the date on which the President receives a 

23 report of the Commission in which the Commission’s de24 termination under section 322 is affirmative or which con25 tains a determination that the President may treat as afVerDate Sep 11 2014 21:16 Jan 03, 2020 Jkt 099200 PO 00000 Frm 00126 Fmt 6652 Sfmt 6201 E:\BILLS\H5430.RFS H5430

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1 firmative in accordance with section 330(d)(1) of the Tar2 iff Act of 1930 (19 U.S.C. 1330(d)(1))— 

3 (1) the President shall, subject to subsection 

4 (b), issue an order to the Secretary of Transpor5 tation specifying the relief to be provided, consistent 

6 with subsection (c), and directing the relief to be 

7 carried out; and 

8 (2) the Secretary of Transportation shall carry 

9 out such relief. 

10 (b) EXCEPTION.—The President is not required to 

11 provide relief under this section if the President deter12 mines that provision of such relief— 

13 (1) is not in the national economic interest of 

14 the United States; or 

15 (2) would cause serious harm to the national 

16 security of the United States. 

17 (c) NATURE OF RELIEF.— 

18 (1) IN GENERAL.—The relief the President is 

19 authorized to provide under this subsection is as fol20 lows: 

21 (A)(i) With respect to a determination re22 lating to an investigation under section 

23 322(a)(1), the denial or imposition of limita24 tions on a request for a new grant of authority 


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1 by the persons of Mexico that are the subject 

2 of the investigation. 

3 (ii) With respect to a determination relat4 ing to an investigation under section 322(a)(1), 

5 the revocation of, or restrictions on, grants of 

6 authority issued to the persons of Mexico that 

7 are the subject of the investigation since the 

8 date of the petition, request, or resolution. 

9 (B) With respect to a determination relat10 ing to an investigation under section 322(a)(2) 

11 or (3), the revocation or imposition of limita12 tions on an existing grant of authority by the 

13 persons of Mexico that are the subject of the in14 vestigation. 

15 (C) With respect to a determination relat16 ing to an investigation under section 322(a)(1), 

17 (2), or (3), a cap on the number of grants of 

18 authority issued to persons of Mexico annually. 

19 (2) DEADLINE FOR RELIEF.—Not later than 15 

20 days after the date on which the President deter21 mines the relief to be provided under this subsection, 

22 the President shall direct the Secretary of Transpor23 tation to carry out the relief. 

24 (d) PERIOD OF RELIEF.— 


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1 (1) IN GENERAL.—Subject to paragraph (2), 

2 any relief that the President provides under this sec3 tion may not be in effect for more than 2 years. 

4 (2) EXTENSION.— 

5 (A) IN GENERAL.—Subject to subpara6 graph (C), the President, after receiving a de7 termination from the Commission under sub8 paragraph (B) that is affirmative, or which con9 tains a determination that the President may 

10 treat as affirmative in accordance with section 

11 330(d)(1) of the Tariff Act of 1930 (19 U.S.C. 

12 1330(d)(1)(1)), may extend the effective period 

13 of relief provided under this section by up to an 

14 additional 4 years, if the President determines 

15 that the provision of the relief continues to be 

16 necessary to remedy or prevent material harm. 

17 (B) ACTION BY COMMISSION.— 

18 (i) INVESTIGATION.—Upon request of 

19 the President, or upon the filing by an in20 terested party described in subparagraph 

21 (A), (B), or (C) of section 321(8) which is 

22 representative of a United States long-haul 

23 trucking services industry that is filed with 

24 the Commission not earlier than the date 

25 that is 270 days, and not later than the 


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1 date that is 240 days, before the date on 

2 which any action taken under this section 

3 is to terminate, the Commission shall con4 duct an investigation to determine whether 

5 action under this section continues to be 

6 necessary to remedy or prevent material 

7 harm. 

8 (ii) NOTICE AND HEARING.—The 

9 Commission shall— 

10 (I) publish notice of the com11 mencement of an investigation under 

12 clause (i) in the Federal Register; and 

13 (II) within a reasonable time 

14 thereafter, hold a public hearing at 

15 which the Commission shall afford in16 terested parties an opportunity to be 

17 present, to present evidence, and to 

18 respond to the presentations of other 

19 parties and consumers, and otherwise 

20 be heard. 

21 (iii) REPORT.—Not later than the 

22 date that is 60 days before relief provided 

23 under subsection (a) is to terminate, or 

24 such other date as determined by the 

25 President, the Commission shall submit to 


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1 the President a report on its investigation 

2 and determination under this subpara3 graph. 

4 (C) PERIOD OF RELIEF.—Any relief pro5 vided under this section, including any exten6 sion thereof, may not, in the aggregate, be in 

7 effect for more than 6 years. 

8 (D) LIMITATION.— 

9 (i) IN GENERAL.—Except as provided 

10 in clause (ii), the Commission may not 

11 conduct an investigation under subpara12 graph (B)(i) if— 

13 (I) the subject matter of the in14 vestigation is the same as the subject 

15 matter of a previous investigation con16 ducted under subparagraph (B)(i); 

17 and 

18 (II) less than 1 year has elapsed 

19 since the Commission made its report 

20 to the President of the results of such 

21 previous investigation. 

22 (ii) EXCEPTION.—Clause (i) shall not 

23 apply with respect to an investigation if 

24 the Commission determines good cause ex25 ists to conduct the investigation. 


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1 (e) REGULATIONS.—The Commission and the Sec2 retary of Transportation are authorized to promulgate 

3 such rules and regulations as may be necessary to carry 

4 out this subtitle. 

5 SEC. 325. CONFIDENTIAL BUSINESS INFORMATION. 

6 Section 202(a)(8) of the Trade Act of 1974 (19 

7 U.S.C. 2252(a)(8)) is amended in the first sentence by 

8 striking ‘‘and title III of the United States-Panama Trade 

9 Promotion Agreement Implementation Act’’ and inserting 

10 ‘‘, title III of the United States-Panama Trade Promotion 

11 Agreement Implementation Act, and subtitle C of title III 

12 of the United States-Mexico-Canada Agreement Imple13 mentation Act’’. 

14 SEC. 326. CONFORMING AMENDMENTS. 

15 (a) REGISTRATION OF MOTOR CARRIERS.—Section 

16 13902 of title 49, United States Code, is amended by in17 serting at the end the following: 

18 ‘‘(j) MEXICO-DOMICILED MOTOR CARRIERS.—Not19 withstanding any other provision of this section, upon an 

20 order in accordance with section 324(a) of the United 

21 States-Mexico-Canada Agreement Implementation Act, 

22 the Secretary shall carry out the relief specified by denying 

23 or imposing limitations on a request for registration or 

24 capping the number of requests for registration by Mexico25 domiciled motor carriers of cargo to operate beyond the 


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1 municipalities along the United States-Mexico inter2 national border and the commercial zones of those munici3 palities as directed.’’. 

4 (b) EFFECTIVE PERIODS OF REGISTRATION.—Sec5 tion 13905 of title 49, United States Code, is amended 

6 by inserting at the end the following: 

7 ‘‘(g) MEXICO-DOMICILED MOTOR CARRIERS.—Not8 withstanding any other provision of this section, upon an 

9 order in accordance with section 324(a) of the United 

10 States-Mexico-Canada Agreement Implementation Act, 

11 the Secretary shall carry out the relief specified by revok12 ing or imposing limitations on existing registrations of 

13 Mexico-domiciled motor carriers of cargo to operate be14 yond the municipalities along the United States-Mexico 

15 international border and the commercial zones of those 

16 municipalities as directed.’’. 

17 SEC. 327. SURVEY OF OPERATING AUTHORITIES. 

18 The Department of Transportation shall undertake 

19 a survey of all existing grants of operating authority to, 

20 and pending applications for operating authority from, all 

21 Mexico-domiciled motor property carriers for operating be22 yond the Border Commercial Zones, including OP–1 (MX) 

23 operating authority (Mexico-domiciled Carriers for Motor 

24 Carrier Authority to Operate Beyond U.S. Municipalities 

25 and Commercial Zones on the U.S.-Mexico Border) and 


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1 OP–1 operating authority (United States-based Enter2 prise Carrier of International Cargo Application for Motor 

3 Property Carrier and Broker Authority). The Department 

4 of Transportation shall prepare a report summarizing the 

5 results of such survey not less than 180 days after the 

6 date on which the USMCA enters into force, which it shall 

7 deliver to the Office of the United States Trade Represent8 ative, the Commission, and the Chairs and Ranking Mem9 bers of the Committee on Transportation and Infrastruc10 ture of the House of Representatives, the Committee on 

11 Commerce, Science, and Transportation of the Senate, the 

12 Committee on Ways and Means of the House of Rep13 resentatives, and the Committee on Finance of the Senate. 

14 TITLE IV—ANTIDUMPING AND 

15 COUNTERVAILING DUTIES 

16 Subtitle A—Preventing Duty 

17 Evasion 

18 SEC. 401. COOPERATION ON DUTY EVASION. 

19 Section 414(b) of the Enforce and Protect Act of 

20 2015 (19 U.S.C. 4374(b)) is amended— 

21 (1) by inserting ‘‘or a party to the USMCA (as 

22 defined in section 3 of the United States-Mexico23 Canada Agreement Implementation Act)’’ after 

24 ‘‘subsection (a)’’; and 


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1 (2) by inserting ‘‘or the USMCA, as the case 

2 may be,’’ after ‘‘the bilateral agreement’’. 

3 Subtitle B—Dispute Settlement 

4 [reserved] 

5 Subtitle C—Conforming 

6 Amendments 

7 SEC. 421. JUDICIAL REVIEW IN ANTIDUMPING DUTY AND 

8 COUNTERVAILING DUTY CASES. 

9 Section 516A of the Tariff Act of 1930 (19 U.S.C. 

10 1516a) is amended— 

11 (1) in subsection (a)— 

12 (A) in paragraph (2)(B)(vii), by striking 

13 ‘‘the Tariff Act of 1930’’ and inserting ‘‘this 

14 Act’’; and 

15 (B) in paragraph (5)(D)(i), by striking 

16 ‘‘article 1904 of the NAFTA’’ and inserting 

17 ‘‘article 10.12 of the USMCA’’; 

18 (2) in subsection (b)(3)— 

19 (A) in the paragraph heading, by striking 

20 ‘‘NAFTA OR UNITED STATES-CANADA’’ and in21 serting ‘‘UNITED STATES-CANADA OR USMCA’’; 

22 and 

23 (B) in the text, by striking ‘‘of the 

24 NAFTA or of the Agreement’’ and inserting ‘‘of 


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1 the Agreement or article 10.12 of the 

2 USMCA’’; 

3 (3) in subsection (f)— 

4 (A) in paragraph (6)(A), by striking ‘‘arti5 cle 1908 of the NAFTA’’ and inserting ‘‘article 

6 10.16 of the USMCA’’; 

7 (B) in paragraph (7)(A), by striking ‘‘arti8 cle 1908 of the NAFTA’’ and inserting ‘‘article 

9 10.16 of the USMCA’’; 

10 (C) by striking paragraph (8); 

11 (D) by redesignating paragraphs (9) and 

12 (10) as paragraphs (8) and (9), respectively; 

13 (E) in paragraph (9), as redesignated by 

14 subparagraph (D), by striking subparagraphs 

15 (A) and (B) and inserting the following: 

16 ‘‘(A) Canada for such time as the USMCA 

17 is in force with respect to, and the United 

18 States applies the USMCA to, Canada. 

19 ‘‘(B) Mexico for such time as the USMCA 

20 is in force with respect to, and the United 

21 States applies the USMCA to, Mexico.’’; and 

22 (F) by adding at the end the following: 

23 ‘‘(10) USMCA.—The term ‘USMCA’ has the 

24 meaning given that term in section 3 of the United 


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1 States-Mexico-Canada Agreement Implementation 

2 Act.’’; 

3 (4) in subsection (g)— 

4 (A) in paragraph (2), in the matter pre5 ceding subparagraph (A), by striking ‘‘of the 

6 NAFTA or of the Agreement’’ and inserting ‘‘of 

7 the Agreement or article 10.12 of the 

8 USMCA’’; 

9 (B) in paragraph (3)(A)— 

10 (i) in clause (i), by striking ‘‘of the 

11 NAFTA or of the Agreement.’’ and insert12 ing ‘‘of the Agreement or article 10.12 of 

13 the USMCA;’’; 

14 (ii) in clause (iii), by striking ‘‘the 

15 NAFTA or of the Agreement’’ and insert16 ing ‘‘the Agreement or the USMCA’’; 

17 (iii) in clause (v), by striking ‘‘para18 graph 12 of article 1905 of the NAFTA’’ 

19 and inserting ‘‘article 10.13 of the 

20 USMCA’’; and 

21 (iv) in clause (vi), by striking ‘‘para22 graph 12 of article 1905 of the NAFTA’’ 

23 and inserting ‘‘article 10.13 of the 

24 USMCA’’; 


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1 (C) in paragraph (4)(A), by striking ‘‘the 

2 North American Free Trade Agreement’’ and 

3 all that follows through ‘‘chapter 19 of the 

4 Agreement’’ and inserting ‘‘the United States5 Canada Free-Trade Agreement Implementation 

6 Act of 1988 implementing the binational panel 

7 dispute settlement system under chapter 19 of 

8 the Agreement, or the United States-Mexico9 Canada Agreement Implementation Act imple10 menting the binational panel dispute settlement 

11 system under chapter 10 of the USMCA’’; 

12 (D) in paragraph (5)— 

13 (i) in subparagraph (A), by striking 

14 ‘‘of the NAFTA or of the Agreement’’ and 

15 inserting ‘‘of the Agreement or article 

16 10.12 of the USMCA’’; 

17 (ii) in subparagraph (B), by striking 

18 ‘‘of the NAFTA or of the Agreement’’ and 

19 inserting ‘‘of the Agreement or article 

20 10.12 of the USMCA’’; and 

21 (iii) in subparagraph (C)— 

22 (I) in clause (i), by striking ‘‘of 

23 the NAFTA or of the Agreement’’ 

24 and inserting ‘‘of the Agreement or 

25 article 10.12 of the USMCA’’; and 


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1 (II) in clause (iii), by striking ‘‘of 

2 the NAFTA or of the Agreement’’ 

3 and inserting ‘‘of the Agreement or 

4 chapter 10 of the USMCA’’; 

5 (E) in paragraph (6), by striking ‘‘of the 

6 NAFTA or of the Agreement’’ and inserting ‘‘of 

7 the Agreement or article 10.12 of the 

8 USMCA’’; 

9 (F) in paragraph (7)— 

10 (i) in the paragraph heading, by strik11 ing ‘‘OF THE NAFTA OR THE AGREEMENT’’ 

12 and inserting ‘‘OF THE AGREEMENT OR

13 ARTICLE 10.12 OF THE USMCA’’; and 

14 (ii) in subparagraph (A), by striking 

15 ‘‘the NAFTA or the Agreement’’ and in16 serting ‘‘article 1904 of the Agreement or 

17 article 10.12 of the USMCA’’; 

18 (G) in paragraph (8)— 

19 (i) in subparagraph (A)— 

20 (I) in clause (i), by striking ‘‘of 

21 the NAFTA or of the Agreement’’ 

22 and inserting ‘‘of the Agreement or 

23 article 10.12 of the USMCA’’; and 

24 (II) in clause (ii)— 


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1 (aa) in the clause heading, 

2 by striking ‘‘NAFTA’’ and insert3 ing ‘‘USMCA’’; and 

4 (bb) in the text, by striking 

5 ‘‘paragraph 11(a) of article 1905 

6 of the NAFTA’’ and inserting 

7 ‘‘article 10.13 of the USMCA’’; 

8 and 

9 (ii) in subparagraph (C), by striking 

10 ‘‘of the NAFTA or the Agreement’’ and in11 serting ‘‘of the Agreement or article 10.12 

12 of the USMCA’’; 

13 (H) in paragraph (9), by striking ‘‘of the 

14 NAFTA or of the Agreement’’ and inserting ‘‘of 

15 the Agreement or chapter 10 of the USMCA’’; 

16 (I) in paragraph (10), by striking ‘‘the 

17 NAFTA or the Agreement’’ and inserting ‘‘the 

18 Agreement or under article 10.12 of the 

19 USMCA’’; 

20 (J) by striking paragraph (11) and insert21 ing the following: 

22 ‘‘(11) SUSPENSION AND TERMINATION OF SUS23 PENSION OF ARTICLE 10.12 OF THE USMCA.— 

24 ‘‘(A) SUSPENSION.—If a special committee 

25 established under article 10.13 of the USMCA 


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1 issues an affirmative finding, the Trade Rep2 resentative may, in accordance with article 

3 10.13 of the USMCA, suspend the operation of 

4 article 10.12 of the USMCA. 

5 ‘‘(B) TERMINATION OF SUSPENSION.—If a 

6 special committee is reconvened and makes an 

7 affirmative determination described in article 

8 10.13 of the USMCA, any suspension of the op9 eration of article 10.12 of the USMCA shall 

10 terminate.’’; and 

11 (K) in paragraph (12)— 

12 (i) in the paragraph heading, by strik13 ing ‘‘NAFTA’’ and inserting ‘‘USMCA’’; 

14 (ii) by striking subparagraph (A) and 

15 inserting the following: 

16 ‘‘(A) NOTICE OF SUSPENSION OR TERMI17 NATION OF SUSPENSION OF ARTICLE 10.12 OF

18 THE USMCA.— 

19 ‘‘(i) NOTICE OF SUSPENSION.—Upon 

20 notification by the Trade Representative or 

21 the government of a country described in 

22 subparagraph (A) or (B) of subsection 

23 (f)(9) that the operation of article 10.12 of 

24 the USMCA has been suspended in accord25 ance with article 10.13 of the USMCA, the 


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1 United States Secretary shall publish in 

2 the Federal Register a notice of suspension 

3 of article 10.12 of the USMCA. 

4 ‘‘(ii) NOTICE OF TERMINATION OF

5 SUSPENSION.—Upon notification by the 

6 Trade Representative or the government of 

7 a country described in subparagraph (A) 

8 or (B) of subsection (f)(9) that the suspen9 sion of the operation of article 10.12 of the 

10 USMCA is terminated in accordance with 

11 article 10.13 of the USMCA, the United 

12 States Secretary shall publish in the Fed13 eral Register a notice of termination of 

14 suspension of article 10.12 of the 

15 USMCA.’’; 

16 (iii) in subparagraph (B)— 

17 (I) in the subparagraph heading, 

18 by striking ‘‘ARTICLE 1904’’ and in19 serting ‘‘ARTICLE 10.12 OF THE

20 USMCA’’; and 

21 (II) in the matter preceding 

22 clause (i), by striking ‘‘If’’ and all 

23 that follows through ‘‘NAFTA—’’ and 

24 inserting the following: ‘‘If the oper25 ation of article 10.12 of the USMCA 


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1 is suspended in accordance with arti2 cle 10.13 of the USMCA—’’; 

3 (iv) in subparagraph (C)— 

4 (I) in clause (i)— 

5 (aa) in the matter preceding 

6 subclause (I), by striking ‘‘if the 

7 United States’’ and all that fol8 lows through ‘‘NAFTA—’’ and 

9 inserting the following: ‘‘if the 

10 United States made an allegation 

11 under article 10.13 of the 

12 USMCA and the operation of ar13 ticle 10.12 of the USMCA was 

14 suspended pursuant to article 

15 10.13 of the USMCA—’’; and 

16 (bb) in subclause (I), by 

17 striking ‘‘subsection (f)(10)(A) or 

18 (B)’’ and inserting ‘‘subpara19 graph (A) or (B) of subsection 

20 (f)(9)’’; and 

21 (II) in clause (ii), in the matter 

22 preceding subclause (I), by striking 

23 ‘‘if a country’’ and all that follows 

24 through ‘‘NAFTA—’’ and inserting 

25 the following: ‘‘if a country described 


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1 in subparagraph (A) or (B) of sub2 section (f)(9) made an allegation 

3 under article 10.13 of the USMCA 

4 and the operation of article 10.12 of 

5 the USMCA was suspended pursuant 

6 to article 10.13 of the USMCA—’’; 

7 and 

8 (v) in subparagraph (D)(i), by strik9 ing ‘‘a country described’’ and all that fol10 lows through ‘‘NAFTA’’ and inserting ‘‘a 

11 country described in subparagraph (A) or 

12 (B) of subsection (f)(9) pursuant to article 

13 10.13 of the USMCA’’. 

14 SEC. 422. CONFORMING AMENDMENTS TO OTHER PROVI15 SIONS OF THE TARIFF ACT OF 1930. 

16 (a) DISCLOSURE OF PROPRIETARY INFORMATION

17 UNDER PROTECTIVE ORDERS.—Section 777(f) of the 

18 Tariff Act of 1930 (19 U.S.C. 1677f(f)) is amended— 

19 (1) in the subsection heading, by striking 

20 ‘‘NORTH AMERICAN FREE TRADE AGREEMENT OR

21 THE UNITED STATES-CANADA AGREEMENT’’ and in22 serting ‘‘THE UNITED STATES-CANADA AGREEMENT

23 OR THE USMCA’’; 

24 (2) in paragraph (1)— 


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1 (A) in subparagraph (A), by striking ‘‘arti2 cle 1904 of the NAFTA’’ and all that follows 

3 through ‘‘, the administering authority’’ and in4 serting ‘‘article 1904 of the United States-Can5 ada Agreement or article 10.12 of the USMCA, 

6 or an extraordinary challenge committee is con7 vened under Annex 1904.13 of the United 

8 States-Canada Agreement or chapter 10 of the 

9 USMCA, the administering authority’’; and 

10 (B) in subparagraph (B), by striking 

11 ‘‘chapter 19 of the NAFTA or the Agreement’’ 

12 each place it appears and inserting ‘‘chapter 19 

13 of the Agreement or chapter 10 of the 

14 USMCA’’; 

15 (3) in paragraph (3), by striking ‘‘the NAFTA 

16 or the United States-Canada Agreement’’ and in17 serting ‘‘article 1904 of the United States-Canada 

18 Agreement or article 10.12 of the USMCA’’; 

19 (4) in paragraph (4), by striking ‘‘section 

20 402(b) of the North American Free Trade Agree21 ment Implementation Act’’ and inserting ‘‘section 

22 412(b) of the United States-Mexico-Canada Agree23 ment Implementation Act’’; and 

24 (5) by striking ‘‘section 516A(f)(10)’’ each 

25 place it appears and inserting ‘‘section 516A(f)(9)’’. 


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1 (b) DEFINITION.—Section 771 of the Tariff Act of 

2 1930 (19 U.S.C. 1677) is amended by striking paragraph 

3 (22) and inserting the following: 

4 ‘‘(22) USMCA.—The term ‘USMCA’ has the 

5 meaning given that term in section 3 of the United 

6 States-Mexico-Canada Agreement Implementation 

7 Act.’’. 

8 SEC. 423. CONFORMING AMENDMENTS TO TITLE 28, UNITED 

9 STATES CODE. 

10 (a) COURT OF INTERNATIONAL TRADE.—Chapter 95 

11 of title 28, United States Code, is amended— 

12 (1) in section 1581(i)— 

13 (A) by redesignating paragraphs (1) 

14 through (4) as subparagraphs (A) through (D), 

15 respectively; 

16 (B) by inserting ‘‘(1)’’ after ‘‘(i)’’; 

17 (C) in subparagraph (D), as redesignated 

18 by subparagraph (A), by striking ‘‘paragraphs 

19 (1)–(3) of this subsection’’ and inserting ‘‘sub20 paragraphs (A) through (C) of this paragraph’’; 

21 and 

22 (D) by striking the flush text and inserting 

23 the following: 


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1 ‘‘(2) This subsection shall not confer jurisdiction over 

2 an antidumping or countervailing duty determination 

3 which is reviewable by— 

4 ‘‘(A) the Court of International Trade under 

5 section 516A(a) of the Tariff Act of 1930 (19 

6 U.S.C. 1516a(a)); or 

7 ‘‘(B) a binational panel under section 516A(g) 

8 of the Tariff Act of 1930 (19 U.S.C. 1516a(g)).’’; 

9 (2) in section 1584, by striking the section 

10 heading and inserting the following: 

11 ‘‘§ 1584. Civil actions under the United States-Canada 

12 Free-Trade Agreement or the USMCA’’; 

13 and 

14 (3) in the table of sections at the beginning of 

15 the chapter, by striking the item relating to section 

16 1584 and inserting the following: 

‘‘1584. Civil actions under the United States-Canada Free-Trade Agreement or 

the USMCA.’’. 

17 (b) PARTICULAR PROCEEDINGS.—Sections 2201(a) 

18 and 2643(c)(5) of title 28, United States Code, are each 

19 amended by striking ‘‘section 516A(f)(10)’’ and inserting 

20 ‘‘section 516A(f)(9)’’. 


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1 Subtitle D—General Provisions 

2 SEC. 431. EFFECT OF TERMINATION OF USMCA COUNTRY 

3 STATUS. 

4 (a) IN GENERAL.—Except as provided in subsection 

5 (b), on the date on which a country ceases to be a USMCA 

6 country, the provisions of this title (other than this sec7 tion) and the amendments made by this title shall cease 

8 to have effect with respect to that country. 

9 (b) TRANSITION PROVISIONS.— 

10 (1) PROCEEDINGS REGARDING PROTECTIVE OR11 DERS AND UNDERTAKINGS.—If on the date on which 

12 a country ceases to be a USMCA country an inves13 tigation or enforcement proceeding concerning the 

14 violation of a protective order issued under section 

15 777(f) of the Tariff Act of 1930 (as amended by 

16 this title) or an undertaking of the government of 

17 that country is pending, the investigation or pro18 ceeding shall continue, and sanctions may continue 

19 to be imposed, in accordance with the provisions of 

20 such section 777(f) (as so amended). 

21 (2) BINATIONAL PANEL AND EXTRAORDINARY

22 CHALLENGE COMMITTEE REVIEWS.—If on the date 

23 on which a country ceases to be a USMCA coun24 try— 


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1 (A) a binational panel review under article 

2 10.12 of the USMCA is pending, or has been 

3 requested, or 

4 (B) an extraordinary challenge committee 

5 review under that article is pending, or has 

6 been requested, 

7 with respect to a determination which involves a 

8 class or kind of merchandise and to which subsection 

9 (g)(2) of section 516A of the Tariff Act of 1930 (19 

10 U.S.C. 1516a) applies, such determination shall be 

11 reviewable under subsection (a) of that section. In 

12 the case of a determination to which the provisions 

13 of this paragraph apply, the time limits for com14 mencing an action under 516A(a) of the Tariff Act 

15 of 1930 shall not begin to run until the date on 

16 which the USMCA ceases to be in force with respect 

17 to that country. 

18 SEC. 432. EFFECTIVE DATE. 

19 The provisions of this title and the amendments made 

20 by this title shall take effect on the date on which the 

21 USMCA enters into force, but shall not apply— 

22 (1) to any final determination described in 

23 paragraph (1)(B) or clause (i), (ii), or (iii) of para24 graph (2)(B) of section 516A(a) of the Tariff Act of 

25 1930 (19 U.S.C. 1516a(a)) notice of which is pubVerDate Sep 11 2014 21:16 Jan 03, 2020 Jkt 099200 PO 00000 Frm 00149 Fmt 6652 Sfmt 6201 E:\BILLS\H5430.RFS H5430

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1 lished in the Federal Register before such date, or 

2 to a determination described in paragraph (2)(B)(vi) 

3 of that section notice of which is received by the 

4 Government of Canada or Mexico before such date; 

5 or 

6 (2) to any binational panel review under 

7 NAFTA, or any extraordinary challenge arising out 

8 of any such review, that was commenced before such 

9 date. 

10 TITLE V—TRANSFER PROVI11 SIONS AND OTHER AMEND12 MENTS 

13 SEC. 501. DRAWBACK. 

14 (a) CLERICAL AMENDMENT.—Section 208 of this Act 

15 is amended in the section heading by striking ‘‘[RE16 SERVED]’’. 

17 (b) USMCA DRAWBACK.—Subsection (a) of section 

18 203 of the North American Free Trade Agreement Imple19 mentation Act (19 U.S.C. 3333) is— 

20 (1) transferred to section 208 of this Act; 

21 (2) inserted after the section heading for that 

22 section (as amended by subsection (a)); and 

23 (3) amended— 


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1 (A) by striking ‘‘NAFTA country’’ each 

2 place it appears and inserting ‘‘USMCA coun3 try’’; 

4 (B) in the subsection heading, by striking 

5 ‘‘NAFTA’’ and inserting ‘‘USMCA’’; 

6 (C) in the matter preceding paragraph 

7 (1)— 

8 (i) by striking ‘‘and the amendments 

9 made by subsection (b)’’; and 

10 (ii) by striking ‘‘NAFTA drawback’’ 

11 and inserting ‘‘USMCA drawback’’; 

12 (D) in paragraph (2)— 

13 (i) in subparagraph (A), by inserting 

14 ‘‘sorting, marking,’’ after ‘‘repacking,’’; 

15 and 

16 (ii) in subparagraph (B), by striking 

17 ‘‘paragraph 12 of section A of Annex 

18 703.2 of the Agreement’’ and inserting 

19 ‘‘paragraph 11 of Annex 3–B of the 

20 USMCA’’; and 

21 (E) by amending paragraph (6) to read as 

22 follows: 

23 ‘‘(6) A good provided for in subheading 

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1 ported under any re-export program or any like pro2 gram and that is— 

3 ‘‘(A) used as a material, or 

4 ‘‘(B) substituted for by a good of the same 

5 kind and quality that is used as a material, 

6 in the production of a good provided for in existing 

7 Canadian tariff item 1701.99.00 or existing Mexican 

8 tariff item 1701.99.01, 1701.99.02, or 1701.99.99 

9 (relating to refined sugar).’’. 

10 (c) SAME KIND AND QUALITY.—Section 208 of this 

11 Act, as amended by subsection (b), is further amended by 

12 adding at the end the following: 

13 ‘‘(b) SAME KIND AND QUALITY.—For purposes of 

14 paragraphs (3)(A)(iii), (5)(C), (6)(B), and (8) of sub15 section (a), and for purposes of obtaining refunds, waivers, 

16 or reductions of customs duties with respect to a good sub17 ject to USMCA drawback under section 313(n)(2) of the 

18 Tariff Act of 1930 (19 U.S.C. 1313(n)(2)), a good is a 

19 good of the same kind and quality as another good— 

20 ‘‘(1) for a good described in such paragraph 

21 (6)(B), if the good would have been considered of 

22 the same kind and quality as the other good on the 

23 day before the date on which the USMCA enters 

24 into force; or 

25 ‘‘(2) for other goods if— 


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1 ‘‘(A) the good is classified under the same 

2 8-digit HTS subheading number as the other 

3 good; or 

4 ‘‘(B) drawback would be allowed with re5 spect to the goods under subsection (b)(4), 

6 (j)(1), or (p) of section 313 of the Tariff Act 

7 of 1930 (19 U.S.C. 1313).’’. 

8 (d) CERTAIN FEES; INAPPLICABILITY TO COUNTER9 VAILING AND ANTIDUMPING DUTIES.—Subsections (d) 

10 and (e) of section 203 of the North American Free Trade 

11 Agreement Implementation Act (19 U.S.C. 3333) are— 

12 (1) transferred to section 208 of this Act; 

13 (2) inserted after subsection (b) of section 208 

14 (as added by subsection (c)); 

15 (3) redesignated as subsections (c) and (d), re16 spectively; and 

17 (4) amended, in subsection (c) (as redesignated 

18 by paragraph (3)), by striking ‘‘exported to’’ and all 

19 that follows through the period at the end and in20 serting ‘‘exported to a USMCA country.’’. 

21 (e) CONFORMING AMENDMENTS.— 

22 (1) BONDED MANUFACTURING WAREHOUSES.— 

23 Section 311 of the Tariff Act of 1930 (19 U.S.C. 

24 1311) is amended, in the eleventh paragraph— 


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1 (A) by striking ‘‘NAFTA’’ each place it 

2 appears; 

3 (B) by striking ‘‘section 203(a) of the 

4 North American Free Trade Agreement Imple5 mentation Act’’ and inserting ‘‘section 208(a) 

6 of the United States-Mexico-Canada Agreement 

7 Implementation Act’’; and 

8 (C) by striking ‘‘section 2(4) of that Act’’ 

9 and inserting ‘‘section 3 of that Act’’. 

10 (2) BONDED SMELTING AND REFINING WARE11 HOUSES.—Section 312 of the Tariff Act of 1930 (19 

12 U.S.C. 1312) is amended, in subsections (b) and 

13 (d)— 

14 (A) by striking ‘‘NAFTA’’ each place it 

15 appears and inserting ‘‘USMCA’’; 

16 (B) by striking ‘‘section 2(4) of the North 

17 American Free Trade Agreement Implementa18 tion Act’’ each place it appears and inserting 

19 ‘‘section 3 of the United States-Mexico-Canada 

20 Agreement Implementation Act’’; and 

21 (C) by striking ‘‘section 203(a) of that 

22 Act’’ each place it appears and inserting ‘‘sec23 tion 208(a) of that Act’’. 


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1 (3) DRAWBACK AND REFUNDS.—Section 313 of 

2 the Tariff Act of 1930 (19 U.S.C. 1313) is amend3 ed— 

4 (A) in subsection (j)(4), by striking sub5 paragraph (A) and inserting the following: 

6 ‘‘(A)(i) Effective upon the entry into force of 

7 the USMCA, the exportation to a USMCA country 

8 of merchandise that is fungible with and substituted 

9 for imported merchandise, other than merchandise 

10 described in paragraphs (1) through (8) of section 

11 208(a) of the United States-Mexico-Canada Agree12 ment Implementation Act, shall not constitute an ex13 portation for purposes of paragraph (2). 

14 ‘‘(ii) In this subparagraph, the terms ‘USMCA’ 

15 and ‘USMCA country’ have the meanings given 

16 those terms in section 3 of the United States-Mex17 ico-Canada Agreement Implementation Act.’’; 

18 (B) in subsection (n)— 

19 (i) in paragraph (1), by striking sub20 paragraphs (A) and (B) and inserting the 

21 following: 

22 ‘‘(A) the term ‘USMCA country’ has the mean23 ing given that term in section 3 of the United 

24 States-Mexico-Canada Agreement Implementation 

25 Act; 


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1 ‘‘(B) the term ‘good subject to USMCA draw2 back’ has the meaning given that term in section 

3 208(a) of the United States-Mexico-Canada Agree4 ment Implementation Act;’’; and 

5 (ii) in paragraphs (2) and (3), by 

6 striking ‘‘NAFTA’’ each place it appears 

7 and inserting ‘‘USMCA’’; and 

8 (C) in subsection (o), by striking 

9 ‘‘NAFTA’’ each place it appears and inserting 

10 ‘‘USMCA’’. 

11 (4) MANIPULATION IN WAREHOUSE.—Section 

12 562 of the Tariff Act of 1930 (19 U.S.C. 1562) is 

13 amended— 

14 (A) by striking paragraph (1) and insert15 ing the following: 

16 ‘‘(1) without payment of duties for exportation 

17 to a USMCA country, as defined in section 3 of the 

18 United States-Mexico-Canada Agreement Implemen19 tation Act, if the merchandise is of a kind described 

20 in any of paragraphs (1) through (8) of section 

21 208(a) of that Act;’’; 

22 (B) in paragraph (2)— 

23 (i) by striking ‘‘section 203(a) of that 

24 Act’’ and inserting ‘‘section 208(a) of that 

25 Act’’; and 


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1 (ii) by striking ‘‘NAFTA’’ each place 

2 it appears and inserting ‘‘USMCA’’; and 

3 (C) in paragraphs (3) and (4), by striking 

4 ‘‘NAFTA’’ each place it appears and inserting 

5 ‘‘USMCA’’. 

6 (5) FOREIGN TRADE ZONES.—Section 3(a)(2) 

7 of the Act of June 18, 1934 (commonly known as 

8 the ‘‘Foreign Trade Zones Act’’) (19 U.S.C. 

9 81c(a)(2)) is amended, in the flush text— 

10 (A) by striking ‘‘goods subject to NAFTA 

11 drawback, as defined in section 203(a) of the 

12 North American Free Trade Agreement Imple13 mentation Act’’ and inserting ‘‘goods subject to 

14 USMCA drawback, as defined in section 208(a) 

15 of the United States-Mexico-Canada Agreement 

16 Implementation Act’’; 

17 (B) by striking ‘‘a NAFTA country, as de18 fined in section 2(4) of that Act’’ and inserting 

19 ‘‘a USMCA country, as defined in section 3 of 

20 that Act’’; and 

21 (C) by striking ‘‘NAFTA’’ each place it 

22 appears and inserting ‘‘USMCA’’. 

23 (f) ADDITIONAL CLERICAL AMENDMENT.—The table 

24 of contents for this Act is amended by striking the item 

25 relating to section 208 and inserting the following: 

‘‘Sec. 208. Drawback.’’. 


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1 (g) EFFECTIVE DATE.— 

2 (1) IN GENERAL.—Each transfer, redesigna3 tion, and amendment made by subsections (b) 

4 through (e) shall— 

5 (A) take effect on the date on which the 

6 USMCA enters into force; and 

7 (B) apply with respect to a good entered, 

8 or withdrawn from warehouse for consumption, 

9 on or after that date. 

10 (2) TRANSITION FROM NAFTA TREATMENT.—In 

11 the case of a good entered, or withdrawn from ware12 house for consumption, before the date on which the 

13 USMCA enters into force— 

14 (A) the amendments made by subsections 

15 (b) through (e) shall not apply with respect to 

16 the good; and 

17 (B) the provisions of law amended by such 

18 subsections, as such provisions were in effect on 

19 the day before that date, shall continue to apply 

20 on and after that date with respect to the good. 

21 SEC. 502. RELIEF FROM INJURY CAUSED BY IMPORT COM22 PETITION. 

23 (a) CLERICAL AMENDMENT.—Subtitle A of title III 

24 of this Act is amended in the subtitle heading by striking 

25 ‘‘[reserved]’’. 


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1 (b) ARTICLE IMPACT IN IMPORT RELIEF CASES.— 

2 Section 311 of the North American Free Trade Agreement 

3 Implementation Act (19 U.S.C. 3371) is— 

4 (1) transferred to subtitle A of title III of this 

5 Act; 

6 (2) inserted after the heading (as amended by 

7 subsection (a)) of such subtitle; 

8 (3) redesignated as section 301; and 

9 (4) amended— 

10 (A) in the section heading, by striking 

11 ‘‘NAFTA’’ and inserting ‘‘USMCA’’; 

12 (B) in subsection (c), by striking ‘‘section 

13 312(a)’’ and inserting ‘‘section 302(a)’’; and 

14 (C) by striking ‘‘NAFTA’’ each place it 

15 appears and inserting ‘‘USMCA’’. 

16 (c) PRESIDENTIAL ACTION REGARDING IMPORTS.— 

17 Section 312 of the North American Free Trade Agreement 

18 Implementation Act (19 U.S.C. 3372) is— 

19 (1) transferred to subtitle A of title III of this 

20 Act; 

21 (2) inserted after section 301 (as inserted and 

22 redesignated by subsection (b)); 

23 (3) redesignated as section 302; and 

24 (4) amended— 


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1 (A) in the section heading, by striking 

2 ‘‘NAFTA’’ and inserting ‘‘USMCA’’; 

3 (B) in subsection (b), in the subsection 

4 heading, by striking ‘‘NAFTA’’ and inserting 

5 ‘‘USMCA’’; 

6 (C) in subsection (c), in the subsection 

7 heading, by striking ‘‘NAFTA’’ and inserting 

8 ‘‘USMCA’’; and 

9 (D) by striking ‘‘NAFTA’’ each place it 

10 appears and inserting ‘‘USMCA’’. 

11 (d) ADDITIONAL CLERICAL AMENDMENTS.—The 

12 table of contents for this Act is amended by striking the 

13 item relating to subtitle A of title III and inserting the 

14 following: 

‘‘Subtitle A—Relief From Injury Caused by Import Competition 

‘‘Sec. 301. USMCA article impact in import relief cases under the Trade Act 

of 1974. 

‘‘Sec. 302. Presidential action regarding USMCA imports.’’. 

15 (e) EFFECTIVE DATE.— 

16 (1) IN GENERAL.—Each transfer, redesigna17 tion, and amendment made by this section shall— 

18 (A) take effect on the date on which the 

19 USMCA enters into force; and 

20 (B) apply with respect to an investigation 

21 under chapter 1 of title II of the Trade Act of 

22 1974 (19 U.S.C. 2251 et seq.) initiated on or 

23 after that date. 


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1 (2) TRANSITION FROM NAFTA.—In the case of 

2 an investigation under chapter 1 of title II of the 

3 Trade Act of 1974 initiated before the date on which 

4 the USMCA enters into force— 

5 (A) the transfers, redesignations, and 

6 amendments made by this section shall not 

7 apply with respect to the investigation; and 

8 (B) sections 311 and 312 of the North 

9 American Free Trade Agreement Implementa10 tion Act (19 U.S.C. 3371 and 3372), as in ef11 fect on the day before that date, shall continue 

12 to apply on and after that date with respect to 

13 the investigation. 

14 SEC. 503. TEMPORARY ENTRY. 

15 (a) CLERICAL AMENDMENT.—Subtitle B of title III 

16 of this Act is amended in the subtitle heading by striking 

17 ‘‘[reserved]’’. 

18 (b) NONIMMIGRANT TRADERS AND INVESTORS.— 

19 Section 341 of the North American Free Trade Agreement 

20 Implementation Act (Public Law 103–182; 107 Stat. 

21 2116) is— 

22 (1) transferred to subtitle B of title III of this 

23 Act; 

24 (2) inserted after the heading (as amended by 

25 subsection (a)) of such subtitle; 


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1 (3) redesignated as section 311; and 

2 (4) amended— 

3 (A) by striking subsections (b) and (c); 

4 (B) by striking ‘‘(a)’’ and all that follows 

5 through ‘‘Upon’’ and inserting ‘‘Upon’’; 

6 (C) by striking ‘‘the Agreement’’ each 

7 place it appears and inserting ‘‘the USMCA’’; 

8 (D) by striking ‘‘Annex 1603’’ and insert9 ing ‘‘Annex 16–A’’; and 

10 (E) by striking ‘‘Annex 1608’’ and insert11 ing ‘‘article 16.1’’. 

12 (c) NONIMMIGRANT PROFESSIONALS.—Section 214 

13 of the Immigration and Nationality Act (8 U.S.C. 1184) 

14 is amended— 

15 (1) in subsection (e)— 

16 (A) by striking paragraphs (1), (3), (4), 

17 and (5); 

18 (B) by redesignating paragraphs (2) and 

19 (6) as paragraphs (1) and (2), respectively; and 

20 (C) in paragraph (1), as redesignated by 

21 subparagraph (B)— 

22 (i) by striking ‘‘Annex 1603 of the 

23 North American Free Trade Agreement (in 

24 this subsection referred to as ‘NAFTA’)’’ 

25 and inserting ‘‘Annex 16–A of the USMCA 


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1 (as defined in section 3 of the United 

2 States-Mexico-Canada Agreement Imple3 mentation Act)’’; and 

4 (ii) by striking the third and fourth 

5 sentences and inserting the following: ‘‘For 

6 purposes of this paragraph, the term ‘cit7 izen of Mexico’ means ‘citizen’ as defined 

8 in article 16.1 of the USMCA.’’; and 

9 (2) in subsection (j)(1)— 

10 (A) in the first sentence, by striking 

11 ‘‘Annex 1603 of the North American Free 

12 Trade Agreement’’ and inserting ‘‘Annex 16–A 

13 of the USMCA (as defined in section 3 of the 

14 United States-Mexico-Canada Agreement Im15 plementation Act)’’; 

16 (B) in the second sentence, by striking 

17 ‘‘article 1603 of such Agreement’’ and inserting 

18 ‘‘article 16.4 of the USMCA’’; and 

19 (C) in the third sentence, by striking 

20 ‘‘Annex 1608 of such Agreement’’ and inserting 

21 ‘‘article 16.1 of the USMCA’’. 

22 (d) CONFORMING AMENDMENTS.— 

23 (1) INTEGRATED ENTRY AND EXIT DATA SYS24 TEM.—Section 110(c)(1)(B) of the Illegal Immigra25 tion Reform and Immigrant Responsibility Act of 


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1 1996 (8 U.S.C. 1365a(c)(1)(B)) is amended by 

2 striking ‘‘North American Free Trade Agreement’’ 

3 and inserting ‘‘USMCA (as defined in section 3 of 

4 the United States-Mexico-Canada Agreement Imple5 mentation Act)’’. 

6 (2) ENHANCED BORDER SECURITY AND VISA

7 ENTRY REFORM ACT OF 2002.—Section 604 of the 

8 Enhanced Border Security and Visa Entry Reform 

9 Act of 2002 (8 U.S.C. 1773) is amended by striking 

10 ‘‘North American Free Trade Agreement’’ and in11 serting ‘‘USMCA (as defined in section 3 of the 

12 United States-Mexico-Canada Agreement Implemen13 tation Act)’’. 

14 (e) ADDITIONAL CLERICAL AMENDMENTS.—The 

15 table of contents for this Act is amended by striking the 

16 item relating to subtitle A of title III and inserting the 

17 following: 

‘‘Subtitle B—Temporary Entry of Business Persons 

‘‘Sec. 311. Temporary entry.’’. 

18 (f) EFFECTIVE DATE.— 

19 (1) IN GENERAL.—Each transfer, redesigna20 tion, and amendment made by this section shall— 

21 (A) take effect on the date on which the 

22 USMCA enters into force; and 

23 (B) apply with respect to a visa issued on 

24 or after that date. 


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1 (2) TRANSITION FROM NAFTA.—In the case of 

2 a visa issued before the date on which the USMCA 

3 enters into force— 

4 (A) the transfers, redesignations, and 

5 amendments made by this section shall not 

6 apply with respect to the visa; and 

7 (B) the provisions of law amended by sub8 sections (b) through (d), as such provisions 

9 were in effect on the day before that date, shall 

10 continue to apply on and after that date with 

11 respect to the visa. 

12 SEC. 504. DISPUTE SETTLEMENT IN ANTIDUMPING AND 

13 COUNTERVAILING DUTY CASES. 

14 (a) CLERICAL AMENDMENT.—Subtitle B of title IV 

15 of this Act is amended in the subtitle heading by striking 

16 ‘‘[reserved]’’. 

17 (b) REFERENCES IN SUBTITLE.—Section 401 of the 

18 North American Free Trade Agreement Implementation 

19 Act (19 U.S.C. 3431) is— 

20 (1) transferred to subtitle B of title IV of this 

21 Act and inserted after the heading (as amended by 

22 subsection (a)) of such subtitle; 

23 (2) redesignated as section 411; and 

24 (3) amended by striking ‘‘the Agreement’’ and 

25 inserting ‘‘the USMCA’’. 


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1 (c) ORGANIZATIONAL AND ADMINISTRATIVE PROVI2 SIONS.—Section 402 of the North American Free Trade 

3 Agreement Implementation Act (19 U.S.C. 3432) is— 

4 (1) transferred to subtitle B of title IV of this 

5 Act and inserted after section 411 (as inserted and 

6 redesignated by subsection (b)); 

7 (2) redesignated as section 412; and 

8 (3) amended— 

9 (A) in subsection (a)— 

10 (i) in paragraph (1)— 

11 (I) in subparagraph (D), by 

12 striking ‘‘in paragraph 1’’ and all that 

13 follows and inserting ‘‘in paragraph 1 

14 of Annex 10–B.1 and paragraph 1 of 

15 Annex 10–B.3; and’’; 

16 (II) in subparagraph (E), by 

17 striking ‘‘chapter 19’’ and inserting 

18 ‘‘chapter 10’’; and 

19 (III) in the matter following sub20 paragraph (E), by striking ‘‘in para21 graph 1’’ and all that follows through 

22 ‘‘Annex 1904.13’’ and inserting ‘‘in 

23 paragraph 1 of Annex 10–B.1 and 

24 paragraph 1 of Annex 10–B.3’’; and 

25 (ii) in paragraph (2)— 


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1 (I) in the paragraph heading, by 

2 striking ‘‘UNDER’’ and all that follows 

3 before the period; and 

4 (II) in the text— 

5 (aa) by striking ‘‘paragraph 

6 1 of Annex 1901.2’’ and insert7 ing ‘‘paragraph 1 of Annex 10– 

8 B.1’’; 

9 (bb) by striking ‘‘chapter 

10 19’’ each place it appears and in11 serting ‘‘chapter 10’’; and 

12 (cc) by striking ‘‘article 

13 1905’’ and inserting ‘‘article 

14 10.13’’; 

15 (B) in subsection (b)(1)— 

16 (i) by striking ‘‘chapter 19’’ each 

17 place it appears and inserting ‘‘chapter 

18 10’’; and 

19 (ii) by striking ‘‘article 1905’’ and in20 serting ‘‘article 10.13’’; 

21 (C) in subsection (c)— 

22 (i) in paragraph (1)— 

23 (I) by striking ‘‘chapter 19’’ each 

24 place it appears and inserting ‘‘chap25 ter 10’’; and 


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1 (II) by striking ‘‘article 1905’’ 

2 and inserting ‘‘article 10.13’’; 

3 (ii) in paragraph (2)(B)— 

4 (I) by striking ‘‘chapter 19’’ each 

5 place it appears and inserting ‘‘chap6 ter 10’’; and 

7 (II) in clause (i)(II), by striking 

8 ‘‘article 1905’’ and inserting ‘‘article 

9 10.13’’; 

10 (iii) in paragraph (3)— 

11 (I) in subparagraph (A)(i), by 

12 striking ‘‘Annex 1901.2’’ and insert13 ing ‘‘Annex 10–B.1’’; 

14 (II) in subparagraph (A)(ii), by 

15 striking ‘‘under Annex 1904.13’’ and 

16 all that follows and inserting ‘‘under 

17 Annex 10–B.3 and special committees 

18 under article 10.13.’’; and 

19 (III) in subparagraph (B)(i), by 

20 striking ‘‘chapter 19’’ and inserting 

21 ‘‘chapter 10’’; and 

22 (iv) in paragraph (4)— 

23 (I) in subparagraph (A), by strik24 ing ‘‘chapter 19’’ and inserting ‘‘chap25 ter 10’’; and 


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1 (II) in subparagraph (C)(iv)(III), 

2 by striking ‘‘chapter 19’’ and insert3 ing ‘‘chapter 10’’; 

4 (D) in subsection (d)— 

5 (i) in paragraph (1)— 

6 (I) in subparagraph (A), by strik7 ing ‘‘in paragraph 1’’ and all that fol8 lows and inserting ‘‘in paragraph 1 of 

9 Annex 10–B.1 and paragraph 1 of 

10 Annex 10–B.3; or’’; and 

11 (II) in subparagraph (B), by 

12 striking ‘‘chapter 19’’ and inserting 

13 ‘‘chapter 10’’; 

14 (ii) in paragraph (2)— 

15 (I) in subparagraph (A)(i), by 

16 striking ‘‘in paragraph 1’’ and all that 

17 follows through ‘‘during’’ and insert18 ing ‘‘in paragraph 1 of Annex 10–B.1 

19 and paragraph 1 of Annex 10–B.3 

20 during’’; 

21 (II) in subparagraph (A)(ii)— 

22 (aa) by striking ‘‘chapter 

23 19’’ and inserting ‘‘chapter 10’’; 

24 and 


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1 (bb) by striking ‘‘the Agree2 ment’’ and inserting ‘‘the 

3 USMCA’’; 

4 (III) in subparagraph (A)(iii), by 

5 striking ‘‘NAFTA’’ and inserting 

6 ‘‘USMCA’’; 

7 (IV) in subparagraph (B)(i), by 

8 striking ‘‘in paragraph 1’’ and all that 

9 follows and inserting ‘‘in paragraph 1 

10 of Annex 10–B.1 and paragraph 1 of 

11 Annex 10–B.3; or’’; and 

12 (V) in subparagraph (B)(ii), by 

13 striking ‘‘chapter 19’’ and inserting 

14 ‘‘chapter 10’’; and 

15 (iii) in paragraph (3)— 

16 (I) in subparagraph (A), by strik17 ing ‘‘in paragraph 1’’ and all that fol18 lows through ‘‘during’’ and inserting 

19 ‘‘in paragraph 1 of Annex 10–B.1 and 

20 paragraph 1 of Annex 10–B.3 dur21 ing’’; and 

22 (II) in subparagraph (B), by 

23 striking ‘‘chapter 19’’ and inserting 

24 ‘‘chapter 10’’; 


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1 (E) in subsection (e), in the matter pre2 ceding paragraph (1)— 

3 (i) by striking ‘‘the Agreement’’ and 

4 inserting ‘‘the USMCA’’; 

5 (ii) by striking ‘‘between the United 

6 States’’ and all that follows through 

7 ‘‘NAFTA country’’; and 

8 (iii) by striking ‘‘January 3, 1994’’ 

9 and inserting ‘‘January 3, 2020’’; 

10 (F) in subsection (f), by striking ‘‘chapter 

11 19’’ and inserting ‘‘chapter 10’’; 

12 (G) in subsection (g), by striking ‘‘chapter 

13 19’’ and inserting ‘‘chapter 10’’; and 

14 (H) in subsection (h), by striking ‘‘chapter 

15 19’’ and inserting ‘‘chapter 10’’. 

16 (d) TESTIMONY AND PRODUCTION OF PAPERS.—Sec17 tion 403 of the North American Free Trade Agreement 

18 Implementation Act (19 U.S.C. 3433) is— 

19 (1) transferred to subtitle B of title IV of this 

20 Act and inserted after section 412 (as inserted and 

21 redesignated by subsection (c)); 

22 (2) redesignated as section 413; and 

23 (3) amended in subsection (a), in the matter 

24 preceding paragraph (1), by striking ‘‘under para25 graph 13’’ and all that follows through ‘‘the comVerDate Sep 11 2014 21:16 Jan 03, 2020 Jkt 099200 PO 00000 Frm 00171 Fmt 6652 Sfmt 6201 E:\BILLS\H5430.RFS H5430

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1 mittee—’’ and inserting ‘‘under paragraph 13 of ar2 ticle 10.12, and the allegations before the committee 

3 include a matter referred to in paragraph 13(a)(i) of 

4 article 10.12, for the purposes of carrying out its 

5 functions and duties under Annex 10–B.3, the com6 mittee—’’. 

7 (e) REQUESTS FOR REVIEW OF DETERMINATIONS.— 

8 Section 404 of the North American Free Trade Agreement 

9 Implementation Act (19 U.S.C. 3434) is— 

10 (1) transferred to subtitle B of title IV of this 

11 Act and inserted after section 413 (as inserted and 

12 redesignated by subsection (d)); 

13 (2) redesignated as section 414; and 

14 (3) amended— 

15 (A) in the section heading, by striking ‘‘OF

16 NAFTA COUNTRIES’’; 

17 (B) in subsection (a)— 

18 (i) in paragraph (1), by striking ‘‘arti19 cle 1911’’ and all that follows and insert20 ing ‘‘article 10.8, of a USMCA country.’’; 

21 and 

22 (ii) in paragraph (2), by striking ‘‘ar23 ticle 1908’’ and inserting ‘‘article 10.16’’; 

24 (C) in subsection (b), by striking ‘‘article 

25 1904’’ and inserting ‘‘article 10.12’’; and 


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1 (D) in subsection (c), by striking ‘‘article 

2 1904’’ each place it appears and inserting ‘‘ar3 ticle 10.12’’. 

4 (f) RULES OF PROCEDURE FOR PANELS AND COM5 MITTEES.—Section 405 of the North American Free 

6 Trade Agreement Implementation Act (19 U.S.C. 3435) 

7 is— 

8 (1) transferred to subtitle B of title IV of this 

9 Act and inserted after section 414 (as inserted and 

10 redesignated by subsection (e)); 

11 (2) redesignated as section 415; and 

12 (3) amended— 

13 (A) in subsection (a), in the matter pre14 ceding paragraph (1), by striking ‘‘article 

15 1904’’ and inserting ‘‘article 10.12’’; 

16 (B) in subsection (b), by striking ‘‘Annex 

17 1904.13’’ and inserting ‘‘Annex 10–B.3’’; and 

18 (C) in subsection (c), by striking ‘‘Annex 

19 1905.6’’ and inserting ‘‘Annex 10–B.4’’. 

20 (g) SUBSIDY NEGOTIATIONS.—Section 406 of the 

21 North American Free Trade Agreement Implementation 

22 Act (19 U.S.C. 3436) is— 

23 (1) transferred to subtitle B of title IV of this 

24 Act and inserted after section 415 (as inserted and 

25 redesignated by subsection (f)); 


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1 (2) redesignated as section 416; and 

2 (3) amended, in the matter preceding para3 graph (1), by striking ‘‘NAFTA country’’ and in4 serting ‘‘USMCA country’’. 

5 (h) IDENTIFICATION OF INDUSTRIES FACING SUB6 SIDIZED IMPORTS.—Section 407 of the North American 

7 Free Trade Agreement Implementation Act (19 U.S.C. 

8 3437) is— 

9 (1) transferred to subtitle B of title IV of this 

10 Act and inserted after section 416 (as inserted and 

11 redesignated by subsection (g)); 

12 (2) redesignated as section 417; and 

13 (3) amended— 

14 (A) in subsection (a)(1)(A)— 

15 (i) by striking ‘‘the Agreement’’ and 

16 inserting ‘‘the USMCA’’; and 

17 (ii) by striking ‘‘NAFTA country’’ 

18 and inserting ‘‘USMCA country’’; 

19 (B) in subsection (c), in the matter fol20 lowing paragraph (3), by striking ‘‘NAFTA 

21 countries’’ and inserting ‘‘USMCA countries’’; 

22 and 

23 (C) in subsection (d)(3), by striking ‘‘the 

24 Agreement’’ and inserting ‘‘the USMCA’’. 


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1 (i) TREATMENT OF AMENDMENTS TO LAW.—Section 

2 408 of the North American Free Trade Agreement Imple3 mentation Act (19 U.S.C. 3438) is— 

4 (1) transferred to subtitle B of title IV of this 

5 Act and inserted after section 417 (as inserted and 

6 redesignated by subsection (h)); 

7 (2) redesignated as section 418; and 

8 (3) amended— 

9 (A) in the matter preceding paragraph (1), 

10 by striking ‘‘the Agreement’’ and all that fol11 lows through ‘‘United States’’ and inserting 

12 ‘‘the USMCA’’; and 

13 (B) in the flush text, by striking ‘‘NAFTA 

14 country’’ and inserting ‘‘USMCA country’’. 

15 (j) ADDITIONAL CLERICAL AMENDMENTS.—The 

16 table of contents for this Act is amended by striking the 

17 item relating to subtitle B of title IV and inserting the 

18 following: 

‘‘Subtitle B—Dispute Settlement 

‘‘Sec. 411. References in subtitle. 

‘‘Sec. 412. Organizational and administrative provisions. 

‘‘Sec. 413. Testimony and production of papers in extraordinary challenges. 

‘‘Sec. 414. Requests for review of determination by competent investigating authorities. 

‘‘Sec. 415. Rules of procedure for panels and committees. 

‘‘Sec. 416. Subsidy negotiations. 

‘‘Sec. 417. Identification of industries facing subsidized imports. 

‘‘Sec. 418. Treatment of amendments to antidumping and countervailing duty 

law.’’. 

19 (k) EFFECTIVE DATE.— 


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1 (1) IN GENERAL.—Each transfer, redesigna2 tion, and amendment made by this section shall take 

3 effect on the date on which the USMCA enters into 

4 force, but shall not apply— 

5 (A) to any final determination described in 

6 paragraph (1)(B) or clause (i), (ii), or (iii) of 

7 paragraph (2)(B) of section 516A(a) of the 

8 Tariff Act of 1930 (19 U.S.C. 1516a(a)) notice 

9 of which is published in the Federal Register 

10 before such date, or to a determination de11 scribed in paragraph (2)(B)(vi) of that section 

12 notice of which is received by the Government 

13 of Canada or Mexico before such date; and 

14 (B) to any binational panel review under 

15 NAFTA, or any extraordinary challenge arising 

16 out of any such review, that was commenced be17 fore such date. 

18 (2) TRANSITION FROM NAFTA.—The transfers, 

19 redesignations, and amendments made by this sec20 tion shall not apply, and the provisions of title IV 

21 of the North American Free Trade Agreement Im22 plementation Act, as in effect on the day before the 

23 date on which the USMCA enters into force, shall 

24 continue to apply on and after that date with re25 spect— 


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1 (A) to any final determination described in 

2 paragraph (1)(B) or clause (i), (ii), or (iii) of 

3 paragraph (2)(B) of section 516A(a) of the 

4 Tariff Act of 1930 (19 U.S.C. 1516a(a)) notice 

5 of which is published in the Federal Register 

6 before such date, or to a determination de7 scribed in paragraph (2)(B)(vi) of that section 

8 notice of which is received by the Government 

9 of Canada or Mexico before the date on which 

10 the USMCA enters into force; and 

11 (B) to any binational panel review under 

12 NAFTA, or any extraordinary challenge arising 

13 out of any such review, that was commenced be14 fore the date on which the USMCA enters into 

15 force. 

16 SEC. 505. GOVERNMENT PROCUREMENT. 

17 (a) GENERAL AUTHORITY TO MODIFY DISCRIMINA18 TORY PURCHASING REQUIREMENTS.—Section 301 of the 

19 Trade Agreements Act of 1979 (19 U.S.C. 2511) is 

20 amended— 

21 (1) in subsection (b)(1), by striking ‘‘the North 

22 American Free Trade Agreement’’ and inserting 

23 ‘‘the USMCA (as defined in section 3 of the United 

24 States-Mexico-Canada Agreement Implementation 

25 Act)’’; and 


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1 (2) in subsection (e)— 

2 (A) by striking ‘‘Annex 1001.1a–2 of the 

3 North American Free Trade Agreement’’ and 

4 inserting ‘‘Annex 13–A of the USMCA (as de5 fined in section 3 of the United States-Mexico6 Canada Agreement Implementation Act)’’; and 

7 (B) by striking ‘‘chapter 10 of such Agree8 ment’’ and inserting ‘‘chapter 13 of the 

9 USMCA’’. 

10 (b) DEFINITIONS.—Section 308(4)(A)(ii) of the 

11 Trade Agreements Act of 1979 (19 U.S.C. 2518(4)(A)(ii)) 

12 is amended— 

13 (1) by striking ‘‘a party to the North American 

14 Free Trade Agreement,’’ and inserting ‘‘Mexico, as 

15 a party to the USMCA (as defined in section 3 of 

16 the United States-Mexico-Canada Agreement Imple17 mentation Act),’’; and 

18 (2) by striking ‘‘the North American Free 

19 Trade Agreement for’’ and inserting ‘‘the USMCA 

20 for’’. 

21 (c) EFFECTIVE DATE.— 

22 (1) IN GENERAL.—The amendments made by 

23 subsections (a) and (b) shall— 

24 (A) take effect on the date on which the 

25 USMCA enters into force; and 


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1 (B) apply with respect to a procurement 

2 on or after that date. 

3 (2) TRANSITION FROM NAFTA TREATMENT.—In 

4 the case of a procurement before the date on which 

5 the USMCA enters into force— 

6 (A) the amendments made by subsections 

7 (a) and (b) to sections 301 and 308 of the 

8 Trade Agreements Act of 1979 (19 U.S.C. 

9 2511 and 2518) shall not apply with respect to 

10 the contract; and 

11 (B) sections 301 and 308 of such Act, as 

12 in effect on the day before that date, shall con13 tinue to apply on and after that date with re14 spect to the contract. 

15 SEC. 506. ACTIONS AFFECTING UNITED STATES CULTURAL 

16 INDUSTRIES. 

17 (a) IN GENERAL.—Section 182(f) of the Trade Act 

18 of 1974 (19 U.S.C. 2242(f)) is amended— 

19 (1) in paragraph (1)(C), by striking ‘‘article 

20 2106 of the North American Free Trade Agree21 ment’’ and inserting ‘‘article 32.6 of the USMCA (as 

22 defined in section 3 of the United States-Mexico23 Canada Agreement Implementation Act)’’; and 

24 (2) in paragraph (2), in the matter preceding 

25 subparagraph (A), by striking ‘‘article 2106 of the 


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1 North American Free Trade Agreement’’ and insert2 ing ‘‘article 32.6 of the USMCA’’. 

3 (b) EFFECTIVE DATE.—The amendment made by 

4 subsection (a) shall take effect on the date on which the 

5 USMCA enters into force. 

6 SEC. 507. REGULATORY TREATMENT OF URANIUM PUR7 CHASES. 

8 (a) IN GENERAL.—Section 1017(c) of the Energy 

9 Policy Act of 1992 (42 U.S.C. 2296b–6(c)) is amended 

10 by striking ‘‘North American Free Trade Agreement’’ and 

11 inserting ‘‘USMCA (as defined in section 3 of the United 

12 States-Mexico-Canada Agreement Implementation Act)’’. 

13 (b) EFFECTIVE DATE.—The amendment made by 

14 subsection (a) shall take effect on the date on which the 

15 USMCA enters into force. 

16 SEC. 508. REPORT ON AMENDMENTS TO EXISTING LAW. 

17 Not later than 180 days after the date of the enact18 ment of this Act, the Trade Representative shall submit 

19 to the Committee on Finance of the Senate and the Com20 mittee on Ways and Means of the House of Representa21 tives a report setting forth a proposal for technical and 

22 conforming amendments to the laws under the jurisdiction 

23 of such committees, and other laws, necessary to fully 

24 carry out the provisions of, and amendments made by, this 

25 Act. 


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1 TITLE VI—TRANSITION TO AND 

2 EXTENSION OF USMCA 

3 Subtitle A—Transitional Provisions 

4 SEC. 601. REPEAL OF NORTH AMERICAN FREE TRADE 

5 AGREEMENT IMPLEMENTATION ACT. 

6 The North American Free Trade Agreement Imple7 mentation Act (Public Law 103–182; 19 U.S.C. 3301 et 

8 seq.) is repealed, effective on the date on which the 

9 USMCA enters into force. 

10 SEC. 602. CONTINUED SUSPENSION OF THE UNITED 

11 STATES-CANADA FREE-TRADE AGREEMENT. 

12 Section 501(c)(3) of the United States-Canada Free13 Trade Agreement Implementation Act of 1988 (Public 

14 Law 100–449; 19 U.S.C. 2112 note) is amended— 

15 (1) in the paragraph heading, by striking 

16 ‘‘NAFTA’’ and inserting ‘‘USMCA’’; and 

17 (2) in the matter preceding subparagraph (A), 

18 by striking ‘‘between them of the North American 

19 Free Trade Agreement’’ and inserting ‘‘of the 

20 USMCA (as defined in section 3 of the United 

21 States-Mexico-Canada Agreement Implementation 

22 Act)’’. 


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1 Subtitle B—Joint Reviews 

2 Regarding Extension of USMCA 

3 SEC. 611. PARTICIPATION IN JOINT REVIEWS WITH CANADA 

4 AND MEXICO REGARDING EXTENSION OF THE 

5 TERM OF THE USMCA AND OTHER ACTION 

6 REGARDING THE USMCA. 

7 (a) IN GENERAL.—Pursuant to the requirements of 

8 this section, the President shall consult with the appro9 priate congressional committees and stakeholders before 

10 each joint review, including consultation with respect to— 

11 (1) any recommendation for action to be pro12 posed at the review; and 

13 (2) the decision whether or not to confirm that 

14 the United States wishes to extend the USMCA. 

15 (b) CONSULTATIONS WITH CONGRESS AND STAKE16 HOLDERS.— 

17 (1) PUBLICATION AND PUBLIC HEARING.—At 

18 least 270 days before a joint review commences, the 

19 Trade Representative shall publish in the Federal 

20 Register a notice regarding the joint review and 

21 shall, as soon as possible following such publication, 

22 provide opportunity for the presentation of views re23 lating to the operation of the USMCA, including a 

24 public hearing. 


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1 (2) REPORT TO CONGRESS.—At least 180 days 

2 before a 6-year joint review under article 34.7 of the 

3 USMCA commences, the Trade Representative shall 

4 report to the appropriate congressional committees 

5 regarding— 

6 (A) the assessment of the Trade Rep7 resentative with respect to the operation of the 

8 USMCA; 

9 (B) the precise recommendation for action 

10 to be proposed at the review and the position of 

11 the United States with respect to whether to ex12 tend the term of the USMCA; 

13 (C) what, if any, prior efforts have been 

14 made to resolve any concern that underlies that 

15 recommendation or position; and 

16 (D) the views of the advisory committees 

17 established under section 135 of the Trade Act 

18 of 1974 (19 U.S.C. 2155) regarding that rec19 ommendation or position. 

20 (c) SUBSEQUENT ACTION TO ADDRESS LACK OF

21 AGREEMENT ON TERM EXTENSION.— 

22 (1) IN GENERAL.—If, as part of a joint review, 

23 any USMCA country does not confirm that the 

24 country wishes to extend the term of the USMCA 

25 under article 34.7.3 of the USMCA, at least 70 days 


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1 before any subsequent annual joint review meeting 

2 conducted as required under article 34.7 of the 

3 USMCA, the Trade Representative shall report to 

4 the appropriate congressional committees regard5 ing— 

6 (A) any reason offered by a USMCA coun7 try regarding why the country is unable to 

8 agree to extend the term of the USMCA; 

9 (B) the progress that has been made in ef10 forts to achieve resolution of the concerns of 

11 that country; 

12 (C) any proposed action that the Trade 

13 Representative intends to raise during the 

14 meeting; and 

15 (D) the views of the advisory committees 

16 established under section 135 of the Trade Act 

17 of 1974 (19 U.S.C. 2155) regarding the rea18 sons described in subparagraph (A) and any 

19 proposed action under subparagraph (C). 

20 (2) ADDITIONAL INFORMATION.—The Trade 

21 Representative shall also provide detailed and timely 

22 information in response to any questions posed by 

23 the appropriate congressional committees with re24 spect to any meeting described in paragraph (1), in25 cluding by submitting to those committees copies of 


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1 any proposed text that the Trade Representative 

2 plans to submit to the other parties to the meeting. 

3 (d) CONGRESSIONAL ENGAGEMENT AFTER JOINT

4 REVIEW.— 

5 (1) IN GENERAL.—Not later than 20 days after 

6 the USMCA countries have met for a joint review, 

7 the Trade Representative shall brief the appropriate 

8 congressional committees regarding the positions ex9 pressed by the countries during the joint review and 

10 what, if any, actions were agreed to by the countries. 

11 (2) CONTINUED ENGAGEMENT.—After a joint 

12 review, the Trade Representative shall keep the ap13 propriate congressional committees timely apprised 

14 of any developments arising out of or related to the 

15 review. 

16 (e) DEFINITIONS.—In this section: 

17 (1) JOINT REVIEW.—The term ‘‘joint review’’ 

18 means a review conducted under the process pro19 vided for in article 34.7 of the USMCA relating to 

20 extension of the term of the USMCA. 

21 (2) USMCA COUNTRY.—The term ‘‘USMCA 

22 country’’ has the meaning given that term in section 

23 202(a). 


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1 Subtitle C—Termination of USMCA 

2 SEC. 621. TERMINATION OF USMCA. 

3 (a) TERMINATION OF USMCA COUNTRY STATUS.— 

4 During any period in which a country ceases to be a 

5 USMCA country, this Act (other than this subsection and 

6 title IX) and the amendments made by this Act shall cease 

7 to have effect with respect to that country. 

8 (b) TERMINATION OF USMCA.—On the date on 

9 which the USMCA ceases to be in force with respect to 

10 the United States, this Act and the amendments made by 

11 this Act (other than this subsection and title IX) shall 

12 cease to have effect. 

13 TITLE VII—LABOR MONITORING 

14 AND ENFORCEMENT 

15 SEC. 701. DEFINITIONS. 

16 In this title: 

17 (1) LABOR ATTACHE ́.—The term ‘‘labor 

18 attache ́’’ means an individual hired under subtitle B. 

19 (2) LABOR OBLIGATIONS.—The term ‘‘labor ob20 ligations’’ means the obligations under chapter 23 of 

21 the USMCA (relating to labor). 

22 (3) MEXICO’S LABOR REFORM.—The term 

23 ‘‘Mexico’s labor reform’’ means the legislation on 

24 labor reform enacted by Mexico on May 1, 2019. 


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1 Subtitle A—Interagency Labor 

2 Committee for Monitoring and 

3 Enforcement 

4 SEC. 711. INTERAGENCY LABOR COMMITTEE FOR MONI5 TORING AND ENFORCEMENT. 

6 (a) ESTABLISHMENT.—Not later than 90 days after 

7 the date of the enactment of this Act, the President shall 

8 establish an Interagency Labor Committee for Monitoring 

9 and Enforcement (in this title referred to as the ‘‘Inter10 agency Labor Committee’’), to coordinate United States 

11 efforts with respect to each USMCA country— 

12 (1) to monitor the implementation and mainte13 nance of the labor obligations; 

14 (2) to monitor the implementation and mainte15 nance of Mexico’s labor reform; and 

16 (3) to request enforcement actions with respect 

17 to a USMCA country that is not in compliance with 

18 such labor obligations. 

19 (b) MEMBERSHIP.—The Interagency Labor Com20 mittee shall— 

21 (1) be co-chaired by the Trade Representative 

22 and the Secretary of Labor; and 

23 (2) include representatives of such other Fed24 eral departments or agencies with relevant expertise 

25 as the President determines appropriate. 


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1 (c) MEETINGS.—The Interagency Labor Committee 

2 shall meet at least once every 90 days during the 5-year 

3 period beginning on the date of the enactment of this Act, 

4 and at least once every 180 days thereafter for 5 years. 

5 (d) INFORMATION SHARING.—Notwithstanding any 

6 other provision of law, the members of the Interagency 

7 Labor Committee may exchange information for purposes 

8 of carrying out this title. 

9 SEC. 712. DUTIES. 

10 The duties of the Interagency Labor Committee shall 

11 include the following: 

12 (1) Coordinating the activities of departments 

13 and agencies of the Committee in monitoring imple14 mentation of and compliance with labor obligations, 

15 including by— 

16 (A) requesting and reviewing relevant in17 formation from the governments of USMCA 

18 countries and from the public; 

19 (B) coordinating visits to Mexico as nec20 essary to assess implementation of Mexico’s 

21 labor reform and compliance with the labor ob22 ligations of Mexico; 

23 (C) receiving and reviewing quarterly as24 sessments from the labor attache ́s with respect 


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1 to the implementation of and compliance with 

2 Mexico’s labor reform; and 

3 (D) coordinating with the Secretary of 

4 Treasury with respect to support relating to 

5 labor issues provided to Mexico by the Inter6 American Development Bank. 

7 (2) Establishing an ongoing dialogue with ap8 propriate officials of the Government of Mexico re9 garding the implementation of Mexico’s labor reform 

10 and compliance with its labor obligations. 

11 (3) Coordinating with other institutions and 

12 governments with respect to support relating to 

13 labor issues, such as the International Labour Orga14 nization and the Government of Canada. 

15 (4) Identifying priority issues for capacity16 building activities in Mexico to be funded by the 

17 United States, drawing primarily on the expertise of 

18 the Department of Labor. 

19 (5) Meeting, at least biannually during the 5- 

20 year period beginning on the date of the enactment 

21 of this Act and at least annually for 5 years there22 after, with the Labor Advisory Committee for Trade 

23 Negotiations and Trade Policy established under 

24 section 135(c)(1) of the Trade Act of 1974 (19 

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1 mittee) to consult and provide opportunities for 

2 input with respect to— 

3 (A) the implementation of Mexico’s labor 

4 reform; 

5 (B) labor capacity-building activities in 

6 Mexico funded by the United States; 

7 (C) labor monitoring efforts; 

8 (D) labor enforcement priorities; and 

9 (E) other relevant issues. 

10 (6) Based on the assessments required by sec11 tion 714, making recommendations relating to dis12 pute settlement actions to the Trade Representative, 

13 in accordance with section 715. 

14 (7) Based on reports provided by the Forced 

15 Labor Enforcement Task Force under section 743, 

16 developing recommendations for appropriate enforce17 ment actions by the Trade Representative. 

18 (8) Reviewing reports submitted by the labor 

19 experts appointed in accordance with Annex 31–A of 

20 the USMCA, with respect to the functioning of that 

21 Annex. 

22 (9) Reviewing reports submitted by the Inde23 pendent Mexico Labor Expert Board under section 

24 734. 


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1 SEC. 713. ENFORCEMENT PRIORITIES. 

2 The Interagency Labor Committee shall— 

3 (1) review the list of priority sectors under 

4 Annex 31–A of the USMCA and suggest to USTR 

5 additional sectors for review by the USMCA coun6 tries as appropriate; 

7 (2) establish and annually update a list of pri8 ority subsectors within such priority sectors to be 

9 the focus of the enforcement efforts of the Com10 mittee, the first of which shall consist of— 

11 (A) auto assembly; 

12 (B) auto parts; 

13 (C) aerospace; 

14 (D) industrial bakeries; 

15 (E) electronics; 

16 (F) call centers; 

17 (G) mining; and 

18 (H) steel and aluminum; and 

19 (3) review priority facilities within such priority 

20 subsectors for monitoring and enforcement. 

21 SEC. 714. ASSESSMENTS. 

22 (a) ONGOING ASSESSMENTS.—For the 10-year pe23 riod beginning on the date of the enactment of this Act, 

24 except as provided in subsection (b), the Interagency 

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1 tent to which Mexico is in compliance with its obligations 

2 under Annex 23–A of the USMCA. 

3 (b) CONSULTATION RELATING TO ANNUAL ASSESS4 MENT.—On or after the date that is 5 years after the date 

5 of the enactment of this Act, the Interagency Labor Com6 mittee may consult with the appropriate congressional 

7 committees with respect to the frequency of the assess8 ment required under subsection (a) and, with the approval 

9 of both such committees, may conduct such assessment 

10 on an annual basis for the following 5 years. 

11 (c) MATTERS TO BE INCLUDED.—The assessment 

12 required under subsection (a) shall also include each of 

13 the following: 

14 (1) Whether Mexico is providing adequate fund15 ing to implement and enforce Mexico’s labor reform, 

16 including specifically whether Mexico has provided 

17 funding consistent with commitments made to con18 tribute the following amounts for the labor reform 

19 implementation budget: 

20 (A) $176,000,000 for 2021. 

21 (B) $325,000,000 for 2022. 

22 (C) $328,000,000 for 2023. 

23 (2) The extent to which any legal challenges to 

24 Mexico’s labor reform have succeeded in that court 

25 system. 


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1 (3) The extent to which Mexico has imple2 mented the federal and state labor courts, registra3 tion entity, and federal and state conciliation centers 

4 consistent with the timeline set forth for Mexico’s 

5 labor reform, in the September 2019 policy state6 ments by the Government of Mexico on a national 

7 strategy for implementation of the labor justice sys8 tem, and in subsequent policy statements in accord9 ance with Mexico’s labor reform. 

10 SEC. 715. RECOMMENDATION FOR ENFORCEMENT ACTION. 

11 (a) RECOMMENDATION TO INITIATE.—If the Inter12 agency Labor Committee determines, pursuant to an as13 sessment under section 714, as a result of monitoring ac14 tivities described in section 712(1), or pursuant to a report 

15 of the Independent Mexico Labor Expert Board that a 

16 USMCA country has failed to meets its labor obligations, 

17 including with respect to obligations under Annex 23–A 

18 of the USMCA, the Committee shall recommend that the 

19 Trade Representative initiate enforcement actions 

20 under— 

21 (1) article 23.13 or 23.17 of the USMCA (re22 lating to cooperative labor dialogue and labor con23 sultations); 

24 (2) articles 31.4 and 31.6 of the USMCA (re25 lating to dispute settlement consultations); or 


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1 (3) Annex 31–A of the USMCA (relating to the 

2 rapid response labor mechanism). 

3 (b) TRADE REPRESENTATIVE DETERMINATIONS.— 

4 Not later than 60 days after the date on which the Trade 

5 Representative receives a recommendation pursuant to 

6 subsection (a), the Trade Representative shall— 

7 (1) determine whether to initiate an enforce8 ment action; and 

9 (2) if such determination is negative, submit to 

10 the appropriate congressional committees a report 

11 on the reasons for such negative determination. 

12 SEC. 716. PETITION PROCESS. 

13 (a) IN GENERAL.—The Interagency Labor Com14 mittee shall establish procedures for submissions by the 

15 public of information with respect to potential failures to 

16 implement the labor obligations of a USMCA country. 

17 (b) FACILITY-SPECIFIC PETITIONS.—With respect to 

18 information submitted in accordance with the procedures 

19 established under subsection (a) accompanying a petition 

20 relating to a denial of rights at a covered facility, as such 

21 terms are defined for purposes of Annex 31–A of the 

22 USMCA: 

23 (1) The Interagency Labor Committee shall re24 view such information within 30 days of submission 

25 and shall determine whether there is sufficient, credVerDate Sep 11 2014 21:16 Jan 03, 2020 Jkt 099200 PO 00000 Frm 00194 Fmt 6652 Sfmt 6201 E:\BILLS\H5430.RFS H5430

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1 ible evidence of a denial of rights (as so defined) en2 abling the good-faith invocation of enforcement 

3 mechanisms. 

4 (2) If the Committee reaches a negative deter5 mination under paragraph (1), the Committee shall 

6 certify such determination to the appropriate con7 gressional committees and the petitioner. 

8 (3) If the Committee reaches an affirmative de9 termination under paragraph (1), the Trade Rep10 resentative shall submit a request for review, in ac11 cordance with article 31–A.4 of such Annex, with re12 spect to the covered facility and shall inform the pe13 titioner and the appropriate congressional commit14 tees of the submission of such request. 

15 (4) Not later than 60 days after the date of an 

16 affirmative determination under paragraph (1), the 

17 Trade Representative shall— 

18 (A) determine whether to request the es19 tablishment of a rapid response labor panel in 

20 accordance with such Annex; and 

21 (B) if such determination is negative, cer22 tify such determination to the appropriate con23 gressional committees in conjunction with the 

24 reasons for such determination and the details 

25 of any agreed-upon remediation plan. 


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1 (c) OTHER PETITIONS.—With respect to information 

2 submitted in accordance with the procedures established 

3 under subsection (a) accompanying a petition relating to 

4 any other violation of the labor obligations of a USMCA 

5 country: 

6 (1) The Interagency Labor Committee shall re7 view such information not later than 20 days after 

8 the date of the submission and shall determine 

9 whether the information warrants further review. 

10 (2) If the Committee reaches an affirmative de11 termination under paragraph (1), such further re12 view shall focus exclusively on determining, not later 

13 than 60 days after the date of such submission, 

14 whether there is sufficient, credible evidence that the 

15 USMCA country is in violation of its labor obliga16 tions, for purposes of initiating enforcement action 

17 under chapter 23 or chapter 31 of the USMCA. 

18 (3) If the Committee reaches an affirmative de19 termination under paragraph (2), the Trade Rep20 resentative shall— 

21 (A) not later than 60 days after the date 

22 of the determination of the Committee, initiate 

23 appropriate enforcement action under such 

24 chapter 23 or chapter 31; or 


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1 (B) submit to the appropriate congres2 sional committees a notification including the 

3 reasons for which action was not initiated with4 in such 60-day period. 

5 SEC. 717. HOTLINE. 

6 The Interagency Labor Committee shall establish a 

7 web-based hotline, monitored by the Department of Labor, 

8 to receive confidential information regarding labor issues 

9 among USMCA countries directly from interested parties, 

10 including Mexican workers. 

11 SEC. 718. REPORTS. 

12 (a) IN GENERAL.—Not later than 180 days after the 

13 date of the enactment of this Act, and every 180 days 

14 thereafter for 10 years except as provided in subsection 

15 (b), the Interagency Labor Committee shall submit to the 

16 appropriate congressional committees a report that in17 cludes— 

18 (1) a description of Committee staffing and ca19 pacity building activities with Mexico; 

20 (2) information regarding the budget resources 

21 for Mexico’s labor reform and the deadlines in the 

22 September 2019 policy statements by the Govern23 ment of Mexico on a national strategy for implemen24 tation of the labor justice system and in subsequent 


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1 policy statements in accordance with Mexico’s labor 

2 reform; 

3 (3) a summary of petitions filed in accordance 

4 with section 716 and the use of the rapid response 

5 labor mechanism under Annex 31–A of the USMCA; 

6 (4) the results of the most recent assessment 

7 conducted under section 714; and 

8 (5) if, with respect to any report of the Inde9 pendent Mexico Labor Expert Board submitted 

10 under section 734 that includes a determination de11 scribed in paragraph (2) of such section, the Inter12 agency Labor Committee does not concur with such 

13 determination, an explanation of the reasons for not 

14 concurring in such determination and a commitment 

15 to provide an oral briefing with respect to such ex16 planation upon request. 

17 (b) CONSULTATION RELATING TO ANNUAL ASSESS18 MENT.—On or after the date that is 5 years after the date 

19 of the enactment of this Act, the Trade Representative 

20 and the Secretary of Labor may consult with the appro21 priate congressional committees with respect to the fre22 quency of the reports required under subsection (a) and, 

23 with the approval of both such committees, may submit 

24 such report on an annual basis for the following 5 years. 


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1 (c) FIVE-YEAR ASSESSMENT.—Not later than the 

2 date that is 5 years after the date of the establishment 

3 of the Interagency Labor Committee pursuant to section 

4 711(a), the Committee shall jointly submit to the appro5 priate congressional committees— 

6 (1) a comprehensive assessment of the imple7 mentation of Mexico’s labor reform, including with 

8 respect to— 

9 (A) whether Mexico has reviewed and le10 gitimized all existing collective bargaining 

11 agreements in Mexico; 

12 (B) whether Mexico has addressed the pre13 existing legal or administrative labor disputes; 

14 (C) whether Mexico has established the 

15 Federal Center for Conciliation and Labor Reg16 istration, and an assessment of that Center’s 

17 operation; 

18 (D) whether Mexico has established the 

19 federal labor courts, and an assessment of their 

20 operation; and 

21 (E) whether Mexico has established the 

22 state conciliation centers and labor courts in all 

23 states and an assessment of their operation; 

24 and 


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1 (2) a strategic plan and recommendations for 

2 actions to address areas of concern relating to the 

3 implementation of Mexico’s labor reform, for pur4 poses of the joint review conducted pursuant to arti5 cle 34.7 of the USMCA on the sixth anniversary of 

6 the entry into force of the USMCA. 

7 SEC. 719. CONSULTATIONS ON APPOINTMENT AND FUND8 ING OF RAPID RESPONSE LABOR PANELISTS. 

9 (a) IN GENERAL.—The Interagency Labor Com10 mittee shall consult with the Labor Advisory Committee 

11 established under section 135(c)(1) of the Trade Act of 

12 1974 (19 U.S.C. 2155(c)(1)) and the Advisory Committee 

13 for Trade Policy and Negotiations established under sec14 tion 135(b) of such Act (or successor advisory committees) 

15 and the appropriate congressional committees with respect 

16 to the selection and appointment of candidates for the 

17 rapid response labor panelists described in Annex 31–A 

18 of the USMCA. 

19 (b) FUNDING.—The United States, in consultation 

20 with Mexico, shall provide adequate funding for rapid re21 sponse labor panelists to carry out the responsibilities 

22 under the USMCA promptly and fully. 

23 Subtitle B—Mexico Labor Attache ́s 

24 SEC. 721. ESTABLISHMENT. 

25 The Secretary of Labor shall— 


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1 (1) hire and fix the compensation of up to 5 ad2 ditional full-time officers or employees of the De3 partment of Labor; and 

4 (2) detail or assign such officers or employees 

5 to the United States Embassy or a United States 

6 Consulate in Mexico to carry out the duties de7 scribed in section 722. 

8 SEC. 722. DUTIES. 

9 The duties described in this section are the following: 

10 (1) Assisting the Interagency Labor Committee 

11 to monitor and enforce the labor obligations of Mex12 ico. 

13 (2) Submitting to the Interagency Labor Com14 mittee on a quarterly basis reports on the efforts un15 dertaken by Mexico to comply with its labor obliga16 tions. 

17 SEC. 723. STATUS. 

18 Any officer or employee, while detailed or assigned 

19 under this subtitle, shall be considered, for the purpose 

20 of preserving their allowances, privileges, rights, seniority, 

21 and other benefits as such, an officer or employee of the 

22 United States Government and of the agency of the 

23 United States Government from which detailed or as24 signed, and shall continue to receive compensation, allow25 ances, and benefits from program funds appropriated to 


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1 that agency or made available to that agency for purposes 

2 related to the activities of the detail or assignment, in ac3 cordance with authorities related to their employment sta4 tus and agency policies. 

5 Subtitle C—Independent Mexico 

6 Labor Expert Board 

7 SEC. 731. ESTABLISHMENT. 

8 There is hereby established a board, to be known as 

9 the ‘‘Independent Mexico Labor Expert Board’’, to be re10 sponsible for monitoring and evaluating the implementa11 tion of Mexico’s labor reform and compliance with its labor 

12 obligations. The Board shall also advise the Interagency 

13 Labor Committee with respect to capacity-building activi14 ties needed to support such implementation and compli15 ance. 

16 SEC. 732. MEMBERSHIP; TERM. 

17 (a) MEMBERSHIP.—The Board shall be composed of 

18 12 members who shall be appointed as follows: 

19 (1) Four members to be appointed by the 

20 Labor Advisory Committee established under section 

21 135(c)(1) of the Trade Act of 1974 (19 U.S.C. 

22 2155(c)(1)) (or successor advisory committee). 

23 (2) Two members appointed by the Speaker of 

24 the House of Representatives, in consultation with 


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1 the Chair of the Committee on Ways and Means of 

2 the House of Representatives. 

3 (3) Two members appointed by the president 

4 pro tempore of the Senate from among individuals 

5 recommended by the majority leader of the Senate 

6 and in consultation with the Chair of the Committee 

7 on Finance of the Senate. 

8 (4) Two members appointed by the minority 

9 leader of the House of Representatives, in consulta10 tion with the Ranking Member of the Committee on 

11 Ways and Means of the House of Representatives. 

12 (5) Two members appointed by the President 

13 pro tempore of the Senate from among individuals 

14 recommended by the minority leader of the Senate 

15 and in consultation with the Ranking Member of the 

16 Committee on Finance of the Senate. 

17 (b) TERM.—Except as provided in subsection (c), 

18 members of the Board shall serve for a term of 6 years. 

19 (c) EXTENSION OF TERM.—If the Board determines, 

20 at the end of the 6-year period beginning on the date of 

21 the appointment of the last member appointed in accord22 ance with subsection (a), that Mexico is not fully in com23 pliance with its labor obligations, a majority of the mem24 bers of the Board may determine to extend its term for 

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1 cordance with subsection (a) and shall serve for a single 

2 term of 4 years. 

3 SEC. 733. FUNDING. 

4 The United States shall provide necessary funding to 

5 support the work of the Board, including with respect to 

6 translation services and personnel support. 

7 SEC. 734. REPORTS. 

8 For the 6-year period beginning on the date of the 

9 enactment of this Act, and for an additional 4 years if 

10 the term of the Board is extended in accordance with sec11 tion 732(c), the Board shall submit to appropriate con12 gressional committees and to the Interagency Labor Com13 mittee an annual report that— 

14 (1) contains an assessment of— 

15 (A) the efforts of Mexico to implement 

16 Mexico’s labor reform; and 

17 (B) the manner and extent to which labor 

18 laws are generally enforced in Mexico; and 

19 (2) may include a determination that Mexico is 

20 not in compliance with its labor obligations. 

21 Subtitle D—Forced Labor 

22 SEC. 741. FORCED LABOR ENFORCEMENT TASK FORCE. 

23 (a) ESTABLISHMENT.—Not later than 90 days after 

24 the date of the enactment of this Act, the President shall 

25 establish a Forced Labor Enforcement Task Force to 


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1 monitor United States enforcement of the prohibition 

2 under section 307 of the Tariff Act of 1930 (19 U.S.C. 

3 1307). 

4 (b) MEMBERS; MEETINGS.— 

5 (1) MEMBERS.—The Task Force shall be 

6 chaired by the Secretary of Homeland Security and 

7 shall be comprised of representatives from such 

8 other agencies with relevant expertise, including the 

9 Office of the United States Trade Representative 

10 and the Department of Labor, as the President de11 termines appropriate. 

12 (2) MEETINGS.—The Task Force shall meet on 

13 a quarterly basis regarding active Withhold and Re14 lease Orders, ongoing investigations, petitions re15 ceived, and enforcement priorities, and other rel16 evant issues with respect to enforcing the prohibition 

17 under section 307 of the Tariff Act. 

18 SEC. 742. TIMELINE REQUIRED. 

19 (a) IN GENERAL.—Not later than 90 days after the 

20 establishment of the Forced Labor Enforcement Task 

21 Force pursuant to section 741(a), the Task Force shall 

22 establish timelines for responding to petitions submitted 

23 to the Commissioner of U.S. Customs and Border Protec24 tion alleging that goods are being imported by or with 

25 child or forced labor. 


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1 (b) CONSULTATION REQUIRED.—In establishing the 

2 timelines during such 90-day period, the Task Force shall 

3 consult with the appropriate congressional committees. 

4 (c) REPORT.—The Task Force shall timely submit to 

5 the appropriate congressional committees a report that 

6 contains the timelines established pursuant to subsection 

7 (a) and shall make such report publicly available. 

8 SEC. 743. REPORTS REQUIRED. 

9 The Forced Labor Enforcement Task Force shall 

10 submit to appropriate congressional committees a bian11 nual report that includes the following: 

12 (1) The enforcement activities and priorities of 

13 the Department of Homeland Security with respect 

14 to enforcing the prohibition under section 307 of the 

15 Tariff Act of 1930 (19 U.S.C. 1307). 

16 (2) The number of instances in which merchan17 dise was denied entry pursuant to such prohibition 

18 during the preceding 180-day period. 

19 (3) A description of the merchandise so denied 

20 entry. 

21 (4) An enforcement plan regarding goods in22 cluded in the most recent ‘‘Findings on the Worst 

23 Forms of Child Labor’’ report submitted in accord24 ance with section 504 of the Trade Act of 1974 (19 

25 U.S.C. 2464) and ‘‘List of Goods Produced by Child 


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1 Labor or Forced Labor’’ submitted in accordance 

2 with section 105(b)(2)(C) of the Trafficking Victims 

3 Protection Reauthorization Act of 2005 (22 U.S.C. 

4 7112(b)(2)(C)). 

5 (5) Such other information as the Forced Labor 

6 Enforcement Task Force considers appropriate with 

7 respect to monitoring and enforcing compliance with 

8 section 307 of the Tariff Act of 1930 (19 U.S.C. 

9 1307). 

10 SEC. 744. DUTIES RELATED TO MEXICO. 

11 The Task Force shall— 

12 (1) develop, in consultation with the appro13 priate congressional committees, an enforcement 

14 plan regarding goods produced by or with forced 

15 labor in Mexico; and 

16 (2) report to the Interagency Labor Committee 

17 with respect to any concerns relating to the enforce18 ment of the prohibition under section 307 of the 

19 Tariff Act with respect to Mexico, including any alle20 gations that may be filed with respect to forced 

21 labor in Mexico. 


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1 Subtitle E—Enforcement Under 

2 Rapid Response Labor Mechanism 

3 SEC. 751. TRANSMISSION OF REPORTS. 

4 Each report issued by a rapid response labor panel 

5 constituted in accordance with Annex 31–A of the 

6 USMCA shall be immediately submitted to the appro7 priate congressional committees, the Labor Advisory Com8 mittee established under section 135(c)(1) of the Trade 

9 Act of 1974 (19 U.S.C. 2155(c)(1)) (or successor advisory 

10 committee), and, as appropriate, the petitioner submitting 

11 information pursuant to section 716. The Trade Rep12 resentative shall also make each such report publicly avail13 able in a timely manner. 

14 SEC. 752. SUSPENSION OF LIQUIDATION. 

15 (a) IN GENERAL.—If the United States files a re16 quest pursuant to article 31–A.4.2 of Annex 31–A of the 

17 USMCA, the Trade Representative may direct the Sec18 retary of the Treasury to suspend liquidation for unliqui19 dated entries of goods from such covered facility until such 

20 time as the Trade Representative notifies the Secretary 

21 that a condition described in subsection (b) has been met. 

22 (b) RESUMPTION OF LIQUIDATION.—The conditions 

23 described in this subsection are the following: 

24 (1) The rapid response labor panel has deter25 mined that there is no denial of rights at the covered 


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1 facility within the meaning of such terms under 

2 Annex 31–A of the USMCA. 

3 (2) A course of remediation for denial of rights 

4 has been agreed to and has been completed in ac5 cordance with the agreed-upon time. 

6 (3) The denial of rights has been otherwise 

7 remedied. 

8 SEC. 753. FINAL REMEDIES. 

9 (a) IN GENERAL.—If a rapid response labor panel 

10 constituted in accordance with Annex 31–A of the 

11 USMCA determines with respect to a case that there has 

12 been a denial of rights within the meaning of such Annex, 

13 the Trade Representative may, in consultation with the 

14 appropriate congressional committees— 

15 (1) direct the Secretary of the Treasury, until 

16 the date of the notification described in subsection 

17 (b) and in accordance with Annex 31–A of the 

18 USMCA— 

19 (A) to— 

20 (i) deny entry to goods, produced 

21 wholly or in part, from any covered facility 

22 involved in such case; or 

23 (ii) allow for the release of goods, pro24 duced wholly or in part, from such covered 


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1 facilities only upon payment of duties and 

2 any penalty; and 

3 (B) to apply any duties or penalties to cus4 toms entries for which liquidation was sus5 pended pursuant to section 752; and 

6 (2) apply other remedies that are appropriate 

7 and available under Annex 31–A of the USMCA, 

8 until the denial of rights with respect to the case has 

9 been remedied. 

10 (b) REMEDIATION NOTIFICATION.—The Trade Rep11 resentative shall promptly notify the Secretary when the 

12 denial of rights with respect to a case described in sub13 section (a) has been remedied. 

14 TITLE VIII—ENVIRONMENT 

15 MONITORING AND ENFORCE16 MENT 

17 SEC. 801. DEFINITIONS. 

18 In this title: 

19 (1) ENVIRONMENTAL LAW.—The term ‘‘envi20 ronmental law’’ has the meaning given the term in 

21 article 24.1 of the USMCA. 

22 (2) ENVIRONMENTAL OBLIGATIONS.—The term 

23 ‘‘environmental obligations’’ means obligations relat24 ing to the environment under— 


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1 (A) chapter 1 of the USMCA (relating to 

2 initial provisions and general definitions); and 

3 (B) chapter 24 of the USMCA (relating to 

4 environment). 

5 Subtitle A—Interagency Environ6 ment Committee for Monitoring 

7 and Enforcement 

8 SEC. 811. ESTABLISHMENT. 

9 (a) IN GENERAL.—Not later than 30 days after the 

10 date of the enactment of this Act, the President shall es11 tablish an Interagency Environment Committee for Moni12 toring and Enforcement (in this title referred to as the 

13 ‘‘Interagency Environment Committee’’)— 

14 (1) to coordinate United States efforts to mon15 itor and enforce environmental obligations generally; 

16 and 

17 (2) with respect to the USMCA countries— 

18 (A) to carry out an assessment of their en19 vironmental laws and policies; 

20 (B) to carry out monitoring actions with 

21 respect to the implementation and maintenance 

22 of their environmental obligations; and 

23 (C) to request enforcement actions with re24 spect to USMCA countries that are not in com25 pliance with their environmental obligations. 


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1 (b) MEMBERSHIP.—The members of the Interagency 

2 Environment Committee shall be the following: 

3 (1) The Trade Representative, who shall serve 

4 as chairperson. 

5 (2) Representatives from each of the following: 

6 (A) The National Oceanic Atmospheric Ad7 ministration. 

8 (B) The U.S. Fish and Wildlife Service. 

9 (C) The U.S. Forest Service. 

10 (D) The Environmental Protection Agency. 

11 (E) The Animal and Plant Health Inspec12 tion Service. 

13 (F) U.S. Customs and Border Protection. 

14 (G) The Department of State. 

15 (H) The Department of Justice. 

16 (I) The Department of the Treasury. 

17 (J) The United States Agency for Inter18 national Development. 

19 (3) Representatives from other Federal agen20 cies, as the President determines to be appropriate. 

21 (c) INFORMATION SHARING.—Notwithstanding any 

22 other provision of law, the members of the Interagency 

23 Environment Committee may exchange information for 

24 purposes of carrying out this subtitle. 


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1 SEC. 812. ASSESSMENT. 

2 (a) IN GENERAL.—The Interagency Environment 

3 Committee shall carry out an assessment of the environ4 mental laws and policies of the USMCA countries— 

5 (1) to determine if such laws and policies are 

6 sufficient to implement their environmental obliga7 tions; and 

8 (2) to identify any gaps between such laws and 

9 policies and their environmental obligations. 

10 (b) MATTERS TO BE INCLUDED.—The assessment 

11 required by subsection (a) shall identify the environmental 

12 laws and policies of the USMCA countries with respect 

13 to which enhanced cooperation, including the provision of 

14 technical assistance and capacity building assistance, mon15 itoring actions, and enforcement actions, if appropriate, 

16 should be carried out on an enhanced and continuing 

17 basis. 

18 (c) REPORT.—Not later than 90 days after the date 

19 on which the Interagency Environment Committee is es20 tablished, or the date on which the USMCA enters into 

21 force, whichever occurs earlier, the Interagency Environ22 ment Committee shall submit a report that contains the 

23 assessment required by subsection (a) to— 

24 (1) the appropriate congressional committees; 

25 and 


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1 (2) the Trade and Environment Policy Advisory 

2 Committee (or successor advisory committee) estab3 lished under section 135(c)(1) of the Trade Act of 

4 1974 (19 U.S.C. 2155(c)(1)). 

5 (d) UPDATE.—The Interagency Environment Com6 mittee shall— 

7 (1) update the assessment required by sub8 section (a) at the appropriate time prior to submis9 sion of the report required by section 816(a) that is 

10 to be submitted in the fifth year after the USMCA 

11 enters into force; and 

12 (2) submit the updated assessment to the Trade 

13 Representative for inclusion in such fifth annual re14 port. 

15 (e) CONSULTATION.—The Interagency Environment 

16 Committee shall consult on a regular basis with the 

17 USMCA countries— 

18 (1) in carrying out the assessment required by 

19 subsection (a) and the update to the assessment re20 quired by subsection (d); and 

21 (2) in preparing the report required by sub22 section (c). 

23 SEC. 813. MONITORING ACTIONS. 

24 (a) IN GENERAL.—The Interagency Environment 

25 Committee shall carry out monitoring actions, which shall 


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1 include the monitoring actions described in subsections 

2 (b), (c), and (d), with respect to the implementation and 

3 maintenance of the environmental obligations of the 

4 USMCA countries. 

5 (b) REVIEW OF CEC SECRETARIAT SUBMISSIONS.— 

6 (1) IN GENERAL.—Not later than 30 days after 

7 the date on which the Secretariat of the Commission 

8 for Environmental Cooperation prepares a factual 

9 record under article 24.28 of the USMCA relating to 

10 a submission filed under article 24.27 of the 

11 USMCA with respect to a USMCA country, the 

12 Interagency Environment Committee— 

13 (A) shall review the factual record; and 

14 (B) may, based on findings of the review 

15 under subparagraph (A) that the USMCA 

16 country is not in compliance with its environ17 mental obligations, request enforcement actions 

18 under section 814 with respect to the USMCA 

19 country. 

20 (2) WRITTEN JUSTIFICATION.—If the Inter21 agency Environment Committee finds that a 

22 USMCA country is not in compliance with its envi23 ronmental obligations under paragraph (1)(B) and 

24 determines not to request enforcement actions under 

25 section 814 with respect to the USMCA country, the 


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1 Committee shall, not later than 30 days after the 

2 date on which it makes the determination, provide to 

3 the appropriate congressional committees a written 

4 explanation and justification of the determination. 

5 (c) REVIEW OF REPORTS OF UNITED STATES ENVI6 RONMENT ATTACHE ́S TO MEXICO.—The Interagency En7 vironment Committee shall— 

8 (1) review each report submitted to the Com9 mittee under section 822(b)(2); and 

10 (2) based on the findings of each such report, 

11 assess the efforts of Mexico to comply with its envi12 ronmental obligations. 

13 (d) UNITED STATES IMPLEMENTATION OF ENVIRON14 MENT COOPERATION AND CUSTOMS VERIFICATION

15 AGREEMENT.— 

16 (1) VERIFICATION OF SHIPMENTS.—The Inter17 agency Environment Committee— 

18 (A) may request verification of particular 

19 shipments of Mexico under the Environment 

20 Cooperation and Customs Verification Agree21 ment between the United States and Mexico, 

22 done at Mexico City on December 10, 2019, in 

23 response to— 


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1 (i) comments submitted by the public 

2 to request verification of particular ship3 ments of Mexico under such Agreement; or 

4 (ii) on its own motion; and 

5 (B) upon receipt of comments described in 

6 subparagraph (A)(i)— 

7 (i) shall review the comments not 

8 later than 30 days after the date on which 

9 the comments are submitted to the Trade 

10 Representative; and 

11 (ii) may request the Trade Represent12 ative to, within a reasonable period of 

13 time, request Mexico to provide relevant in14 formation for purposes of verification of 

15 particular shipments of Mexico described 

16 in subparagraph (A). 

17 (2) REVIEW OF RELEVANT INFORMATION AND

18 REQUEST FOR ADDITIONAL STEPS.—The Inter19 agency Environment Committee— 

20 (A) shall review relevant information pro21 vided by Mexico as described in paragraph 

22 (1)(B)(ii) to determine if the Trade Representa23 tive should request additional steps to verify in24 formation provided or related to a particular 

25 shipment of Mexico; and 


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1 (B) may request the Trade Representative 

2 to, within a reasonable period of time, request 

3 Mexico to take such additional steps with re4 spect to the particular shipment. 

5 (3) CONSULTATION.—The Trade Representa6 tive, on behalf of the Interagency Environment Com7 mittee, shall, on a quarterly basis, consult with the 

8 appropriate congressional committees and the Trade 

9 and Environment Policy Advisory Committee (or 

10 successor advisory committee) established under sec11 tion 135(c)(1) of the Trade Act of 1974 (19 U.S.C. 

12 2155(c)(1)) regarding the public comments and rel13 evant information described in paragraph (1) and 

14 the actions taken under paragraph (2). 

15 (e) APPLICATION.—Subsections (c) and (d) shall 

16 apply with respect to Mexico for such time as the USMCA 

17 is in force with respect to, and the United States applies 

18 the USMCA to, Mexico. 

19 SEC. 814. ENFORCEMENT ACTIONS. 

20 The Interagency Environment Committee— 

21 (1) may request the Trade Representative to, 

22 within a reasonable period of time, request consulta23 tions under— 


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1 (A) article 24.29 of the USMCA (relating 

2 to environment consultations) with respect to 

3 the USMCA country; or 

4 (B) articles 31.4 and 31.6 of the USMCA 

5 (relating to dispute settlement consultations) 

6 with respect to the USMCA country; or 

7 (2) may request the heads of other Federal 

8 agencies described in section 815 to initiate moni9 toring or enforcement actions with respect to the 

10 USMCA country under the provisions of law de11 scribed in section 815. 

12 SEC. 815. OTHER MONITORING AND ENFORCEMENT AC13 TIONS. 

14 (a) MARINE MAMMAL PROTECTION ACT.—The Sec15 retary of Commerce has authority to take appropriate 

16 monitoring or enforcement actions under the Marine 

17 Mammal Protection Act of 1972 (16 U.S.C. 1361 et seq.). 

18 (b) MAGNUSON-STEVENS FISHERY CONSERVATION

19 AND MANAGEMENT ACT.—The Secretary of Commerce 

20 has authority to take appropriate monitoring or enforce21 ment actions under the following provisions of law: 

22 (1) The Magnuson-Stevens Fishery Conserva23 tion and Management Act (16 U.S.C. 1801 et seq.). 


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1 (2) The Magnuson-Stevens Fishery Conserva2 tion and Management Reauthorization Act of 2006 

3 (16 U.S.C. 1891 et seq.). 

4 (3) The High Seas Driftnet Fishing Morato5 rium Protection Act (16 U.S.C. 1826d et seq.). 

6 (4) The Shark Conservation Act of 2010 (16 

7 U.S.C. 1826k note; 1857 note). 

8 (5) The Shark Finning Prohibition Act (16 

9 U.S.C. 1822 note). 

10 (c) FISHERMEN’S PROTECTIVE ACT OF 1967.—The 

11 Secretary of Commerce and Secretary of the Interior have 

12 authority to take appropriate monitoring or enforcement 

13 actions under section 8 of the Fishermen’s Protective Act 

14 of 1967 (22 U.S.C. 1978). 

15 (d) AGREEMENT ON PORT STATE MEASURES TO

16 PREVENT, DETER AND ELIMINATE ILLEGAL, UNRE17 PORTED AND UNREGULATED FISHING.—The Secretary of 

18 Commerce has authority to take appropriate monitoring 

19 or enforcement actions under the Port State Measures 

20 Agreement Act of 2015 (16 U.S.C. 7401 et seq.). 

21 (e) ENDANGERED SPECIES ACT.—The Secretary of 

22 Agriculture, the Secretary of the Interior, the Secretary 

23 of Homeland Security, the Secretary of Commerce, and 

24 the Secretary of the Treasury have authority to take apVerDate Sep 11 2014 21:16 Jan 03, 2020 Jkt 099200 PO 00000 Frm 00220 Fmt 6652 Sfmt 6201 E:\BILLS\H5430.RFS H5430

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1 propriate monitoring or enforcement actions under the 

2 Endangered Species Act of 1973 (16 U.S.C. 1531 et seq.). 

3 (f) LACEY ACT.—The Secretary of Agriculture, the 

4 Secretary of Commerce, the Secretary of the Interior, the 

5 Secretary of Homeland Security, and the Secretary of the 

6 Treasury have authority to take appropriate monitoring 

7 or enforcement actions under the Lacey Act Amendments 

8 of 1981 (16 U.S.C. 3371 et seq.). 

9 (g) MIGRATORY BIRD TREATY ACT.—The Secretary 

10 of the Interior has authority to take appropriate moni11 toring or enforcement actions under the Migratory Bird 

12 Treaty Act of 1918 (16 U.S.C. 703 et seq.). 

13 (h) ELIMINATE, NEUTRALIZE, AND DISRUPT WILD14 LIFE TRAFFICKING ACT.—The Secretary of State, the 

15 Secretary of the Interior, the Attorney General, and Ad16 ministrator of the United States Agency for International 

17 Development have authority to take appropriate moni18 toring or enforcement actions under the Eliminate, Neu19 tralize, and Disrupt Wildlife Trafficking Act of 2016 (16 

20 U.S.C. 7601 et seq.). 

21 (i) WILD BIRD CONSERVATION ACT.—The Secretary 

22 of the Interior has authority to take appropriate moni23 toring or enforcement actions under the Wild Bird Con24 servation Act of 1992 (16 U.S.C. 4901 et seq.). 


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1 (j) CUSTOMS SEIZURE AND OTHER AUTHORITIES.— 

2 The Secretary of Homeland Security has authority to take 

3 appropriate monitoring or enforcement actions under sec4 tion 499 of the Tariff Act of 1930 (19 U.S.C. 1499) or 

5 section 596 of such Act (19 U.S.C. 1595a). 

6 (k) OTHER RELEVANT PROVISIONS OF LAW.—The 

7 Interagency Environment Committee may request the 

8 heads of other Federal agencies to take appropriate moni9 toring or enforcement actions under other relevant provi10 sions of law. 

11 (l) RULE OF CONSTRUCTION.—Nothing in this sec12 tion may be construed to supersede or otherwise limit in 

13 any manner the functions or authority of the head of any 

14 Federal agency described in this section under any other 

15 provision of law. 

16 SEC. 816. REPORT TO CONGRESS. 

17 (a) IN GENERAL.—The Trade Representative, in con18 sultation with the head of any Federal agency described 

19 in this subtitle, shall submit to the appropriate congres20 sional committees a report on the implementation of this 

21 subtitle, including— 

22 (1) a description of efforts of the USMCA 

23 countries to implement their environmental obliga24 tions; and 


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1 (2) a description of additional efforts to be 

2 taken with respect to USMCA countries that are 

3 failing to implement their environmental obligations. 

4 (b) TIMING OF REPORT.—The report required by 

5 subsection (a) shall be submitted— 

6 (1) not later than 1 year after the date on 

7 which the USMCA enters into force; 

8 (2) annually for each of the next 4 years; and 

9 (3) biennially thereafter. 

10 (c) ADDITIONAL MATTERS TO BE INCLUDED IN THE

11 FIFTH ANNUAL REPORT.—The report required by sub12 section (a) that is submitted in the fifth year after the 

13 USMCA enters into force shall also include the following: 

14 (1) The updated assessment required by section 

15 812(d). 

16 (2) A comprehensive determination regarding 

17 USMCA countries’ implementation of their environ18 mental obligations. 

19 (3) An explanation of how compliance with en20 vironmental obligations will be taken into consider21 ation during the ‘‘joint review’’ conducted pursuant 

22 to article 34.7.2 of the USMCA on the sixth anni23 versary of the entry into force of the USMCA. 


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1 SEC. 817. REGULATIONS. 

2 The head of any Federal agency described in this sub3 title, in consultation with the Interagency Environment 

4 Committee, may prescribe such regulations as are nec5 essary to carry out the authorities of the Federal agency 

6 as provided for under this subtitle. 

7 Subtitle B—Other Matters 

8 SEC. 821. BORDER WATER INFRASTRUCTURE IMPROVE9 MENT AUTHORITY. 

10 (a) IN GENERAL.—The Administrator of the Envi11 ronmental Protection Agency shall, in coordination with 

12 eligible public entities, carry out the planning, design, con13 struction, and operation and maintenance of high priority 

14 treatment works in the covered area to treat wastewater 

15 (including stormwater), nonpoint sources of pollution, and 

16 related matters resulting from international transbound17 ary water flows originating in Mexico. 

18 (b) REPORT TO CONGRESS.—Not later than 1 year 

19 after the date of enactment of this Act, and annually 

20 thereafter, the Administrator shall submit to Congress a 

21 report on activities carried out pursuant to this section. 

22 (c) DEFINITIONS.—In this section: 

23 (1) COVERED AREA.—The term ‘‘covered area’’ 

24 means the portion of the Tijuana River watershed 

25 that is in the United States. 


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1 (2) ELIGIBLE PUBLIC ENTITIES.—The term 

2 ‘‘eligible public entities’’ means— 

3 (A) the United States Section of the Inter4 national Boundary and Water Commission; 

5 (B) the Corps of Engineers; 

6 (C) the North American Development 

7 Bank; 

8 (D) the Department of State; 

9 (E) any other appropriate Federal agency; 

10 (F) the State of California; and 

11 (G) any of the following entities with juris12 diction over any part of the covered area: 

13 (i) A local government. 

14 (ii) An Indian Tribe. 

15 (iii) A regional water board. 

16 (iv) A public wastewater utility. 

17 (3) TREATMENT WORKS.—The term ‘‘treatment 

18 works’’ has the meaning given that term in section 

19 212 of the Federal Water Pollution Control Act. 

20 SEC. 822. DETAIL OF PERSONNEL TO OFFICE OF THE 

21 UNITED STATES TRADE REPRESENTATIVE. 

22 (a) IN GENERAL.—Upon the request of the Trade 

23 Representative, the Administrator of the Environmental 

24 Protection Agency, the Director of the U.S. Fish and 

25 Wildlife Service, and the Administrator of the National 


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1 Oceanic Atmospheric Administration may detail, on a re2 imbursable basis, one employee of each such respective 

3 agency to the Office of the United States Trade Rep4 resentative to be assigned to the United States Embassy 

5 in Mexico to carry out the duties described in subsection 

6 (b). 

7 (b) DUTIES.—The duties described in this subsection 

8 are the following: 

9 (1) Assist the Interagency Environment Com10 mittee to carry out monitoring and enforcement ac11 tions with respect to the environmental obligations 

12 of Mexico. 

13 (2) Prepare and submit to the Interagency En14 vironment Committee on a quarterly basis a report 

15 on efforts of Mexico to comply with its environ16 mental obligations. 

17 Subtitle C—North American 

18 Development Bank 

19 SEC. 831. GENERAL CAPITAL INCREASE. 

20 Part 2 of subtitle D of title V of Public Law 103– 

21 182 (22 U.S.C. 290m et seq.) is amended by adding at 

22 the end the following: 

23 ‘‘SEC. 547. FIRST CAPITAL INCREASE. 

24 ‘‘(a) SUBSCRIPTION AUTHORIZED.— 


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1 ‘‘(1) IN GENERAL.—The Secretary of the 

2 Treasury is authorized to subscribe on behalf of the 

3 United States to, and make payment for, 150,000 

4 additional shares of the capital stock of the Bank. 

5 ‘‘(2) LIMITATION.—Any subscription by the 

6 United States to the capital stock of the Bank shall 

7 be effective only to such extent and in such amounts 

8 as are provided in advance in appropriations Acts. 

9 ‘‘(b) LIMITATIONS ON AUTHORIZATION OF APPRO10 PRIATIONS.— 

11 ‘‘(1) IN GENERAL.—In order to pay for the in12 crease in the United States subscription to the Bank 

13 under subsection (a), there are authorized to be ap14 propriated, without fiscal year limitation, 

15 $1,500,000,000 for payment by the Secretary of the 

16 Treasury. 

17 ‘‘(2) ALLOCATION OF FUNDS.—Of the amount 

18 authorized to be appropriated under paragraph 

19 (1)— 

20 ‘‘(A) $225,000,000 shall be for paid in 

21 shares of the Bank; and 

22 ‘‘(B) $1,275,000,000 shall be for callable 

23 shares of the Bank.’’. 


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1 SEC. 832. POLICY GOALS. 

2 (a) IN GENERAL.—To the extent consistent with the 

3 mission and scope of the North American Development 

4 Bank on the day before the date of the enactment of this 

5 Act and pursuant to section 2 of article II of the Charter, 

6 the Secretary of the Treasury should direct the represent7 atives of the United States to the Board of Directors of 

8 the Bank to use the voice and vote of the United States 

9 to give preference to the financing of projects related to 

10 environmental infrastructure relating to water pollution, 

11 wastewater treatment, water conservation, municipal solid 

12 waste, stormwater drainage, non-point pollution, and re13 lated matters. 

14 (b) CHARTER DEFINED.—In this section, the term 

15 ‘‘Charter’’ means the Agreement Concerning the Estab16 lishment of a Border Environment Cooperation Commis17 sion and a North American Development Bank, signed at 

18 Washington and Mexico November 16 and 18, 1993, and 

19 entered into force January 1, 1994 (TIAS 12516), be20 tween the United States and Mexico. 

21 SEC. 833. EFFICIENCIES AND STREAMLINING. 

22 The Secretary of the Treasury should direct the rep23 resentatives of the United States to the Board of Directors 

24 of the North American Development Bank to use the voice 

25 and vote of the United States to seek to require the Bank 

26 to develop and implement efficiency improvements to 


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1 streamline and accelerate the project certification and fi2 nancing process, including through initiatives such as sin3 gle certifications for revolving facilities, programmatic cer4 tification of similar groups of small projects, expansion of 

5 internal authority to approve qualified projects below cer6 tain monetary thresholds, and expedited certification for 

7 public sector projects subject to lender bidding processes. 

8 SEC. 834. PERFORMANCE MEASURES. 

9 (a) IN GENERAL.—The Secretary of the Treasury 

10 should direct the representatives of the United States to 

11 the Board of Directors of the North American Develop12 ment Bank to use the voice and vote of the United States 

13 to seek to require the Bank to develop performance meas14 ures that— 

15 (1) demonstrate how projects and financing ap16 proved by the Bank are meeting the Bank’s mission 

17 and providing added value to the region near the 

18 international land border between the United States 

19 and Mexico; and 

20 (2) are reviewed and updated not less fre21 quently than annually. 

22 (b) REPORT TO CONGRESS.—The Secretary of the 

23 Treasury shall submit to Congress, with the submission 

24 to Congress of the budget of the President for a fiscal 

25 year under section 1105(a) of title 31, United States 


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1 Code, a report on progress in imposing the performance 

2 measures described in subsection (a) of this section. 

3 TITLE IX—USMCA SUPPLEMENTAL 

4 APPROPRIATIONS ACT, 2019 

5 The following sums are hereby appropriated, out of 

6 any money in the Treasury not otherwise appropriated, 

7 for fiscal year 2020 and for other purposes, namely: 

8 DEPARTMENT OF AGRICULTURE 

9 AGRICULTURAL PROGRAMS

10 ANIMAL AND PLANT HEALTH INSPECTION SERVICE

11 SALARIES AND EXPENSES

12 For an additional amount for ‘‘Salaries and Ex13 penses’’, for enforcement of the Lacey Act Amendments 

14 of 1981 (16 U.S.C. 3371 et seq.) during fiscal years 2020 

15 through 2023 related to trade activities between the 

16 United States and Mexico, $4,000,000, to remain avail17 able until September 30, 2023: Provided, That such 

18 amount is designated by the Congress as being for an 

19 emergency requirement pursuant to section 

20 251(b)(2)(A)(i) of the Balanced Budget and Emergency 

21 Deficit Control Act of 1985. 


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1 DEPARTMENT OF COMMERCE 

2 NATIONAL OCEANIC AND ATMOSPHERIC

3 ADMINISTRATION

4 OPERATIONS, RESEARCH, AND FACILITIES

5 For an additional amount for ‘‘Operations, Research, 

6 and Facilities’’, $16,000,000, to remain available until 

7 September 30, 2023: Provided, That $8,000,000 shall be 

8 available to engage in cooperation with the Government 

9 of Mexico to combat illegal, unreported, and unregulated 

10 fishing and enhance the implementation of the Seafood 

11 Import Monitoring Program pursuant to 16 U.S.C. 1826 

12 and 1829, during fiscal years 2020 through 2023: Pro13 vided further, That $8,000,000 shall be available to carry 

14 out section 3 of the Marine Debris Act (33 U.S.C. 1952) 

15 during fiscal years 2020 through 2023 in the North Amer16 ican region: Provided further, That such amount is des17 ignated by the Congress as being for an emergency re18 quirement pursuant to section 251(b)(2)(A)(i) of the Bal19 anced Budget and Emergency Deficit Control Act of 1985. 

20 OFFICE OF THE UNITED STATES TRADE

21 REPRESENTATIVE

22 SALARIES AND EXPENSES

23 For an additional amount for ‘‘Salaries and Ex24 penses’’, $50,000,000, to remain available until September 

25 30, 2023: Provided, That $30,000,000 shall be available 


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1 solely to provide for additional capacity of the Office dur2 ing fiscal years 2020 through 2023 to monitor compliance 

3 with labor obligations (as such term is defined in section 

4 701 of this Act), including the necessary expenses of addi5 tional full-time employees to participate in the Interagency 

6 Labor Committee for Monitoring and Enforcement estab7 lished pursuant to section 711 of this Act: Provided fur8 ther, That $20,000,000 shall be available to reimburse the 

9 necessary expenses of personnel participating in the Inter10 agency Environment Committee for Monitoring and En11 forcement established pursuant to section 811 of this Act 

12 during fiscal years 2020 through 2023 to monitor compli13 ance with environmental obligations (as such term is de14 fined in section 801 of this Act), including up to one addi15 tional full-time employee detailed to the United States 

16 Embassy in Mexico from each of the United States Fish 

17 and Wildlife Service, the Environmental Protection Agen18 cy, and the National Oceanic and Atmospheric Adminis19 tration: Provided further, That, if the United States Trade 

20 Representative determines that the additional amount ap21 propriated under this heading in this Act exceeds the 

22 amount sufficient to provide for the reimbursement of per23 sonnel specified in the previous proviso, such excess 

24 amounts may be used to reimburse the necessary expenses 

25 of additional personnel participating in the Interagency 


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1 Environment Committee for Monitoring and Enforcement 

2 during fiscal years 2020 through 2023 to monitor compli3 ance with environmental obligations (as such term is de4 fined in section 801 of this Act): Provided further, That 

5 such amount is designated by the Congress as being for 

6 an emergency requirement pursuant to section 

7 251(b)(2)(A)(i) of the Balanced Budget and Emergency 

8 Deficit Control Act of 1985. 

9 TRADE ENFORCEMENT TRUST FUND

10 For an additional amount for the ‘‘Trade Enforce11 ment Trust Fund’’, $40,000,000, to remain available until 

12 September 30, 2023, to carry out the enforcement of envi13 ronmental obligations under the USMCA, including for 

14 state-to-state dispute settlement actions, during fiscal 

15 years 2020 through 2023: Provided, That, amounts appro16 priated in this paragraph shall not count toward the limi17 tation specified in section 611(b)(2) of the Trade Facilita18 tion and Trade Enforcement Act of 2015 (19 U.S.C. 

19 4405): Provided further, That such amount is designated 

20 by the Congress as being for an emergency requirement 

21 pursuant to section 251(b)(2)(A)(i) of the Balanced Budg22 et and Emergency Deficit Control Act of 1985. 


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1 DEPARTMENT OF THE INTERIOR 

2 UNITED STATES FISH AND WILDLIFE SERVICE

3 RESOURCE MANAGEMENT

4 For an additional amount for ‘‘Resource Manage5 ment’’, to enforce the Lacey Act Amendments of 1981 (16 

6 U.S.C. 3371 et seq.) and sections 42 and 43 of title 18, 

7 United States Code, with respect to goods imported or ex8 ported between the United States and Mexico, during fis9 cal years 2020 through 2023, $4,000,000, to remain avail10 able until September 30, 2023: Provided, That such 

11 amount is designated by the Congress as being for an 

12 emergency requirement pursuant to section 

13 251(b)(2)(A)(i) of the Balanced Budget and Emergency 

14 Deficit Control Act of 1985. 

15 ENVIRONMENTAL PROTECTION AGENCY 

16 ENVIRONMENTAL PROGRAMS AND MANAGEMENT

17 For an additional amount for ‘‘Environmental Pro18 grams and Management’’ for necessary expenses for car19 rying out the Environmental Protection Agency’s efforts 

20 through the Commission for Environmental Cooperation 

21 during fiscal years 2020 through 2023, to reduce pollu22 tion, strengthen environmental governance, conserve bio23 logical diversity, and sustainably manage natural re24 sources, $4,000,000, to remain available until expended: 

25 Provided, That such amount is designated by the Congress 


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1 as being for an emergency requirement pursuant to sec2 tion 251(b)(2)(A)(i) of the Balanced Budget and Emer3 gency Deficit Control Act of 1985. 

4 STATE AND TRIBAL ASSISTANCE GRANTS

5 For an additional amount for ‘‘State and Tribal As6 sistance Grants’’ for architectural, engineering, planning, 

7 design, construction and related activities in connection 

8 with the construction of high priority wastewater facilities 

9 in the area of the United States-Mexico Border, after con10 sultation with the appropriate border commission, 

11 $300,000,000, to remain available until expended: Pro12 vided, That such amount is designated by the Congress 

13 as being for an emergency requirement pursuant to sec14 tion 251(b)(2)(A)(i) of the Balanced Budget and Emer15 gency Deficit Control Act of 1985. 

16 DEPARTMENT OF LABOR 

17 DEPARTMENTAL MANAGEMENT

18 SALARIES AND EXPENSES

19 For an additional amount for ‘‘Salaries and Ex20 penses’’, $210,000,000, for the Bureau of International 

21 Labor Affairs to administer or operate international labor 

22 activities, bilateral and multilateral technical assistance, 

23 and microfinance programs, by or through contracts, 

24 grants, subgrants and other arrangements; of which 

25 $180,000,000, to remain available until December 31, 


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1 2023, shall be used to support reforms of the labor justice 

2 system in Mexico, including grants to support worker-fo3 cused capacity building, efforts to reduce workplace dis4 crimination in Mexico, efforts to reduce child labor and 

5 forced labor in Mexico, efforts to reduce human traf6 ficking, efforts to reduce child exploitation, and other ef7 forts related to implementation of the USMCA; and of 

8 which $30,000,000, to remain available until September 

9 30, 2027, shall be available to provide for additional ca10 pacity of the Bureau of International Labor Affairs during 

11 fiscal years 2020 through 2027 to monitor compliance 

12 with labor obligations (as such term is defined in section 

13 701 of this Act), including the necessary expenses of addi14 tional full-time employees of the Bureau to participate in 

15 the Interagency Labor Committee for Monitoring and En16 forcement established pursuant to section 711 of this Act: 

17 Provided, That the Secretary of Labor may detail or as18 sign up to 5 additional full-time employees of the Bureau 

19 to the United States Embassy or consulates in Mexico to 

20 (1) assist in monitoring and enforcement actions with re21 spect to the labor obligations of Mexico, and (2) prepare 

22 a report, to be submitted on a quarterly basis to the Inter23 agency Labor Committee for Monitoring and Enforcement 

24 through September 30, 2027, on the efforts of Mexico to 

25 comply with labor obligations (as such term is defined in 


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1 section 701 of this Act): Provided further, That such em2 ployees, while detailed or assigned, shall continue to re3 ceive compensation, allowances, and benefits from funds 

4 made available to the Bureau for purposes related to the 

5 activities of the detail or assignment, in accordance with 

6 authorities related to their employment status and agency 

7 policies: Provided further, That such amount is designated 

8 by the Congress as being for an emergency requirement 

9 pursuant to section 251(b)(2)(A)(i) of the Balanced Budg10 et and Emergency Deficit Control Act of 1985. 

11 MULTILATERAL ASSISTANCE 

12 INTERNATIONAL FINANCIAL INSTITUTIONS

13 CONTRIBUTION TO THE NORTH AMERICAN DEVELOPMENT

14 BANK

15 For payment to the North American Development 

16 Bank by the Secretary of the Treasury for the United 

17 States share of the paid-in portion of the increase in cap18 ital stock, $215,000,000, to remain available until ex19 pended: Provided, That the authorities and conditions ap20 plicable to accounts in title V of the Department of State, 

21 Foreign Operations, and Related Programs Appropria22 tions Act, 2019 (division F of Public Law 116–6) shall 

23 apply to the amounts provided under this heading: Pro24 vided further, That such amount is designated by the Con25 gress as being for an emergency requirement pursuant to 


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1 section 251(b)(2)(A)(i) of the Balanced Budget and 

2 Emergency Deficit Control Act of 1985. 

3 GENERAL PROVISIONS—THIS TITLE 

4 SEC. 901. Each amount appropriated or made avail5 able by this title is in addition to any amounts otherwise 

6 appropriated for any of the fiscal years involved. 

7 SEC. 902. No part of any appropriation contained in 

8 this title shall remain available for obligation beyond the 

9 current fiscal year unless expressly so provided herein. 

10 SEC. 903. Unless otherwise provided for by this title, 

11 the additional amounts appropriated by this title to appro12 priations accounts shall be available under the authorities 

13 and conditions applicable to such appropriations accounts 

14 for fiscal year 2020. 

15 SEC. 904. Each amount designated in this title by 

16 the Congress as being for an emergency requirement pur17 suant to section 251(b)(2)(A)(i) of the Balanced Budget 

18 and Emergency Deficit Control Act of 1985 shall be avail19 able (or rescinded or transferred, if applicable) only if the 

20 President subsequently so designates all such amounts 

21 and transmits such designations to the Congress. 

22 BUDGETARY EFFECTS

23 SEC. 905. (a) STATUTORY PAYGO SCORECARDS.— 

24 The budgetary effects of this title shall not be entered on 

25 either PAYGO scorecard maintained pursuant to section 

26 4(d) of the Statutory Pay As-You-Go Act of 2010. 


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HR 5430 RFS

1 (b) SENATE PAYGO SCORECARDS.—The budgetary 

2 effects of this title shall not be entered on any PAYGO 

3 scorecard maintained for purposes of section 4106 of H. 

4 Con. Res. 71 (115th Congress). 

5 (c) CLASSIFICATION OF BUDGETARY EFFECTS.— 

6 Notwithstanding Rule 3 of the Budget Scorekeeping 

7 Guidelines set forth in the joint explanatory statement of 

8 the committee of conference accompanying Conference Re9 port 105–217 and section 250(c)(7) and (c)(8) of the Bal10 anced Budget and Emergency Deficit Control Act of 1985, 

11 the budgetary effects of this title shall be estimated for 

12 purposes of section 251 of such Act. 

13 This title may be cited as the ‘‘USMCA Supplemental 

14 Appropriations Act, 2019’’. 

Passed the House of Representatives December 19, 

2019. 

Attest: CHERYL L. JOHNSON, 

Clerk. 


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