79–008

106TH CONGRESS REPORT " ! HOUSE OF REPRESENTATIVES 2d Session 106–636

PROVIDING FOR THE FURTHER CONSIDERATION OF H.R. 4444, A BILL TO

AUTHORIZE THE EXTENSION OF NONDISCRIMINATORY TREATMENT

(NORMAL TRADE RELATIONS TREATMENT) TO THE PEOPLE’S REPUBLIC

OF CHINA

MAY 23, 2000.—Referred to the House Calendar and ordered to be printed

Mr. DREIER, from the Committee on Rules,

submitted the following

REPORT

[To accompany H. Res. 510]

The Committee on Rules, having had under consideration House

Resolution 510, by a nonrecord vote, report the same to the House

with the recommendation that the resolution be adopted.

SUMMARY OF PROVISIONS OF RESOLUTION

The resolution provides for the further consideration of H.R.

4444, a Bill to Authorize Extension of Nondiscriminatory Treatment (Normal Trade Relations Treatment) to the People’s Republic

of China, under a closed rule. The rule provides three hours of debate in the House equally divided among and controlled by the

chairman and ranking minority member of the Committee on Ways

and Means. Representative Stark of California or his designee, and

Representative Rohrabacher of California or his designee.

The rule provides that, in lieu of the committee amendment in

the nature of a substitute recommended by the Committee on Ways

and Means, the amendment in the nature of a substitute printed

in this report shall be considered as adopted. Finally, the rule provides one motion to recommit with or without instructions.

SUMMARY OF AMENDMENT CONSIDERED AS ADOPTED UPON ADOPTION

OF THE RULE

The amendment in the nature of a substitute includes the text

of H.R. 4444 as reported by the Committee on Ways and Means

with the following additions:

• establishes a Congressional-Executive Commission on

China to focus throughout the year on monitoring human

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rights in China, including internationally recognized core labor

standards and religious freedoms, and the development of ruleof-law and democracy-building in China;

• requires an annual USTR report and an annual WTO review on China’s compliance with WTO obligations;

• establishes a task force on the prohibition of the importance of products of forced or prison labor;

• devotes additional resources for monitoring and enforcing

China’s compliance with trade agreements;

• devotes additional resources to provide training and technical assistance to develop the rule of law in commercial and

labor markets and democracy-building in China;

• expresses the sense of Congress that the WTO General

Council should approve both the PRC’s accession and Taiwan’s

accession at the same General Council session; and

• expands and enhances U.S. International Broadcasting

Operations throughout China and surrounding countries by authorizing additional appropriations for Radio Free Asia and

Voice of America.

TEXT OF AMENDMENT CONSIDERED AS ADOPTED UPON ADOPTION OF

THE RULE

Strike all after the enacting clause and insert the following:

DIVISION A—NORMAL TRADE RELATIONS FOR THE PEOPLE’S REPUBLIC

OF CHINA

TITLE I—NORMAL TRADE RELATIONS

SEC. 101. TERMINATION OF APPLICATION OF CHAPTER 1 OF TITLE IV

OF THE TRADE ACT OF 1974 TO THE PEOPLE’S REPUBLIC

OF CHINA.

(a) PRESIDENTIAL DETERMINATIONS AND EXTENSION OF NONDISCRIMINATORY TREATMENT.—Notwithstanding any provision of

chapter 1 of title IV of the Trade Act of 1974 (19 U.S.C. 2431 et

seq.), as designated by section 103(a)(2) of this Act, the President

may—

(1) determine that such chapter should no longer apply to

the People’s Republic of China; and

(2) after making a determination under paragraph (1) with

respect to the People’s Republic of China, proclaim the extension of nondiscriminatory treatment (normal trade relations

treatment) to the products of that country.

(b) ACCESSION OF THE PEOPLE’S REPUBLIC OF CHINA TO THE

WORLD TRADE ORGANIZATION.—Prior to making the determination

provided for in subsection (a)(1) and pursuant to the provisions of

section 122 of the Uruguay Round Agreements Act (19 U.S.C.

3532), the President shall transmit a report to Congress certifying

that the terms and conditions for the accession of the People’s Republic of China to the World Trade Organization are at least equivVerDate 11-MAY-2000 07:26 May 24, 2000 Jkt 079008 PO 00000 Frm 00002 Fmt 6659 Sfmt 6602 E:\HR\OC\HR636.XXX pfrm07 PsN: HR636
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alent to those agreed between the United States and the People’s

Republic of China on November 15, 1999.

SEC. 102. EFFECTIVE DATE.

(a) EFFECTIVE DATE OF NONDISCRIMINATORY TREATMENT.—The

extension of nondiscriminatory treatment pursuant to section

101(a) shall be effective no earlier than the effective date of the accession of the People’s Republic of China to the World Trade Organization.

(b) TERMINATION OF APPLICABILITY OF TITLE IV.—On and after

the effective date under subsection (a) of the extension of nondiscriminatory treatment to the products of the People’s Republic

of China, chapter 1 of title IV of the Trade Act of 1974 (as designated by section 103(a)(2) of this Act) shall cease to apply to that

country.

SEC. 103. RELIEF FROM MARKET DISRUPTION.

(a) IN GENERAL.—Title IV of the Trade Act of 1974 (19 U.S.C.

2431 et seq.) is amended—

(1) in the title heading, by striking ‘‘CURRENTLY’’;

(2) by inserting before section 401 the following:

‘‘CHAPTER 1—TRADE RELATIONS WITH

CERTAIN COUNTRIES’’;

and

(3) by adding at the end the following new chapter:

‘‘CHAPTER 2—RELIEF FROM MARKET DISRUPTION TO INDUSTRIES AND DIVERSION OF

TRADE TO THE UNITED STATES MARKET

‘‘SEC. 421. ACTION TO ADDRESS MARKET DISRUPTION.

‘‘(a) PRESIDENTIAL ACTION.—If a product of the People’s Republic

of China is being imported into the United States in such increased

quantities or under such conditions as to cause or threaten to cause

market disruption to the domestic producers of a like or directly

competitive product, the President shall, in accordance with the

provisions of this section, proclaim increased duties or other import

restrictions with respect to such product, to the extent and for such

period as the President considers necessary to prevent or remedy

the market disruption.

‘‘(b) INITIATION OF AN INVESTIGATION.—(1) Upon the filing of a

petition by an entity described in section 202(a) of the Trade Act

of 1974 (19 U.S.C. 2252(a)), upon the request of the President or

the United States Trade Representative (in this subtitle referred to

as the ‘Trade Representative’), upon resolution of either the Committee on Ways and Means of the House of Representatives, or the

Committee on Finance of the Senate (in this subtitle referred to as

the ‘Committees’) or on its own motion, the United States International Trade Commission (in this subtitle referred to as the

‘Commission’) shall promptly make an investigation to determine

whether products of the People’s Republic of China are being imported into the United States in such increased quantities or under

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such conditions as to cause or threaten to cause market disruption

to the domestic producers of like or directly competitive products.

‘‘(2) The limitations on investigations set forth in section

202(h)(1) of the Trade Act of 1974 (19 U.S.C. 2252(h)(1)) shall apply

to investigations conducted under this section.

‘‘(3) The provisions of subsections (a)(8) and (i) of section 202 of

the Trade Act of 1974 (19 U.S.C. 2252(a)(8) and (i)), relating to

treatment of confidential business information, shall apply to investigations conducted under this section.

‘‘(4) Whenever a petition is filed, or a request or resolution is received, under this subsection, the Commission shall transmit a

copy thereof to the President, the Trade Representative, the Committee on Ways and Means of the House of Representatives, and

the Committee of Finance of the Senate, except that in the case of

confidential business information, the copy may include only nonconfidential summaries of such information.

‘‘(5) The Commission shall publish notice of the commencement

of any proceeding under this subsection in the Federal Register and

shall, within a reasonable time thereafter, hold public hearings at

which the Commission shall afford interested parties an opportunity to be present, to present evidence, to respond to the presentations of other parties, and otherwise to be heard.

‘‘(c) MARKET DISRUPTION.—(1) For purposes of this section, market disruption exists whenever imports of an article like or directly

competitive with an article produced by a domestic industry are increasing rapidly, either absolutely or relatively, so as to be a significant cause of material injury, or threat of material injury, to the

domestic industry.

‘‘(2) For purposes of paragraph (1), the term ‘significant cause’ refers to a cause which contributes significantly to the material injury of the domestic industry, but need not be equal to or greater

than any other cause.

‘‘(d) FACTORS IN DETERMINATION.—In determining whether market disruption exists, the Commission shall consider objective factors, including—

‘‘(1) the volume of imports of the product which is the subject

of the investigation;

‘‘(2) the effect of imports of such product on prices in the

United States for like or directly competitive articles; and

‘‘(3) the effect of imports of such product on the domestic industry producing like or directly competitive articles.

The presence or absence of any factor under paragraph (1), (2), or

(3) is not necessarily dispositive of whether market disruption exists.

‘‘(e) TIME FOR COMMISSION DETERMINATIONS.—The Commission

shall make and transmit to the President and the Trade Representative its determination under subsection (b)(1) at the earliest practicable time, but in no case later than 60 days (or 90 days in the

case of a petition requesting relief under subsection (i)) after the

date on which the petition is filed, the request or resolution is received, or the motion is adopted, under subsection (b). If the Commissioners voting are equally divided with respect to its determination, then the determination agreed upon by either group of ComVerDate 11-MAY-2000 07:00 May 24, 2000 Jkt 079008 PO 00000 Frm 00004 Fmt 6659 Sfmt 6602 E:\HR\OC\HR636.XXX pfrm03 PsN: HR636
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missioners may be considered by the President and the Trade Representative as the determination of the Commission.

‘‘(f) RECOMMENDATIONS OF COMMISSION ON PROPOSED REM- EDIES.—If the Commission makes an affirmative determination

under subsection (b), or a determination which the President or the

Trade Representative may consider as affirmative under subsection

(e), the Commission shall propose the amount of increase in, or imposition of, any duty or other import restrictions necessary to prevent or remedy the market disruption. Only those members of the

Commission who agreed to the affirmative determination under

subsection (b) are eligible to vote on the proposed action to prevent

or remedy market disruption. Members of the Commission who did

not agree to the affirmative determination may submit, in the report required under subsection (g), separate views regarding what

action, if any, should be taken to prevent or remedy market disruption.

‘‘(g) REPORT BY COMMISSION.—(1) Not later than 20 days after a

determination under subsection (b) is made, the Commission shall

submit a report to the President and the Trade Representative.

‘‘(2) The Commission shall include in the report required under

paragraph (1) the following:

‘‘(A) The determination made under subsection (b) and an explanation of the basis for the determination.

‘‘(B) If the determination under subsection (b) is affirmative,

or may be considered by the President or the Trade Representative as affirmative under subsection (e), the recommendations

of the Commission on proposed remedies under subsection (f)

and an explanation of the basis for each recommendation.

‘‘(C) Any dissenting or separate views by members of the

Commission regarding the determination and any recommendation referred to in subparagraphs (A) and (B).

‘‘(D) A description of—

‘‘(i) the short- and long-term effects that implementation

of the action recommended under subsection (f) is likely to

have on the petitioning domestic industry, on other domestic industries, and on consumers; and

‘‘(ii) the short- and long-term effects of not taking the

recommended action on the petitioning domestic industry,

its workers, and the communities where production facilities of such industry are located, and on other domestic industries.

‘‘(3) The Commission, after submitting a report to the President

under paragraph (1), shall promptly make it available to the public

(but shall not include confidential business information) and cause

a summary thereof to be published in the Federal Register.

‘‘(h) OPPORTUNITY TO PRESENT VIEWS AND EVIDENCE ON PROPOSED MEASURE AND RECOMMENDATION TO THE PRESIDENT.—(1)

Within 20 days after receipt of the Commission’s report under subsection (g) (or 15 days in the case of an affirmative preliminary determination under subsection (i)(1)(B)), the Trade Representative

shall publish in the Federal Register notice of any measure proposed by the Trade Representative to be taken pursuant to subsection (a) and of the opportunity, including a public hearing, if requested, for importers, exporters, and other interested parties to

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submit their views and evidence on the appropriateness of the proposed measure and whether it would be in the public interest.

‘‘(2) Within 55 days after receipt of the report under subsection

(g) (or 35 days in the case of an affirmative preliminary determination under subsection (i)(1)(B)), the Trade Representative, taking

into account the views and evidence received under paragraph (1)

on the measure proposed by the Trade Representative, shall make

a recommendation to the President concerning what action, if any,

to take to prevent or remedy the market disruption.

‘‘(i) CRITICAL CIRCUMSTANCES.—(1) When a petition filed under

subsection (b) alleges that critical circumstances exist and requests

that provisional relief be provided under this subsection with respect to the product identified in the petition, the Commission

shall, not later than 45 days after the petition containing the request is filed—

‘‘(A) determine whether delay in taking action under this section would cause damage to the relevant domestic industry

which would be difficult to repair; and

‘‘(B) if the determination under subparagraph (A) is affirmative, make a preliminary determination of whether imports of

the product which is the subject of the investigation have

caused or threatened to cause market disruption.

If the Commissioners voting are equally divided with respect to either of its determinations, then the determination agreed upon by

either group of Commissioners may be considered by the President

and the Trade Representative as the determination of the Commission.

‘‘(2) On the date on which the Commission completes its determinations under paragraph (1), the Commission shall transmit a

report on the determinations to the President and the Trade Representative, including the reasons for its determinations. If the determinations under paragraph (1) are affirmative, or may be considered by the President or the Trade Representative as affirmative

under paragraph (1), the Commission shall include in its report its

recommendations on proposed provisional measures to be taken to

prevent or remedy the market disruption. Only those members of

the Commission who agreed to the affirmative determinations

under paragraph (1) are eligible to vote on the proposed provisional

measures to prevent or remedy market disruption. Members of the

Commission who did not agree to the affirmative determinations

may submit, in the report, dissenting or separate views regarding

the determination and any recommendation of provisional measures referred to in this paragraph.

‘‘(3) If the determinations under paragraph (1) are affirmative, or

may be considered by the President or the Trade Representative as

affirmative under paragraph (1), the Trade Representative shall,

within 10 days after receipt of the Commission’s report, determine

the amount or extent of provisional relief that is necessary to prevent or remedy the market disruption and shall provide a recommendation to the President on what provisional measures, if

any, to take.

‘‘(4)(A) The President shall determine whether to provide provisional relief and proclaim such relief, if any, within 10 days after

receipt of the recommendation from the Trade Representative.

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‘‘(B) Such relief may take the form of—

‘‘(i) the imposition of or increase in any duty;

‘‘(ii) any modification, or imposition of any quantitative restriction on the importation of an article into the United

States; or

‘‘(iii) any combination of actions under clauses (i) and (ii).

‘‘(C) Any provisional action proclaimed by the President pursuant

to a determination of critical circumstances shall remain in effect

not more than 200 days.

‘‘(D) Provisional relief shall cease to apply upon the effective date

of relief proclaimed under subsection (a), upon a decision by the

President not to provide such relief, or upon a negative determination by the Commission under subsection (b).

‘‘(j) AGREEMENTS WITH THE PEOPLE’S REPUBLIC OF CHINA.—(1)

The Trade Representative is authorized to enter into agreements

for the People’s Republic of China to take such action as necessary

to prevent or remedy market disruption, and should seek to conclude such agreements before the expiration of the 60-day consultation period provided for under the product-specific safeguard provision of the Protocol of Accession of the People’s Republic of China

to the WTO, which shall commence not later than 5 days after the

Trade Representative receives an affirmative determination provided for in subsection (e) or a determination which the Trade Representative considers to be an affirmative determination pursuant

to subsection (e).

‘‘(2) If no agreement is reached with the People’s Republic of

China pursuant to consultations under paragraph (1), or if the

President determines than an agreement reached pursuant to such

consultations is not preventing or remedying the market disruption

at issue, the President shall provide import relief in accordance

with subsection (a).

‘‘(k) STANDARD FOR PRESIDENTIAL ACTION.—(1) Within 15 days

after receipt of a recommendation from the Trade Representative

under subsection (h) on the appropriate action, if any, to take to

prevent or remedy the market disruption, the President shall provide import relief for such industry pursuant to subsection (a), unless the President determines that provision of such relief is not in

the national economic interest of the United States or, in extraordinary cases, that the taking of action pursuant to subsection (a)

would cause serious harm to the national security of the United

States.

‘‘(2) The President may determine under paragraph (1) that providing import relief is not in the national economic interest of the

United States only if the President finds that the taking of such

action would have an adverse impact on the United States economy

clearly greater than the benefits of such action.

‘‘(l) PUBLICATION OF DECISION AND REPORTS.—(1) The President’s

decision, including the reasons therefor and the scope and duration

of any action taken, shall be published in the Federal Register.

‘‘(2) The Commission shall promptly make public any report

transmitted under this section, but shall not make public any information which the Commission determines to be confidential, and

shall publish notice of such report in the Federal Register.

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‘‘(m) EFFECTIVE DATE OF RELIEF.—Import relief under this section shall take effect not later than 15 days after the President’s

determination to provide such relief.

‘‘(n) MODIFICATIONS OF RELIEF.—(1) At any time after the end of

the 6-month period beginning on the date on which relief under

subsection (m) first takes effect, the President may request that the

Commission provide a report on the probable effect of the modification, reduction, or termination of the relief provided on the relevant

industry. The Commission shall transmit such report to the President within 60 days of the request.

‘‘(2) The President may, after receiving a report from the Commission under paragraph (1), take such action to modify, reduce, or

terminate relief that the President determines is necessary to continue to prevent or remedy the market disruption at issue.

‘‘(3) Upon the granting of relief under subsection (k), the Commission shall collect such data as is necessary to allow it to respond rapidly to a request by the President under paragraph (1).

‘‘(o) EXTENSION OF ACTION.—(1) Upon request of the President,

or upon petition on behalf of the industry concerned filed with the

Commission not earlier than the date which is 9 months, and not

later than the date which is 6 months, before the date any relief

provided under subsection (k) is to terminate, the Commission shall

investigate to determine whether action under this section continues to be necessary to prevent or remedy market disruption.

‘‘(2) The Commission shall publish notice of the commencement

of any proceeding under this subsection in the Federal Register and

shall, within a reasonable time thereafter, hold a public hearing at

which the Commission shall afford interested parties and consumers an opportunity to be present, to present evidence, and to

respond to the presentations of other parties and consumers, and

otherwise to be heard.

‘‘(3) The Commission shall transmit to the President a report on

its investigation and determination under this subsection not later

than 60 days before the action under subsection (m) is to terminate.

‘‘(4) The President, after receiving an affirmative determination

from the Commission under paragraph (3), may extend the effective period of any action under this section if the President determines that the action continues to be necessary to prevent or remedy the market disruption.

‘‘SEC. 422. ACTION IN RESPONSE TO TRADE DIVERSION.

‘‘(a) MONITORING BY CUSTOMS SERVICE.—In any case in which a

WTO member other than the United States requests consultations

with the People’s Republic of China under the product-specific safeguard provision of the Protocol of Accession of the People’s Republic

of China to the World Trade Organization, the Trade Representative shall inform the United States Customs Service, which shall

monitor imports into the United States of those products of Chinese origin that are the subject of the consultation request. Data

from such monitoring shall promptly be made available to the Commission upon request by the Commission.

‘‘(b) INITIATION OF INVESTIGATION.—(1) Upon the filing of a petition by an entity described in section 202(a) of the Trade Act of

1974, upon the request of the President or the Trade RepresentaVerDate 11-MAY-2000 07:00 May 24, 2000 Jkt 079008 PO 00000 Frm 00008 Fmt 6659 Sfmt 6602 E:\HR\OC\HR636.XXX pfrm03 PsN: HR636
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tive, upon resolution of either of the Committees, or on its own motion, the Commission shall promptly make an investigation to determine whether an action described in subsection (c) has caused,

or threatens to cause, a significant diversion of trade into the domestic market of the United States.

‘‘(2) The Commission shall publish notice of the commencement

of any proceeding under this subsection in the Federal Register and

shall, within a reasonable time thereafter, hold public hearings at

which the Commission shall afford interested parties an opportunity to be present, to present evidence, to respond to the presentations of other parties, and otherwise to be heard.

‘‘(3) The provisions of subsections (a)(8) and (i) of section 202 of

the Trade Act of 1974 (19 U.S.C. 2252(a)(8) and (i)), relating to

treatment of confidential business information, shall apply to investigations conducted under this section.

‘‘(c) ACTIONS DESCRIBED.—An action is described in this subsection if it is an action—

‘‘(1) by the People’s Republic of China to prevent or remedy

market disruption in a WTO member other than the United

States;

‘‘(2) by a WTO member other than the United States to withdraw concessions under the WTO Agreement or otherwise to

limit imports to prevent or remedy market disruption;

‘‘(3) by a WTO member other than the United States to apply

a provisional safeguard within the meaning of the product-specific safeguard provision of the Protocol of Accession of the People’s Republic of China to the WTO; or

‘‘(4) any combination of actions described in paragraphs (1)

through (3).

‘‘(d) BASIS FOR DETERMINATION OF SIGNIFICANT DIVERSION.—(1)

In determining whether significant diversion or the threat thereof

exists for purposes of this section, the Commission shall take into

account, to the extent such evidence is reasonably available—

‘‘(A) the monitoring conducted under subsection (a);

‘‘(B) the actual or imminent increase in United States market share held by such imports from the People’s Republic of

China;

‘‘(C) the actual or imminent increase in volume of such imports into the United States;

‘‘(D) the nature and extent of the action taken or proposed

by the WTO member concerned;

‘‘(E) the extent of exports from the People’s Republic of

China to that WTO member and to the United States;

‘‘(F) the actual or imminent changes in exports to that WTO

member due to the action taken or proposed;

‘‘(G) the actual or imminent diversion of exports from the

People’s Republic of China to countries other than the United

States;

‘‘(H) cyclical or seasonal trends in import volumes into the

United States of the products at issue; and

‘‘(I) conditions of demand and supply in the United States

market for the products at issue.

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The presence or absence of any factor under any of subparagraphs

(A) through (I) is not necessarily dispositive of whether a significant diversion of trade or the threat thereof exists.

‘‘(2) For purposes of making its determination, the Commission

shall examine changes in imports into the United States from the

People’s Republic of China since the time that the WTO member

commenced the investigation that led to a request for consultations

described in subsection (a).

‘‘(3) If more than 1 action by a WTO member or WTO members

against a particular product is identified in the petition, request,

or resolution under subsection (b) or during the investigation, the

Commission may cumulatively assess the actual or likely effects of

such actions jointly in determining whether a significant diversion

of trade or threat thereof exists.

‘‘(e) COMMISSION DETERMINATION; AGREEMENT AUTHORITY.—(1)

The Commission shall make and transmit to the President and the

Trade Representative its determination under subsection (b) at the

earliest practicable time, but in no case later than 45 days after the

date on which the petition is filed, the request or resolution is received, or the motion is adopted, under subsection (b). If the Commissioners voting are equally divided with respect to its determination, then the determination agreed upon by either group of Commissioners may be considered by the President and the Trade Representative as the determination of the Commission.

‘‘(2) The Trade Representative is authorized to enter into agreements with the People’s Republic of China or the other WTO members concerned to take such action as necessary to prevent or remedy significant trade diversion or threat thereof into the domestic

market of the United States, and should seek to conclude such

agreements before the expiration of the 60-day consultation period

provided for under the product-specific safeguard provision of the

Protocol of Accession of the People’s Republic of China to the WTO,

which shall commence not later than 5 days after the Trade Representative receives an affirmative determination provided for in

paragraph (1) or a determination which the Trade Representative

considers to be an affirmative determination pursuant to paragraph (1).

‘‘(3) REPORT BY COMMISSION.—

‘‘(A) Not later than 10 days after a determination under subsection (b), is made, the Commission shall transmit a report to

the President and the Trade Representative.

‘‘(B) The Commission shall include in the report required

under subparagraph (A) the following:

‘‘(i) The determination made under subsection (b) and an

explanation of the basis for the determination.

‘‘(ii) If the determination under subsection (b) is affirmative, or may be considered by the President or the Trade

Representative as affirmative under subsection (e)(1), the

recommendations of the Commission on increased tariffs or

other import restrictions to be imposed to prevent or remedy the trade diversion or threat thereof, and explanations

of the bases for such recommendations. Only those members of the Commission who agreed to the affirmative determination under subsection (b) are eligible to vote on the

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proposed action to prevent or remedy the trade diversion

or threat thereof.

‘‘(iii) Any dissenting or separate views by members of

the Commission regarding the determination and any recommendation referred to in clauses (i) and (ii).

‘‘(iv) A description of—

‘‘(I) the short- and long-term effects that implementation of the action recommended under clause (ii) is

likely to have on the petitioning domestic industry, on

other domestic industries, and on consumers; and

‘‘(II) the short- and long-term effects of not taking

the recommended action on the petitioning domestic

industry, its workers and the communities where production facilities of such industry are located, and on

other domestic industries.

‘‘(C) The Commission, after submitting a report to the President under subparagraph (A), shall promptly make it available

to the public (with the exception of confidential business information) and cause a summary thereof to be published in the

Federal Register.

‘‘(f) PUBLIC COMMENT.—If consultations fail to lead to an agreement with the People’s Republic of China or the WTO member concerned within 60 days, the Trade Representative shall promptly

publish notice in the Federal Register of any proposed action to

prevent or remedy the trade diversion, and provide an opportunity

for interested persons to present views and evidence on whether

the proposed action is in the public interest.

‘‘(g) RECOMMENDATION TO THE PRESIDENT.—Within 20 days after

the end of consultations pursuant to subsection (e), the Trade Representative shall make a recommendation to the President on what

action, if any, should be taken to prevent or remedy the trade diversion or threat thereof.

‘‘(h) PRESIDENTIAL ACTION.—Within 20 days after receipt of the

recommendation from the Trade Representative, the President

shall determine what action to take to prevent or remedy the trade

diversion or threat thereof.

‘‘(i) DURATION OF ACTION.—Action taken under subsection (h)

shall be terminated not later than 30 days after expiration of the

action taken by the WTO member or members involved against imports from the People’s Republic of China.

‘‘(j) REVIEW OF CIRCUMSTANCES.—(1) The Commission shall review the continued need for action taken under subsection (h) if the

WTO member or members involved notify the Committee on Safeguards of the WTO of any modification in the action taken by them

against the People’s Republic of China pursuant to consultation referred to in subsection (a). The Commission shall, not later than 60

days after such notification, determine whether a significant diversion of trade continues to exist and report its determination to the

President. The President shall determine, within 15 days after receiving the Commission’s report, whether to modify, withdraw, or

keep in place the action taken under subsection (h).

‘‘SEC. 423. REGULATIONS; TERMINATION OF PROVISION.

‘‘(a) TO CARRY OUT RESTRICTIONS AND MONITORING.—The President shall by regulation provide for the efficient and fair adminisVerDate 11-MAY-2000 07:00 May 24, 2000 Jkt 079008 PO 00000 Frm 00011 Fmt 6659 Sfmt 6602 E:\HR\OC\HR636.XXX pfrm03 PsN: HR636
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tration of any restriction proclaimed pursuant to the subtitle and

to provide for effective monitoring of imports under section 422(a).

‘‘(b) TO CARRY OUT AGREEMENTS.—To carry out an agreement

concluded pursuant to consultations under section 421(j) or

422(e)(2), the President is authorized to prescribe regulations governing the entry or withdrawal from warehouse of articles covered

by such agreement.

‘‘(c) TERMINATION DATE.—This subtitle and any regulations

issued under this subtitle shall cease to be effective 12 years after

the date of entry into force of the Protocol of Accession of the People’s Republic of China to the WTO.’’.

(b) CONFORMING AMENDMENT.—The table of contents of the

Trade Act of 1974 is amended—

(1) in the item relating to title IV, by striking ‘‘CURRENTLY’’;

(2) by inserting before the item relating to section 401 the

following:

‘‘CHAPTER 1—TRADE RELATIONS WITH CERTAIN COUNTRIES’’; and

(3) by adding after the item relating to section 409 the following:

‘‘CHAPTER 2—RELIEF FROM MARKET DISRUPTION TO INDUSTRIES AND DIVERSION OF

TRADE TO THE UNITED STATES MARKET

‘‘Sec. 421. Action to address market disruption.

‘‘Sec. 422. Action in response to trade diversion.

‘‘Sec. 423. Regulations; termination of provision.’’.

SEC. 104. AMENDMENT TO SECTION 123 OF THE TRADE ACT OF 1974—

COMPENSATION AUTHORITY.

Section 123(a)(1) of the Trade Act of 1974 (19 U.S.C. 2133(a)(1))

is amended by inserting after ‘‘title III’’ the following; ‘‘, or under

chapter 2 of title IV of the Trade Act of 1974’’.

DIVISION B—UNITED STATES–CHINA

RELATIONS

TITLE II—GENERAL PROVISIONS

SEC. 201. SHORT TITLE; TABLE OF CONTENTS.

(a) SHORT TITLE.—This division may be cited as the ‘‘U.S.-China

Relations Act of 2000’’.

(b) TABLE OF CONTENTS.—The table of contents of this division

is as follows:

TITLE II—GENERAL PROVISIONS

Sec. 201. Short title; table of contents.

Sec. 202. Findings.

Sec. 203. Policy.

Sec. 204. Definitions.

TITLE III—CONGRESSIONAL-EXECUTIVE COMMISSION ON THE PEOPLE’S

REPUBLIC OF CHINA

Sec. 301. Establishment of Congressional-Executive Commission on the People’s

Republic of China.

Sec. 302. Functions of the Commission.

Sec. 303. Membership of the Commission.

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Sec. 304. Votes of the Commission.

Sec. 305. Expenditure of appropriations.

Sec. 306. Testimony of witnesses, production of evidence; issuance of subpoenas;

administration of oaths.

Sec. 307. Appropriations for the Commission.

Sec. 308. Staff of the Commission.

Sec. 309. Printing and binding costs.

TITLE IV—MONITORING AND ENFORCEMENT OF THE PEOPLE’S REPUBLIC

OF CHINA’S WTO COMMITMENTS

Subtitle A—Review of Membership of the People’s Republic of China in the WTO

Sec. 401. Review within the WTO.

Subtitle B—Authorization To Promote Compliance With Trade Agreements

Sec. 411. Findings.

Sec. 412. Purpose.

Sec. 413. Authorization of appropriations.

Subtitle C—Report on Compliance by the People’s Republic of China With WTO

Obligations

Sec. 421. Report on compliance.

TITLE V—TRADE AND RULE OF LAW ISSUES IN THE PEOPLE’S REPUBLIC

OF CHINA

Subtitle A—Task Force on Prohibition of Importation of Products of Forced or

Prison Labor From the People’s Republic of China

Sec. 501. Establishment of Task Force.

Sec. 502. Functions of Task Force.

Sec. 503. Composition of Task Force.

Sec. 504. Authorization of appropriations.

Sec. 505. Reports to Congress.

Subtitle B—Assistance To Develop Commercial and Labor Rule of Law

Sec. 511. Establishment of technical assistance and rule of law programs.

Sec. 512. Administrative authorities.

Sec. 513. Prohibition relating to human rights abuses.

Sec. 514. Authorization of appropriations.

TITLE VI—ACCESSION OF TAIWAN TO THE WTO

Sec. 601. Accession of Taiwan to the WTO.

TITLE VII—RELATED ISSUES

Sec. 701. Authorizations of appropriations for broadcasting capital improvements

and international broadcasting operations.

SEC. 202. FINDINGS.

The Congress finds the following:

(1) In 1980, the United States opened trade relations with

the People’s Republic of China by entering into a bilateral

trade agreement, which was approved by joint resolution enacted pursuant to section 405(c) of the Trade Act of 1974.

(2) Since 1980, the President has consistently extended nondiscriminatory treatment to products of the People’s Republic

of China, pursuant to his authority under section 404 of the

Trade Act of 1974.

(3) Since 1980, the United States has entered into several

additional trade-related agreements with the People’s Republic

of China, including a memorandum of understanding on market access in 1992, 2 agreements on intellectual property rights

protection in 1992 and 1995, and an agreement on agricultural

cooperation in 1999.

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(4) Trade in goods between the People’s Republic of China and the United States totaled almost $95,000,000,000 in 1999,

compared with approximately $18,000,000,000 in 1989, representing growth of approximately 428 percent over 10 years.

(5) The United States merchandise trade deficit with the

People’s Republic of China has grown from approximately

$6,000,000,000 in 1989 to over $68,000,000,000 in 1999, a

growth of over 1,000 percent.

(6) The People’s Republic of China currently restricts imports

through relatively high tariffs and nontariff barriers, including

import licensing, technology transfer, and local content requirements.

(7) United States businesses attempting to sell goods to markets in the People’s Republic of China have complained of uneven application of tariffs, customs procedures, and other laws,

rules, and administrative measures affecting their ability to

sell their products in the Chinese market.

(8) On November 15, 1999, the United States and the People’s Republic of China concluded a bilateral agreement concerning terms of the People’s Republic of China’s eventual accession to the World Trade Organization.

(9) The commitments that the People’s Republic of China

made in its November 15, 1999, agreement with the United

States promise to eliminate or greatly reduce the principal barriers to trade with and investment in the People’s Republic of

China, if those commitments are effectively complied with and

enforced.

(10) The record of the People’s Republic of China in implementing trade-related commitments has been mixed. While the

People’s Republic of China has generally met the requirements

of the 1992 market access memorandum of understanding and

the 1992 and 1995 agreements on intellectual property rights

protection, other measures remain in place or have been put

into place which tend to diminish the benefit to United States

businesses, farmers, and workers from the People’s Republic of

China’s implementation of those earlier commitments. Notably,

administration of tariff-rate quotas and other trade-related

laws remains opaque, new local content requirements have

proliferated, restrictions on importation of animal and plant

products are not always supported by sound science, and licensing requirements for importation and distribution of goods

remain common. Finally, the Government of the People’s Republic of China has failed to cooperate with the United States

Customs Service in implementing a 1992 memorandum of understanding prohibiting trade in products made by prison

labor.

(11) The human rights record of the People’s Republic of

China is a matter of very serious concern to the Congress. The

Congress notes that the Department of State’s 1999 Country

Reports on Human Rights Practices for the People’s Republic

of China finds that ‘‘[t]he Government’s poor human rights

record deteriorated markedly throughout the year, as the Government intensified efforts to suppress dissent, particularly organized dissent.’’.

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(12) The Congress deplores violations by the Government of

the People’s Republic of China of human rights, religious freedoms, and worker rights that are referred to in the Department of State’s 1999 Country Reports on Human Rights Practices for the People’s Republic of China, including the banning

of the Falun Gong spiritual movement, denial in many cases,

particularly politically sensitive ones, of effective representation by counsel and public trials, extrajudicial killings and torture, forced abortion and sterilization, restriction of access to

Tibet and Xinjiang, perpetuation of ‘‘reeducation through

labor’’, denial of the right of workers to organize labor unions

or bargain collectively with their employers, and failure to implement a 1992 memorandum of understanding prohibiting

trade in products made by prison labor.

SEC. 203. POLICY.

It is the policy of the United States—

(1) to develop trade relations that broaden the benefits of

trade, and lead to a leveling up, rather than a leveling down,

of labor, environmental, commercial rule of law, market access,

anticorruption, and other standards across national borders;

(2) to pursue effective enforcement of trade-related and other

international commitments by foreign governments through

enforcement mechanisms of international organizations and

through the application of United States law as appropriate;

(3) to encourage foreign governments to conduct both commercial and noncommercial affairs according to the rule of law

developed through democratic processes;

(4) to encourage the Government of the People’s Republic of

China to afford its workers internationally recognized worker

rights;

(5) to encourage the Government of the People’s Republic of

China to protect the human rights of people within the territory of the People’s Republic of China, and to take steps toward protecting such rights, including, but not limited to—

(A) ratifying the International Covenant on Civil and Political Rights;

(B) protecting the right to liberty of movement and freedom to choose a residence within the People’s Republic of

China and the right to leave from and return to the People’s Republic of China; and

(C) affording a criminal defendant—

(i) the right to be tried in his or her presence, and

to defend himself or herself in person or through legal

assistance of his or her own choosing;

(ii) the right to be informed, if he or she does not

have legal assistance, of the right set forth in clause

(i);

(iii) the right to have legal assistance assigned to

him or her in any case in which the interests of justice

so require and without payment by him or her in any

such case if he or she does not have sufficient means

to pay for it;

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(iv) the right to a fair and public hearing by a competent, independent, and impartial tribunal established by the law;

(v) the right to be presumed innocent until proved

guilty according to law; and

(vi) the right to be tried without undue delay; and

(6) to highlight in the United Nations Human Rights Commission and in other appropriate fora violations of human

rights by foreign governments and to seek the support of other

governments in urging improvements in human rights practices.

SEC. 204. DEFINITIONS.

In this division:

(1) DISPUTE SETTLEMENT UNDERSTANDING.—The term ‘‘Dispute Settlement Understanding’’ means the Understanding on

Rules and Procedures Governing the Settlement of Disputes referred to in section 101(d)(16) of the Uruguay Round Agreements Act (19 U.S.C. 3511(16)).

(2) GOVERNMENT OF THE PEOPLE’S REPUBLIC OF CHINA.—The

term ‘‘Government of the People’s Republic of China’’ means

the central Government of the People’s Republic of China and

any other governmental entity, including any provincial, prefectural, or local entity and any enterprise that is controlled by

the central Government or any such governmental entity or as

to which the central Government or any such governmental entity is entitled to receive a majority of the profits.

(3) INTERNATIONALLY RECOGNIZED WORKER RIGHTS.—The

term ‘‘internationally recognized worker rights’’ has the meaning given that term in section 507(4) of the Trade Act of 1974

(19 U.S.C. 2467(4)) and includes the right to the elimination of

the ‘‘worst forms of child labor’’, as defined in section 507(6) of

the Trade Act of 1974 (19 U.S.C. 2467(6)).

(4) TRADE REPRESENTATIVE.—The term ‘‘Trade Representative’’ means the United States Trade Representative.

(5) WTO; WORLD TRADE ORGANIZATION.—The terms ‘‘WTO’’

and ‘‘World Trade Organization’’ mean the organization established pursuant to the WTO Agreement.

(6) WTO AGREEMENT.—The term ‘‘WTO Agreement’’ means

the Agreement Establishing the World Trade Organization entered into on April 15, 1994.

(7) WTO MEMBER.—The term ‘‘WTO member’’ has the meaning given that term in section 2(10) of the Uruguay Round

Agreements Act (19 U.S.C. 3501(10)).

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TITLE III—CONGRESSIONAL-EXECUTIVE

COMMISSION ON THE PEOPLE’S REPUBLIC OF CHINA

SEC. 301. ESTABLISHMENT OF CONGRESSIONAL-EXECUTIVE COMMISSION ON THE PEOPLE’S REPUBLIC OF CHINA.

There is established a Congressional-Executive Commission on

the People’s Republic of China (in this title referred to as the

‘‘Commission’’).

SEC. 302. FUNCTIONS OF THE COMMISSION.

(a) MONITORING COMPLIANCE WITH HUMAN RIGHTS.—The Commission shall monitor the acts of the People’s Republic of China

which reflect compliance with or violation of human rights, in particular, those contained in the International Covenant on Civil and

Political Rights and in the Universal Declaration of Human Rights,

including, but not limited to, effectively affording—

(1) the right to engage in free expression without fear of any

prior restraints;

(2) the right to peaceful assembly without restrictions, in accordance with international law;

(3) religious freedom, including the right to worship free of

involvement of and interference by the government;

(4) the right to liberty of movement and freedom to choose

a residence within the People’s Republic of China and the right

to leave from and return to the People’s Republic of China;

(5) the right of a criminal defendant—

(A) to be tried in his or her presence, and to defend himself or herself in person or through legal assistance of his

or her own choosing;

(B) to be informed, if he or she does not have legal assistance, of the right set forth in subparagraph (A);

(C) to have legal assistance assigned to him or her in

any case in which the interests of justice so require and

without payment by him or her in any such case if he or

she does not have sufficient means to pay for it;

(D) to a fair and public hearing by a competent, independent, and impartial tribunal established by the law;

(E) to be presumed innocent until proved guilty according to law; and

(F) to be tried without undue delay;

(6) the right to be free from torture and other forms of cruel

or unusual punishment;

(7) protection of internationally recognized worker rights;

(8) freedom from incarceration as punishment for political

opposition to the government;

(9) freedom from incarceration as punishment for exercising

or advocating human rights (including those described in this

section);

(10) freedom from arbitrary arrest, detention, or exile;

(11) the right to fair and public hearings by an independent

tribunal for the determination of a citizen’s rights and obligations; and

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(12) free choice of employment.

(b) VICTIMS LISTS.—The Commission shall compile and maintain

lists of persons believed to be imprisoned, detained, or placed under

house arrest, tortured, or otherwise persecuted by the Government

of the People’s Republic of China due to their pursuit of the rights

described in subsection (a). In compiling such lists, the Commission

shall exercise appropriate discretion, including concerns regarding

the safety and security of, and benefit to, the persons who may be

included on the lists and their families.

(c) MONITORING DEVELOPMENT OF RULE OF LAW.—The Commission shall monitor the development of the rule of law in the People’s Republic of China, including, but not limited to—

(1) progress toward the development of institutions of democratic governance;

(2) processes by which statutes, regulations, rules, and other

legal acts of the Government of the People’s Republic of China

are developed and become binding within the People’s Republic

of China;

(3) the extent to which statutes, regulations, rules, administrative and judicial decisions, and other legal acts of the Government of the People’s Republic of China are published and

are made accessible to the public;

(4) the extent to which administrative and judicial decisions

are supported by statements of reasons that are based upon

written statutes, regulations, rules and other legal acts of the

Government of the People’s Republic of China;

(5) the extent to which individuals are treated equally under

the laws of the of the People’s Republic of China without regard to citizenship;

(6) the extent to which administrative and judicial decisions

are independent of political pressure or governmental interference and are reviewed by entities of appellate jurisdiction;

and

(7) the extent to which laws in the People’s Republic of

China are written and administered in ways that are consistent with international human rights standards, including

the requirements of the International Covenant on Civil and

Political Rights.

(d) BILATERAL COOPERATION.—The Commission shall monitor

and encourage the development of programs and activities of the

United States Government and private organizations with a view

toward increasing the interchange of people and ideas between the

United States and the People’s Republic of China and expanding

cooperation in areas that include, but are not limited to—

(1) increasing enforcement of human rights described in subsection (a); and

(2) developing the rule of law in the People’s Republic of

China.

(e) CONTACTS WITH NONGOVERNMENTAL ORGANIZATIONS.—In performing the functions described in subsections (a) through (d), the

Commission shall, as appropriate, seek out and maintain contacts

with nongovernmental organizations, including receiving reports

and updates from such organizations and evaluating such reports.

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(f) COOPERATION WITH SPECIAL COORDINATOR.—In performing

the functions described in subsections (a) through (d), the Commission shall cooperate with the Special Coordinator for Tibetan Issues

in the Department of State.

(g) ANNUAL REPORTS.—The Commission shall issue a report to

the President and the Congress not later than 12 months after the

date of the enactment of this Act, and not later than the end of

each 12-month period thereafter, setting forth the findings of the

Commission during the preceding 12-month period, in carrying out

subsections (a) through (c). The Commission’s report may contain

recommendations for legislative or executive action.

(h) SPECIFIC INFORMATION IN ANNUAL REPORTS.—The Commission’s report under subsection (g) shall include specific information

as to the nature and implementation of laws or policies concerning

the rights set forth in paragraphs (1) through (12) of subsection (a),

and as to restrictions applied to or discrimination against persons

exercising any of the rights set forth in such paragraphs.

(i) CONGRESSIONAL HEARINGS ON ANNUAL REPORTS.—(1) The

Committee on International Relations of the House of Representatives shall, not later than 30 days after the receipt by the Congress

of the report referred to in subsection (g), hold hearings on the contents of the report, including any recommendations contained

therein, for the purpose of receiving testimony from Members of

Congress, and such appropriate representatives of Federal departments and agencies, and interested persons and groups, as the

committee deems advisable, with a view to reporting to the House

of Representatives any appropriate legislation in furtherance of

such recommendations. If any such legislation is considered by the

Committee on International Relations within 45 days after receipt

by the Congress of the report referred to in subsection (g), it shall

be reported by the committee not later than 60 days after receipt

by the Congress of such report.

(2) The provisions of paragraph (1) are enacted by the

Congress—

(A) as an exercise of the rulemaking power of the House of

Representatives, and as such are deemed a part of the rules of

the House, and they supersede other rules only to the extent

that they are inconsistent therewith; and

(B) with full recognition of the constitutional right of the

House to change the rules (so far as relating to the procedure

of the House) at any time, in the same manner and to the

same extent as in the case of any other rule of the House.

(j) SUPPLEMENTAL REPORTS.—The Commission may submit to the

President and the Congress reports that supplement the reports

described in subsection (g), as appropriate, in carrying out subsections (a) through (c).

SEC. 303. MEMBERSHIP OF THE COMMISSION.

(a) SELECTION AND APPOINTMENT OF MEMBERS.—The Commission shall be composed of 23 members as follows:

(1) Nine Members of the House of Representatives appointed

by the Speaker of the House of Representatives. Five members

shall be selected from the majority party and four members

shall be selected, after consultation with the minority leader of

the House, from the minority party.

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(2) Nine Members of the Senate appointed by the President

of the Senate. Five members shall be selected, after consultation with the majority leader of the Senate, from the majority

party, and four members shall be selected, after consultation

with the minority leader of the Senate, from the minority

party.

(3) One representative of the Department of State, appointed

by the President of the United States from among officers and

employees of that Department.

(4) One representative of the Department of Commerce, appointed by the President of the United States from among officers and employees of that Department.

(5) One representative of the Department of Labor, appointed by the President of the United States from among officers and employees of that Department.

(6) Two at-large representatives, appointed by the President

of the United States, from among the officers and employees of

the executive branch.

(b) CHAIRMAN AND COCHAIRMAN.— (1) DESIGNATION OF CHAIRMAN.—At the beginning of each

odd-numbered Congress, the President of the Senate, on the

recommendation of the majority leader, shall designate one of

the members of the Commission from the Senate as Chairman

of the Commission. At the beginning of each even-numbered

Congress, the Speaker of the House of Representatives shall

designate one of the members of the Commission from the

House as Chairman of the Commission.

(2) DESIGNATION OF COCHAIRMAN.—At the beginning of each

odd-numbered Congress, the Speaker of the House of Representatives shall designate one of the members of the Commission from the House as Cochairman of the Commission. At

the beginning of each even-numbered Congress, the President

of the Senate, on the recommendation of the majority leader,

shall designate one of the members of the Commission from

the Senate as Cochairman of the Commission.

SEC. 304. VOTES OF THE COMMISSION.

Decisions of the Commission, including adoption of reports and

recommendations to the executive branch or to the Congress, shall

be made by a majority vote of the members of the Commission

present and voting. Two-thirds of the Members of the Commission

shall constitute a quorum for purposes of conducting business.

SEC. 305. EXPENDITURE OF APPROPRIATIONS.

For each fiscal year for which an appropriation is made to the

Commission, the Commission shall issue a report to the Congress

on its expenditures under that appropriation.

SEC. 306. TESTIMONY OF WITNESSES, PRODUCTION OF EVIDENCE;

ISSUANCE OF SUBPOENAS; ADMINISTRATION OF OATHS.

In carrying out this title, the Commission may require, by subpoena or otherwise, the attendance and testimony of such witnesses and the production of such books, records, correspondence,

memoranda, papers, documents, and electronically recorded data as

it considers necessary. Subpoenas may be issued only pursuant to

a two-thirds vote of members of the Commission present and votVerDate 11-MAY-2000 07:00 May 24, 2000 Jkt 079008 PO 00000 Frm 00020 Fmt 6659 Sfmt 6602 E:\HR\OC\HR636.XXX pfrm03 PsN: HR636
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ing. Subpoenas may be issued over the signature of the Chairman

of the Commission or any member designated by the Chairman,

and may be served by any person designated by the Chairman or

such member. The Chairman of the Commission, or any member

designated by the Chairman, may administer oaths to any witness.

SEC. 307. APPROPRIATIONS FOR THE COMMISSION.

(a) AUTHORIZATION; DISBURSEMENTS.—

(1) AUTHORIZATION.—There are authorized to be appropriated to the Commission for fiscal year 2001, and each fiscal

year thereafter, such sums as may be necessary to enable it to

carry out its functions. Appropriations to the Commission are

authorized to remain available until expended.

(2) DISBURSEMENTS.—Appropriations to the Commission

shall be disbursed on vouchers approved—

(A) jointly by the Chairman and the Cochairman; or

(B) by a majority of the members of the personnel and

administration committee established pursuant to section

308.

(b) FOREIGN TRAVEL FOR OFFICIAL PURPOSES.—Foreign travel for

official purposes by members and staff of the Commission may be

authorized by either the Chairman or the Cochairman.

SEC. 308. STAFF OF THE COMMISSION.

(a) PERSONNEL AND ADMINISTRATION COMMITTEE.—The Commission shall have a personnel and administration committee composed of the Chairman, the Cochairman, the senior member of the

Commission from the minority party of the House of Representatives, and the senior member of the Commission from the minority

party of the Senate.

(b) COMMITTEE FUNCTIONS.—All decisions pertaining to the hiring, firing, and fixing of pay of personnel of the Commission shall

be by a majority vote of the personnel and administration committee, except that—

(1) the Chairman shall be entitled to appoint and fix the pay

of the staff director, and the Cochairman shall be entitled to

appoint and fix the pay of the Cochairman’s senior staff member; and

(2) the Chairman and Cochairman shall each have the authority to appoint, with the approval of the personnel and administration committee, at least 4 professional staff members

who shall be responsible to the Chairman or the Cochairman

(as the case may be) who appointed them.

Subject to subsection (d), the personnel and administration committee may appoint and fix the pay of such other personnel as it

considers desirable.

(c) STAFF APPOINTMENTS.—All staff appointments shall be made

without regard to the provisions of title 5, United States Code, governing appointments in the competitive service, and without regard

to the provisions of chapter 51 and subchapter III of chapter 53 of

such title relating to classification and general schedule pay rates.

(d) QUALIFICATIONS OF PROFESSIONAL STAFF.—The personnel and

administration committee shall ensure that the professional staff of

the Commission consists of persons with expertise in areas including human rights, internationally recognized worker rights, interVerDate 11-MAY-2000 07:00 May 24, 2000 Jkt 079008 PO 00000 Frm 00021 Fmt 6659 Sfmt 6602 E:\HR\OC\HR636.XXX pfrm03 PsN: HR636
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national economics, law (including international law), rule of law

and other foreign assistance programming, Chinese politics, economy and culture, and the Chinese language.

(e) COMMISSION EMPLOYEES AS CONGRESSIONAL EMPLOYEES.—

(1) IN GENERAL.—For purposes of pay and other employment

benefits, rights, and privileges, and for all other purposes, any

employee of the Commission shall be considered to be a congressional employee as defined in section 2107 of title 5,

United States Code.

(2) COMPETITIVE STATUS.—For purposes of section 3304(c)(1)

of title 5, United States Code, employees of the Commission

shall be considered as if they are in positions in which they are

paid by the Secretary of the Senate or the Clerk of the House

of Representatives.

SEC. 309. PRINTING AND BINDING COSTS.

For purposes of costs relating to printing and binding, including

the costs of personnel detailed from the Government Printing Office, the Commission shall be deemed to be a committee of the Congress.

TITLE IV—MONITORING AND ENFORCEMENT OF THE PEOPLE’S REPUBLIC

OF CHINA’S WTO COMMITMENTS

Subtitle A—Review of Membership of the

People’s Republic of China in the WTO

SEC. 401. REVIEW WITHIN THE WTO.

It shall be the objective of the United States to obtain as part

of the Protocol of Accession of the People’s Republic of China to the

WTO, an annual review within the WTO of the compliance by the

People’s Republic of China with its terms of accession to the WTO.

Subtitle B—Authorization To Promote

Compliance With Trade Agreements

SEC. 411. FINDINGS.

The Congress finds as follows:

(1) The opening of world markets through the elimination of

tariff and nontariff barriers has contributed to a 56-percent increase in exports of United States goods and services since

1992.

(2) Such export expansion, along with an increase in trade

generally, has helped fuel the longest economic expansion in

United States history.

(3) The United States Government must continue to be vigilant in monitoring and enforcing the compliance by our trading

partners with trade agreements in order for United States

businesses, workers, and farmers to continue to benefit from

the opportunities created by market-opening trade agreements.

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(4) The People’s Republic of China, as part of its accession

to the World Trade Organization, has committed to eliminating

significant trade barriers in the agricultural, services, and

manufacturing sectors that, if realized, would provide considerable opportunities for United States farmers, businesses, and

workers.

(5) For these opportunities to be fully realized, the United

States Government must effectively monitor and enforce its

rights under the agreements on the accession of the People’s

Republic of China to the WTO.

SEC. 412. PURPOSE.

The purpose of this subtitle is to authorize additional resources

for the agencies and departments engaged in monitoring and enforcement of United States trade agreements and trade laws with

respect to the People’s Republic of China.

SEC. 413. AUTHORIZATION OF APPROPRIATIONS.

(a) DEPARTMENT OF COMMERCE.—There is authorized to be appropriated to the Department of Commerce, in addition to amounts

otherwise available for such purposes, such sums as may be necessary for fiscal year 2001, and each fiscal year thereafter, for additional staff for—

(1) monitoring compliance by the People’s Republic of China

with its commitments under the WTO, assisting United States

negotiators with ongoing negotiations in the WTO, and defending United States antidumping and countervailing duty measures with respect to products of the People’s Republic of China;

(2) enforcement of United States trade laws with respect to

products of the People’s Republic of China; and

(3) a Trade Law Technical Assistance Center to assist smalland medium-sized businesses, workers, and unions in evaluating potential remedies available under the trade laws of the

United States with respect to trade involving the People’s Republic of China.

(b) OVERSEAS COMPLIANCE PROGRAM.—

(1) AUTHORIZATION OF APPROPRIATION.—There are authorized to be appropriated to the Department of Commerce and

the Department of State, in addition to amounts otherwise

available, such sums as may be necessary for fiscal year 2001,

and each fiscal year thereafter, to provide staff for monitoring

in the People’s Republic of China that country’s compliance

with its international trade obligations and to support the enforcement of the trade laws of the United States, as part of an

Overseas Compliance Program which monitors abroad compliance with international trade obligations and supports the enforcement of United States trade laws.

(2) REPORTING.—The annual report on compliance by the

People’s Republic of China submitted to the Congress under

section 421 of this Act shall include the findings of the Overseas Compliance Program with respect to the People’s Republic

of China.

(c) USTR.—There are authorized to be appropriated to the Office

of the United States Trade Representative, in addition to amounts

otherwise available for such purposes, such sums as may be necVerDate 11-MAY-2000 07:00 May 24, 2000 Jkt 079008 PO 00000 Frm 00023 Fmt 6659 Sfmt 6602 E:\HR\OC\HR636.XXX pfrm03 PsN: HR636
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essary for fiscal year 2001, and each fiscal year thereafter, for additional staff in—

(1) the Office of the General Counsel, the Monitoring and

Enforcement Unit, and the Office of the Deputy United States

Trade Representative in Geneva, Switzerland, to investigate,

prosecute, and defend cases before the WTO, and to administer

United States trade laws, including title III of the Trade Act

of 1974 (19 U.S.C. 2411, et seq.) and other trade laws relating

to intellectual property, government procurement, and telecommunications, with respect to the People’s Republic of

China;

(2) the Office of Economic Affairs, to analyze the impact on

the economy of the United States, including United States exports, of acts of the Government of the People’s Republic of

China affecting access to markets in the People’s Republic of

China and to support the Office of the General Counsel in presenting cases to the WTO involving the People’s Republic of

China;

(3) the geographic office for the People’s Republic of China;

and

(4) offices relating to the WTO and to different sectors of the

economy, including agriculture, industry, services, and intellectual property rights protection, to monitor and enforce the

trade agreement obligations of the People’s Republic of China

in those sectors.

(d) DEPARTMENT OF AGRICULTURE.—There are authorized to be

appropriated to the Department of Agriculture, in addition to

amounts otherwise available for such purposes, such sums as may

be necessary for fiscal year 2001, and each fiscal year thereafter,

for additional staff to increase legal and technical expertise in

areas covered by trade agreements and United States trade law, including food safety and biotechnology, for purposes of monitoring

compliance by the People’s Republic of China with its trade agreement obligations.

Subtitle C—Report on Compliance by the

People’s Republic of China With WTO

Obligations

SEC. 421. REPORT ON COMPLIANCE.

(a) IN GENERAL.—Not later than 1 year after the entry into force

of the Protocol of Accession of the People’s Republic of China to the

WTO, and annually thereafter, the Trade Representative shall submit a report to Congress on compliance by the People’s Republic of

China with commitments made in connection with its accession to

the World Trade Organization, including both multilateral commitments and any bilateral commitments made to the United States.

(b) PUBLIC PARTICIPATION.—In preparing the report described in

subsection (a), the Trade Representative shall seek public participation by publishing a notice in the Federal Register and holding

a public hearing.

25

TITLE V—TRADE AND RULE OF LAW

ISSUES IN THE PEOPLE’S REPUBLIC

OF CHINA

Subtitle A—Task Force on Prohibition of

Importation of Products of Forced or

Prison Labor From the People’s Republic

of China

SEC. 501. ESTABLISHMENT OF TASK FORCE.

There is hereby established a task force on prohibition of importation of products of forced or prison labor from the People’s Republic of China (hereafter in this subtitle referred to as the ‘‘Task

Force’’).

SEC. 502. FUNCTIONS OF TASK FORCE.

The Task Force shall monitor and promote effective enforcement

of and compliance with section 307 of the Tariff Act of 1930 (19

U.S.C. 1307) by performing the following functions:

(1) Coordinate closely with the United States Customs Service to promote maximum effectiveness in the enforcement by

the Customs Service of section 307 of the Tariff Act of 1930

with respect to the products of the People’s Republic of China.

In order to assure such coordination, the Customs Service shall

keep the Task Force informed, on a regular basis, of the

progress of its investigations of allegations that goods are

being entered into the United States, or that such entry is

being attempted, in violation of the prohibition in section 307

of the Tariff Act of 1930 on entry into the United States of

goods mined, produced, or manufactured wholly or in part in

the People’s Republic of China by convict labor, forced labor, or

indentured labor under penal sanctions. Such investigations

may include visits to foreign sites where goods allegedly are

being mined, produced, or manufactured in a manner that

would lead to prohibition of their importation into the United

States under section 307 of the Tariff Act of 1930.

(2) Make recommendations to the Customs Service on seeking new agreements with the People’s Republic of China to

allow Customs Service officials to visit sites where goods may

be mined, produced, or manufactured by convict labor, forced

labor, or indentured labor under penal sanctions.

(3) Work with the Customs Service to assist the People’s Republic of China and other foreign governments in monitoring

the sale of goods mined, produced, or manufactured by convict

labor, forced labor, or indentured labor under penal sanctions

to ensure that such goods are not exported to the United

States.

(4) Coordinate closely with the Customs Service to promote

maximum effectiveness in the enforcement by the Customs

Service of section 307 of the Tariff Act of 1930 with respect to

the products of the People’s Republic of China. In order to asVerDate 11-MAY-2000 07:00 May 24, 2000 Jkt 079008 PO 00000 Frm 00025 Fmt 6659 Sfmt 6602 E:\HR\OC\HR636.XXX pfrm03 PsN: HR636
26

sure such coordination, the Customs Service shall keep the

Task Force informed, on a regular basis, of the progress of its

monitoring of ports of the United States to ensure that goods

mined, produced, or manufactured wholly or in part in the People’s Republic of China by convict labor, forced labor, or indentured labor under penal sanctions are not imported into the

United States.

(5) Advise the Customs Service in performing such other

functions, consistent with existing authority, to ensure the effective enforcement of section 307 of the Tariff Act of 1930.

(6) Provide to the Customs Service all information obtained

by the departments represented on the Task Force relating to

the use of convict labor, forced labor, or/and indentured labor

under penal sanctions in the mining, production, or manufacture of goods which may be imported into the United States.

SEC. 503. COMPOSITION OF TASK FORCE.

The Secretary of the Treasury, the Secretary of Commerce, the

Secretary of Labor, the Secretary of State, the Commissioner of

Customs, and the heads of other executive branch agencies, as appropriate, acting through their respective designees at or above the

level of Deputy Assistant Secretary, or in the case of the Customs

Service, at or above the level of Assistant Commissioner, shall compose the Task Force. The designee of the Secretary of the Treasury

shall chair the Task Force.

SEC. 504. AUTHORIZATION OF APPROPRIATIONS.

There are authorized to be appropriated for fiscal year 2001, and

each fiscal year thereafter, such sums as may be necessary for the

Task Force to carry out the functions described in section 502.

SEC. 505. REPORTS TO CONGRESS.

(a) FREQUENCY OF REPORTS.—Not later than the date that is one

year after the date of the enactment of this Act, and not later than

the end of each 1-year period thereafter, the Task Force shall submit to the Congress a report on the work of the Task Force during

the preceding 1-year period.

(b) CONTENTS OF REPORTS.—Each report under subsection (a)

shall set forth, at a minimum—

(1) the number of allegations of violations of section 307 of

the Tariff Act of 1930 with respect to products of the People’s

Republic of China that were investigated during the preceding

1-year period;

(2) the number of actual violations of section 307 of the Tariff Act of 1930 with respect to the products of the People’s Republic of China that were discovered during the preceding 1-

year period;

(3) in the case of each attempted entry of products of the

People’s Republic of China in violation of such section 307 discovered during the preceding 1-year period—

(A) the identity of the exporter of the goods;

(B) the identity of the person or persons who attempted

to sell the goods for export; and

(C) the identity of all parties involved in transshipment

of the goods; and

27

(4) such other information as the Task Force considers useful

in monitoring and enforcing compliance with section 307 of the

Tariff Act of 1930.

Subtitle B—Assistance To Develop

Commercial and Labor Rule of Law

SEC. 511. ESTABLISHMENT OF TECHNICAL ASSISTANCE AND RULE OF

LAW PROGRAMS.

(a) COMMERCE RULE OF LAW PROGRAM.—The Secretary of Commerce, in consultation with the Secretary of State, is authorized to

establish a program to conduct rule of law training and technical

assistance related to commercial activities in the People’s Republic

of China.

(b) LABOR RULE OF LAW PROGRAM.—

(1) IN GENERAL.—The Secretary of Labor, in consultation

with the Secretary of State, is authorized to establish a program to conduct rule of law training and technical assistance

related to the protection of internationally recognized worker

rights in the People’s Republic of China.

(2) USE OF AMOUNTS.—In carrying out paragraph (1), the

Secretary of Labor shall focus on activities including, but not

limited to—

(A) developing, laws, regulations, and other measures to

implement internationally recognized worker rights;

(B) establishing national mechanisms for the enforcement of national labor laws and regulations;

(C) training government officials concerned with implementation and enforcement of national labor laws and regulations; and

(D) developing an educational infrastructure to educate

workers about their legal rights and protections under national labor laws and regulations.

(3) LIMITATION.—The Secretary of Labor may not provide assistance under the program established under this subsection

to the All-China Federation of Trade Unions.

(c) LEGAL SYSTEM AND CIVIL SOCIETY RULE OF LAW PROGRAM.—

The Secretary of State is authorized to establish a program to conduct rule of law training and technical assistance related to development of the legal system and civil society generally in the People’s Republic of China.

(d) CONDUCT OF PROGRAMS.—The programs authorized by this

section may be used to conduct activities such as seminars and

workshops, drafting of commercial and labor codes, legal training,

publications, financing the operating costs for nongovernmental organizations working in this area, and funding the travel of individuals to the United States and to the People’s Republic of China to

provide and receive training.

SEC. 512. ADMINISTRATIVE AUTHORITIES.

In carrying out the programs authorized by section 511, the Secretary of Commerce and the Secretary of Labor (in consultation

with the Secretary of State) may utilize any of the authorities conVerDate 11-MAY-2000 07:00 May 24, 2000 Jkt 079008 PO 00000 Frm 00027 Fmt 6659 Sfmt 6602 E:\HR\OC\HR636.XXX pfrm03 PsN: HR636
28

tained in the Foreign Assistance Act of 1961 and the Foreign Service Act of 1980.

SEC. 513. PROHIBITION RELATING TO HUMAN RIGHTS ABUSES.

Amounts made available to carry out this subtitle may not be

provided to a component of a ministry or other administrative unit

of the national, provincial, or other local governments of the People’s Republic of China, to a nongovernmental organization, or to

an official of such governments or organizations, if the President

has credible evidence that such component, administrative unit, organization or official has been materially responsible for the commission of human rights violations.

SEC. 514. AUTHORIZATION OF APPROPRIATIONS.

(a) COMMERCIAL LAW PROGRAM.—There are authorized to be appropriated to the Secretary of Commerce to carry out the program

described in section 511(a) such sums as may be necessary for fiscal year 2001, and each fiscal year thereafter.

(b) LABOR LAW PROGRAM.—There are authorized to be appropriated to the Secretary of Labor to carry out the program described in section 511(b) such sums as may be necessary for fiscal

year 2001, and each fiscal year thereafter.

(c) LEGAL SYSTEM AND CIVIL SOCIETY RULE OF LAW PROGRAM.—

There are authorized to be appropriated to the Secretary of State

to carry out the program described in section 511(c) such sums as

may be necessary for fiscal year 2001, and each fiscal year thereafter.

(d) CONSTRUCTION WITH OTHER LAWS.—Except as provided in

this division, funds may be made available to carry out the purposes of this subtitle notwithstanding any other provision of law.

TITLE VI—ACCESSION OF TAIWAN TO

THE WTO

SEC. 601. ACCESSION OF TAIWAN TO THE WTO.

It is the sense of Congress that—

(1) immediately upon approval by the General Council of the

WTO of the terms and conditions of the accession of the People’s Republic of China to the WTO, the United States representative to the WTO should request that the General Council of the WTO consider Taiwan’s accession to the WTO as the

next order of business of the Council during the same session;

and

(2) the United States should be prepared to aggressively

counter any effort by any WTO member, upon the approval of

the General Council of the WTO of the terms and conditions

of the accession of the People’s Republic of China to the WTO,

to block the accession of Taiwan to the WTO.

29

TITLE VII—RELATED ISSUES

SEC. 701. AUTHORIZATIONS OF APPROPRIATIONS FOR BROADCASTING CAPITAL IMPROVEMENTS AND INTERNATIONAL

BROADCASTING OPERATIONS.

(a) BROADCASTING CAPITAL IMPROVEMENTS.—In addition to such

sums as may otherwise be authorized to be appropriated, there are

authorized to be appropriated for ‘‘Department of State and Related

Agency, Related Agency, Broadcasting Board of Governors, Broadcasting Capital Improvements’’ $65,000,000 for the fiscal year 2001.

(b) INTERNATIONAL BROADCASTING OPERATIONS.—

(1) AUTHORIZATION OF APPROPRIATIONS.—In addition to such

sums as are otherwise authorized to be appropriated, there are

authorized to be appropriated $34,000,000 for each of the fiscal

years 2001 and 2002 for ‘‘Department of State and Related

Agency, Related Agency, Broadcasting Board of Governors,

International Broadcasting Operations’’ for the purposes under

paragraph (2).

(2) USES OF FUNDS.—In addition to other authorized purposes, funds appropriated pursuant to paragraph (1) shall be

used for the following:

(A) To increase personnel for the program development

office to enhance marketing programming in the People’s

Republic of China and neighboring countries.

(B) To enable Radio Free Asia’s expansion of news research, production, call-in show capability, and web site/

Internet enhancement for the People’s Republic of China

and neighboring countries.

(C) VOA enhancements, including the opening of new

news bureaus in Taipei and Shanghai, enhancement of TV

Mandarin, and an increase of stringer presence abroad.

Amend the title so as to read: ‘‘A bill to authorize extension of

nondiscriminatory treatment (normal trade relations treatment) to

the People’s Republic of China, and to establish a framework for relations between the United States and the People’s Republic of

China.’’.

Æ