I

103D CONGRESS

2D SESSION H. R. 4586

To renew and improve the operation of title V of the Trade Act of 1974

(relating to the Generalized System of Preferences).

IN THE HOUSE OF REPRESENTATIVES

JUNE 16, 1994

Mr. BROWN of California (for himself and Mr. LAFALCE) introduced the

following bill; which was referred to the Committee on Ways and Means

A BILL

To renew and improve the operation of title V of the Trade

Act of 1974 (relating to the Generalized System of Preferences).

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

3 SECTION 1. SHORT TITLE.

4 This Act may be cited as the ‘‘GSP Renewal and Re5 form Act of 1994’’.

6 SEC. 2. AUTHORITY TO EXTEND PREFERENCES.

7 Section 501 of the Trade Act of 1974 (19 U.S.C.

8 2461) is amended—

9 (1) by striking out the matter preceding para10 graph (1) and inserting the following:
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1 ‘‘The United States Trade Representative may pro2 vide duty-free treatment for any eligible article from any

3 beneficiary developing country in accordance with the pro4 visions of this title. In designating any such articles, the

5 Trade Representative shall have due regard for—’’;

6 (2) by amending paragraph (1)—

7 (A) by inserting ‘‘sustainable’’ before ‘‘eco8 nomic development’’, and

9 (B) by adding ‘‘and improvement of living

10 standards of their peoples’’ before the period;

11 and

12 (3) by inserting ‘‘, including United States

13 workers,’’ after ‘‘United States producers’’ in para14 graph (3).

15 SEC. 3. BENEFICIARY DEVELOPING COUNTRIES.

16 Section 502 of the Trade Act of 1974 (19 U.S.C.

17 2462) is amended as follows:

18 (1) Subsection (a) is amended to read as fol19 lows:

20 ‘‘(a) DESIGNATION BY PRESIDENT.—The President

21 may only issue an Executive order or Presidential procla22 mation designating a country as a beneficiary developing

23 country for purposes of this title after the Trade Rep24 resentative has certified to the President in writing that

25 such country meets all of the requirements for beneficiary
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1 developing country status provided for in subsections (b)

2 and (c). Before the President designates any country as

3 a beneficiary developing country for purposes of this title,

4 the President shall—

5 ‘‘(1) notify the Congress of the intention to

6 make such a designation; and

7 ‘‘(2) submit to the Congress a copy of the cer8 tification of the Trade Representative.’’.

9 (2) Subsection (b) is amended—

10 (A) by inserting after ‘‘(b)’’ the following

11 ‘‘COUNTRIES INELIGIBLE FOR DESIGNA12 TION.—’’;

13 (B) by striking out ‘‘Union of Soviet So14 cialist Republics’’ and inserting ‘‘Common15 wealth of Independent States member states’’;

16 (C) by inserting ‘‘, in violation of inter17 national law,’’ after ‘‘has’’ in each of subpara18 graphs (A), (B), and (C) of paragraph (4);

19 (D) by striking out ‘‘and’’ at the end of

20 paragraph (6);

21 (E) by striking out paragraph (7) and in22 serting the following:

23 ‘‘(7) during any period in which a free trade

24 area agreement is in force between such country and

25 the United States; except that this paragraph shall
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1 not apply until the 2nd anniversary of the date of

2 the enactment of this paragraph in the case of any

3 country with respect to which there is in force, on

4 such date of enactment, a free trade area agreement

5 between it and the United States;

6 ‘‘(8) if such country fails to comply with inter7 nationally recognized worker rights; and

8 ‘‘(9) if such country has not adopted laws to

9 promote internationally recognized environmental

10 standards in that country or has adopted such laws

11 but is not enforcing them.’’; and

12 (F) by inserting before the period at the

13 end of the last sentence of each subsection the

14 following: ‘‘; except that such designation shall

15 not prevent any country’s removal from eligi16 bility under section 504 at any time after 1

17 year after the date of the President’s designa18 tion of the country as a beneficiary developing

19 country.

20 (3) Subsection (c) is amended—

21 (A) by inserting ‘‘FACTORS REQUIRED FOR

22 DESIGNATION AS A BENEFICIARY DEVELOPING

23 COUNTRY.—’’ after ‘‘(c)’’; and

24 (B) by amending paragraph (7) and add25 ing paragraph (8) to read as follows:
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1 ‘‘(7) whether or not such country is in compli2 ance with internationally recognized worker rights;

3 and

4 ‘‘(8) whether or not the country has adopted

5 and is enforcing laws to promote internationally rec6 ognized environmental standards in that country.’’.

7 (4) Subsections (d) and (e) are repealed.

8 (5) The following new subsection is added after

9 subsection (c):

10 ‘‘(d) DEFINITIONS.—For purposes of this title:

11 ‘‘(1) The term ‘Trade Representative’ means

12 the United States Trade Representative.

13 ‘‘(2) The term ‘country’ means any foreign

14 country, any overseas dependent territory or posses15 sion of a foreign country, or the Trust Territory of

16 the Pacific Islands, and includes any designated ex17 port processing zone or any other subdivision within

18 that country. In the case of an association of coun19 tries which is a free trade area or customs union, or

20 which is contributing to comprehensive regional eco21 nomic integration among its members through ap22 propriate means, including, but not limited to, the

23 reduction of duties, the President may by Executive

24 order or Presidential proclamation provide that all

25 members of such association other than members
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1 which are barred from designation under subsection

2 (b) shall be treated as 1 country for purposes of this

3 title.

4 ‘‘(3) The term ‘beneficiary developing country’

5 means any country with respect to which there is in

6 effect an Executive order or Presidential proclama7 tion by the President of the United States designat8 ing country as a beneficiary developing country for

9 purposes of this title.

10 ‘‘(4) The term ‘internationally recognized work11 er rights’ includes—

12 ‘‘(A) the right of association;

13 ‘‘(B) the right to organize and bargain col14 lectively;

15 ‘‘(C) a prohibition on the use of any form

16 of forced or compulsory labor;

17 ‘‘(D) a prohibition on discrimination based

18 on race, sex, or religion in hiring, compensation,

19 promotion or any other term or condition of

20 employment;

21 ‘‘(E) provision for occupational safety and

22 health for all workers; and

23 ‘‘(F) acceptable minimum standards with

24 respect to wages, hours of work, and the age at

25 which children may be employed.
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1 In determining whether a country has complied with

2 internationally recognized worker rights, the Trade

3 Representative shall—

4 ‘‘(i) require a country to comply with each

5 of the factors listed in subparagraphs (A)

6 through (F) and shall also apply recognized

7 international standards, including provisions

8 applicable to workers in international human

9 rights instruments and International Labor Or10 ganization Conventions;

11 ‘‘(ii) take into account the laws and regula12 tions of a country, as well as the implementa13 tion and enforcement of those laws and regula14 tions, in determining whether each of the fac15 tors has been complied with; and

16 ‘‘(iii) take into account the findings of

17 human rights commissions and courts, the an18 nual Human Rights Report of the Department

19 of State, reports of nongovernmental organiza20 tions, the application of worker rights provi21 sions of other United States laws, worker rights

22 provisions in voluntary codes of conduct or

23 other agreements affecting workers, employers

24 and governments, worker rights provisions in

25 collective bargaining agreements between
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1 transnational employers and groups of workers,

2 and the opinions of scholars in the fields of

3 labor law, comparative labor law, and inter4 national labor law and human rights law.

5 With respect to the factor set forth in subparagraph

6 (F), once a country has established acceptable mini7 mum standards, which may take into account the

8 country’s level of economic development, the country

9 must continue to make progress and improve the

10 minimums, commensurate, with its economic devel11 opment. With respect to all of the other factors, the

12 country must be in complete compliance with inter13 national standards, regardless of its level of eco14 nomic development.

15 ‘‘(5) The term ‘interested persons’ includes, but

16 is not limited to, domestic firms and workers, rep17 resentatives of workers, both domestic and foreign,

18 representatives of consumer interests, and represent19 atives of any group that has an interest in promot20 ing respect for internationally recognized worker

21 rights, or internationally recognized environmental

22 standards without regard to any showing of an eco23 nomic or other injury.’’.

24 ‘‘(6) The term ‘internationally recognized envi25 ronmental standards’ includes—
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1 ‘‘(A) mitigation of global climate change;

2 ‘‘(B) reduction in the consumption and

3 production of ozone-depleting substances;

4 ‘‘(C) reduction in ship pollution of the

5 oceans from such source as oil, noxious bulk liq6 uids, hazardous freight, sewage, and garbage;

7 ‘‘(D) ban on international ocean dumping

8 of high-level radioactive waste, chemical warfare

9 agents, and hazardous substances;

10 ‘‘(E) government control of the

11 transboundary movement of hazardous waste

12 materials and their disposal for the purpose of

13 reducing global pollution on account of such

14 materials;

15 ‘‘(F) preservation of endangered species;

16 ‘‘(G) conservation of biological diversity;

17 ‘‘(H) promotion of biodiversity; and

18 ‘‘(I) preparation of oil-spill contingency

19 plans.’’.

20 SEC. 4. ELIGIBLE ARTICLES.

21 Section 503 of the Trade Act of 1974 (19 U.S.C.

22 2163) is amended as follows:

23 (1) Subsection (a) is amended—
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1 (A) by inserting ‘‘LISTS OF ARTICLES TO

2 BE CONSIDERED FOR DESIGNATION.—’’ after

3 ‘‘(a)’’,

4 (B) by striking out ‘‘President’’ each place

5 it appears and inserting ‘‘Trade Representa6 tive’’,

7 (C) by striking out ‘‘he’’ and inserting

8 ‘‘the Trade Representative’’, and

9 (D) by striking out ‘‘Executive order or

10 Presidential proclamation’’ and inserting ‘‘pub11 lishing a list of such articles in the Federal

12 Register’’.

13 (2) Subsection (b) is amended—

14 (A) by inserting ‘‘DUTY FREE TREAT15 MENT FOR ELIGIBLE ARTICLES.—’’ after

16 ‘‘(b)’’, and

17 (B) by striking out ‘‘Secretary of the

18 Treasury, after consultation with the United

19 States Trade Representative,’’ and inserting

20 ‘‘Trade Representative’’.

21 (3) Subsection (c) is amended—

22 (A) by inserting ‘‘ARTICLES NOT ELIGI23 BLE FOR DESIGNATION AS ELIGIBLE ARTI24 CLES.—’’ after ‘‘(c)’’, and
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1 (B) by adding at the end the following new

2 paragraph:

3 ‘‘(3) No article shall be an eligible article for purposes

4 of this title from any country where such article has been

5 made under conditions that violate internationally recog6 nized worker rights.’’.

7 SEC. 5. LIMITATIONS ON PREFERENTIAL TREATMENT.

8 Section 504 of the Trade Act of 1974 (19 U.S.C.

9 2164) is amended as follows:

10 (1) Subsections (a) and (b) are amended to

11 read as follows:

12 ‘‘(a) WITHDRAWAL, SUSPENSION, OR LIMITATION OF

13 DUTY-FREE TREATMENT OF ELIGIBLE ARTICLES.—The

14 Trade Representative may withdraw, suspend, or limit the

15 application of the duty-free treatment accorded under sec16 tion 501 with respect to any article generally or with re17 spect to exports of any article from a particular country

18 or countries; except that no rate of duty may be estab19 lished in respect of any article pursuant to this section

20 other than the rate which would apply but for this title.

21 In taking any action under this subsection, the Trade Rep22 resentative shall consider the factors set forth in sections

23 501, 502(c), and 503, and must withdraw or suspend

24 duty-free treatment for any article that no longer meets

25 the requirements of section 503(b) and (c).
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1 ‘‘(b) WITHDRAWAL OR SUSPENSION OF DESIGNA2 TION AS BENEFICIARY DEVELOPING COUNTRY.—The des3 ignation of a country as a beneficiary developing country

4 under this title shall be withdrawn or suspended if, after

5 any investigation initiated under subsection (c), a decision

6 is issued that the country is no longer in complete compli7 ance with the prerequisites contained in section 502(b) for

8 designation as a beneficiary developing country. Such

9 country shall cease to be a beneficiary developing country

10 on the day on which the Trade Representative issues the

11 decision under subsection (c). The Trade Representative

12 shall promptly publish the text of any such decision in the

13 Federal Register and shall submit a copy of the decision

14 to the Congress. Within 30 days after the date of publica15 tion of the decision under the preceding sentence, the

16 President shall issue an Executive order or Presidential

17 proclamation revoking the designation of such country

18 under section 502.’’.

19 (2) Subsections (c), (d), (e), and (f) are redesig20 nated as subsections (d), (e), (f), and (g), respec21 tively.

22 (3) The following new subsection is added after

23 subsection (b):

24 ‘‘(c) PETITIONS; INVESTIGATIONS; JUDICIAL RE25 VIEW.—
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1 ‘‘(1) PETITIONS.—

2 ‘‘(A) Any interested person may at any

3 time file a petition with the Trade Representa4 tive requesting that action be taken under sub5 section (a) or (b) and setting forth the allega6 tions in support of the request. Petitions alleg7 ing the failure to comply with internationally

8 recognized worker rights may seek—

9 ‘‘(i) the removal of articles from the

10 list of eligible articles with respect to one

11 or more countries or industry or industries

12 within a country or countries under sub13 section (a);

14 ‘‘(ii) the withdrawal of the designation

15 as a beneficiary developing country of one

16 or more countries under subsection (b); or

17 ‘‘(iii) action under both clauses (i)

18 and (ii).

19 ‘‘(B) The Trade Representative shall re20 view the allegations in any petition filed under

21 subsection (a) and, not later than 45 days after

22 the date on which the Trade Representative re23 ceives the petition, shall initiate an investigation

24 unless the petition is dismissed under para25 graph (C).
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1 ‘‘(C) The Trade Representative may deter2 mine not to initiate an investigation with re3 spect to a petition only upon issuing a finding

4 that the petition is frivolous. This finding shall

5 be made without regard to whether similar alle6 gations were made in a previously reviewed pe7 tition and shall focus exclusively on whether the

8 facts alleged in a petition, if true, would fail to

9 establish a prima facie case for noncompliance

10 with this Act. Only if the facts alleged in a peti11 tion, if true, fail to make out a prima facie

12 case, or if a petition contains only conclusory

13 allegations with no allegation of supporting

14 facts, shall a petition be dismissed as frivolous.

15 If the Trade Representative does find a petition

16 to be frivolous, the Trade Representative shall

17 issue a written decision indicating the specific

18 reasons therefor and shall publish notice of the

19 determination, together with a summary of such

20 reasons, in the Federal Register. A copy of the

21 decision shall be sent to the petitioner and shall

22 be made available for public review.

23 ‘‘(D) The Trade Representative may con24 stitute one or more special committees to review

25 petitions under investigation and make written
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1 recommendations with respect to each petition.

2 The written recommendations shall be available

3 to the public. The members of the special com4 mittees may be drawn from other agencies with5 in the executive branch, and each member shall

6 have the necessary expertise relevant to the is7 sues raised in any petitions to be considered.

8 The Trade Representative, any Deputy Trade

9 Representative, or other designee of the Trade

10 Representative shall be the chair of any special

11 committee constituted under this section. Any

12 special committee that reviews a petition con13 taining allegations of worker rights violations

14 shall include at least one member designated by

15 the Deputy Undersecretary for International

16 Labor Affairs of the Department of Labor, and

17 at least one member designated by the Assist18 ant Secretary of State for Human Rights.

19 ‘‘(E)(i) The investigation of a petition con20 ducted under this subsection shall commence

21 with the Trade Representative publishing a

22 summary of the petition in the Federal Reg23 ister, along with a request for any person to

24 submit information relevant to the petition. Fol25 lowing publication, the Trade Representative
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1 shall conduct an independent investigation and

2 gather information from all available sources.

3 As part of the review process, the Trade Rep4 resentative shall, as soon as practicable, and in

5 no event later than 90 days following the filing

6 of the petition, provide opportunity for the pres7 entation of information concerning the issues,

8 including a public hearing if requested in the

9 petition.

10 ‘‘(ii) With respect to any petition alleging

11 a violation of internationally recognized worker

12 rights, the Trade Representative shall consult

13 with the Secretary of Labor as to whether such

14 violations have occurred or are occurring. The

15 Secretary of Labor shall provide the Trade Rep16 resentative with a written recommendation re17 garding the disposition of the allegations that

18 shall be entered in the record of the investiga19 tion. The Trade Representative, or any member

20 of any special committee constituted under sub21 paragraph (D), may also seek advice from ex22 perts in the field of human rights and worker

23 rights. The advice may be in writing or taken

24 as oral testimony at a public hearing and shall

25 be entered in the record of the investigation.
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1 ‘‘(F) After completion of the investigation,

2 and in no event later than 270 days following

3 the date the petition was filed, the Trade Rep4 resentative shall issue a decision whether to

5 grant the relief requested in the petition. The

6 decision must be in writing and clearly ref7 erence the issues presented, the factual findings

8 regarding the allegations, and the standard ap9 plied in determining whether the facts as found

10 required action under subsection (a) or (b). A

11 copy of the decision shall be provided to the pe12 titioner, any other party that submitted infor13 mation relevant to the petition and be made

14 available for public review. A summary of the

15 decision shall be published in the Federal Reg16 ister.

17 ‘‘(2) INITIATION OF INVESTIGATION BY MEANS

18 OTHER THAN PETITION.—If the Trade Representa19 tive determines that an investigation should be initi20 ated with respect to any matter in order to deter21 mine whether the matter requires action under sub22 section (a) or (b), the Trade Representative shall

23 publish such determination in the Federal Register

24 and shall initiate such investigation using the proce25 dures of paragraphs (1) (E) and (F).
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1 ‘‘(3) PROMULGATION OF REGULATIONS.—The

2 Trade Representative shall promulgate regulations

3 to implement this subsection. The regulations may

4 include procedures for the creation of special com5 mittees under paragraph (1)(D); coordinating inves6 tigations with other agencies; consolidating multiple

7 petitions concerning the same article, country, or in8 dustry; and holding hearings on similar petitions at

9 the same time in order to efficiently gather informa10 tion. Until such regulations are promulgated, any

11 current regulations in 15 CFR part 2007 that are

12 not inconsistent with any provision of this title may

13 be utilized.

14 ‘‘(4) JUDICIAL REVIEW OF DETERMINATIONS.—

15 ‘‘(A) Except as provided in subparagraph

16 (B), any final decision dismissing or denying a

17 petition requesting action under subsection (a)

18 may be appealed by the petitioner to the United

19 States Court of Appeals for the Federal Circuit

20 for review. The decision shall be reviewed as a

21 final agency action.

22 ‘‘(B) Any final decision dismissing or deny23 ing a petition requesting action under sub24 section (b) may be appealed by the petitioner to

25 the United States Court of Appeals for the Dis-
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1 trict of Columbia Circuit for review. The deci2 sion shall be reviewed as a final agency action

3 Notwithstanding any provision of section 1581

4 of title 28, United States Code, the denial or

5 dismissal of a combined petition filed under

6 subsection (c)(1)(A)(iii) may be appealed in its

7 entirety under this paragraph.’’.

8 (4) Subsection (d) (as redesignated by para9 graph (2)) is amended—

10 (A) by striking out ‘‘(d)(1)’’ and all that

11 follows thereafter in paragraphs (1) and (2)

12 and inserting the following:

13 ‘‘(d) COMPETITIVE NEED LIMITATIONS.—(1) Subject

14 to paragraphs (2) through (7) and subsection (e), when15 ever the President determines that—

16 ‘‘(A) any beneficiary developing country—

17 ‘‘(i) has a per capita gross national prod18 uct of not less than $475 and not more than

19 $1,750, and

20 ‘‘(ii) has exported (directly or indirectly) to

21 the United States—

22 ‘‘(I) during a calendar year a quantity

23 of an eligible article having an appraised

24 value in excess of the applicable competi25 tive need limit amount, or
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1 ‘‘(II) a quantity of any eligible article

2 equal to or exceeding 50 percent of the ap3 praised value of the total imports of such

4 article into the United States during any

5 calendar year; or

6 ‘‘(B) any beneficiary developing country—

7 ‘‘(i) has a per capita gross national prod8 uct of not less than $1,750 and not more than

9 $3,000, and

10 ‘‘(ii) has exported (directly or indirectly) to

11 the United States—

12 ‘‘(I) during a calendar year a quantity

13 of an eligible article having an appraised

14 value in excess of the applicable competi15 tive need limit amount, or

16 ‘‘(II) a quantity of any eligible article

17 equal to or exceeding 25 percent of the ap18 praised value of the total imports of such

19 article into the United States during any

20 calendar year;

21 then, not later than July 1 of the next calendar year, such

22 country shall not be treated as a beneficiary developing

23 country with respect to such article.

24 ‘‘(2)(A) For purposes of paragraph (1), the term

25 ‘competitive need limit amount’ means—
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1 ‘‘(i) for calendar year 1993—

2 ‘‘(I) for a beneficiary developing country

3 referred to in paragraph (1)(A), $75,000,000,

4 and

5 ‘‘(II) for a beneficiary developing country

6 referred to in paragraph (1)(B), $35,000,000;

7 ‘‘(ii) for paragraph (1)(A) for each calendar

8 year after 1993, the competitive need limit amount

9 is the competitive need limit amount under such

10 paragraph for the preceding calendar year (herein11 after referred to as the ‘base year’) adjusted—

12 ‘‘(I) upwards by $10,000,000 for each .25

13 percent by which the United States unemploy14 ment rate (as determined by the Secretary of

15 Labor) for the base year was lower than the

16 United States unemployment rate for the year

17 preceding the base year; or

18 ‘‘(II) downwards by $10,000,000 for each

19 .25 percent by which the United States unem20 ployment rate for the base year was higher than

21 the United States unemployment rate for the

22 year preceding the base year; and

23 ‘‘(iii) for paragraph (1)(B) for each calendar

24 year after 1993, clause (ii) applies but with
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1 ‘$5,000,000’ substituted for ‘$10,000,000’ each

2 place it appears.

3 ‘‘(B)(i) Not later than January 4, 1994, and periodi4 cally thereafter, the President shall conduct a general re5 view of eligible articles based on the considerations de6 scribed in section 501 or 502(c).

7 ‘‘(ii) If, after any review under clause (i), the Presi8 dent determines that this clause should apply because a

9 beneficiary developing country has demonstrated for any

10 calendar year a sufficient degree of competitiveness (rel11 ative to other beneficiary developing countries) with re12 spect to any eligible article, then paragraph (1)(B) (with13 out regard to clause (i)) shall be applied to such country

14 with respect to such article and in computing the competi15 tive need limit amount under subparagraph (A)(iii) for

16 purposes of such application such calendar year shall be

17 treated as being the base year and the competitive need

18 limit for that base year is $25,000,000.’’;

19 (B) by striking out ‘‘President’’ each place

20 it appears and inserting ‘‘Trade Representa21 tive’’;

22 (C) by amending paragraph (3)(B)—

23 (i) by striking out ‘‘and’’ at the end of

24 clause (i),
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1 (ii) by striking out the period at the

2 end of clause (ii) and inserting ‘‘, and’’,

3 and

4 (iii) by adding after clause (ii) the fol5 lowing:

6 ‘‘(iii) the extent to which such country is

7 in compliance with internationally recognized

8 worker rights.’’;

9 (D) by amending paragraph (3)(D)—

10 (i) by striking out ‘‘30 percent’’ in

11 clause (i) and inserting ‘‘10 percent’’,

12 (ii) by striking out clause (ii),

13 (iii) by redesignating clause (iii) as

14 clause (ii) and by striking out ‘‘clauses (i)

15 and (ii)’’ in such redesignated clause and

16 inserting ‘‘clause (i)’’;

17 (E) by amending paragraph (4)—

18 (i) by striking out ‘‘and’’ at the end of

19 subparagraph (B),

20 (ii) by striking out the period at the

21 end of subparagraph (C) and inserting ‘‘,

22 and’’, and

23 (iii) by adding after subparagraph (C)

24 the following:
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1 ‘‘(D) such country consistently and fully com2 plies with internationally recognized worker rights.’’;

3 and

4 (F) by striking out ‘‘1985’’ in paragraph

5 (6)(B) and inserting ‘‘1993’’.

6 (5) Subsection (e) (as redesignated by para7 graph (2)) is amended—

8 (A) inserting ‘‘INAPPLICABILITY OF LIMI9 TATIONS IF COMPETITIVE ARTICLES NOT PRO10 DUCED IN THE U.S.—’’ after ‘‘(e)’’; and

11 (B) by striking out ‘‘President’’ and insert12 ing ‘‘Trade Representative’’.

13 (6) Subsection (f) (as redesignated by para14 graph (2)) is amended by inserting ‘‘EXCEPTION

15 REGARDING COFFEE IMPORTS INTO PUERTO

16 RICO.—’’.

17 SEC. 6. TERMINATION OF DUTY-FREE TREATMENT AND RE18 PORTS.

19 Section 505 of the Trade Act of 1974 (19 U.S.C.

20 2165) is amended to read as follows:

21 ‘‘SEC. 505. TERMINATION OF DUTY-FREE TREATMENT AND

22 REPORTS.

23 ‘‘(a) TERMINATION.—No duty-free treatment pro24 vided under this title shall remain in effect after July 4,

25 2003.
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1 ‘‘(b) GENERAL REPORT.—On or before January 4,

2 1994, and on or before January 4, 1999, the Trade Rep3 resentative shall submit to the Congress a full and com4 plete report regarding the operation of this title, including,

5 but not limited to, a report on the application of sections

6 501 and 502(c), and the actions that have been taken dur7 ing the period covered by the report to withdraw, to sus8 pend, or to limit the application of duty-free treatment

9 with respect to any country that was investigated under

10 section 504 to determine whether it was in compliance

11 with the provisions of section 502(b).

12 ‘‘(c) WORKER RIGHTS REPORTS.—At the time of the

13 submission of the annual report filed pursuant to section

14 505 of the Trade Act of 1974, the Secretary of Labor in

15 consultation with the Secretary of State shall submit a re16 port to the Congress on the status of internationally recog17 nized worker rights within each beneficiary developing

18 country. The report shall specifically reference the 6 fac19 tors required to be met for compliance with internationally

20 recognized worker rights in section 502(e)(4) and shall

21 conclude with respect to each factor whether the country

22 is in compliance. In any case in which the report concludes

23 that any country is not in complete compliance with inter24 nationally recognized worker rights, the Trade Represent25 ative shall initiate an investigation under section 504.’’.
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1 SEC. 7. SPECIAL REPORTS.

2 On or before January 4, 1994, the United States

3 Trade Representative, the Secretary of Commerce, the

4 Secretary of Labor, and the Comptroller General of the

5 United States shall submit to the Congress a joint report

6 that—

7 (1) analyzes the feasibility of developing and

8 implementing a method of tracking the company

9 source of all imports to the United States of eligible

10 articles under title V of the Trade Act of 1974;

11 (2) contains recommendations for coordinating

12 the enforcement of all laws that contain a require13 ment for compliance with internationally recognized

14 worker rights and for amending any existing law to

15 achieve better the effective enforcement of inter16 nationally recognized worker rights; and

17 (3) sets forth in detail—

18 (A) all past actions that have been taken

19 to implement section 506 of the Trade Act of

20 1974 (relating to agricultural exports from ben21 eficiary developing countries), and

22 (B) a plan for the implementation of such

23 section in the future.

24 SEC. 8. TRAINING ON INTERNATIONAL LABOR STANDARDS.

25 (a) LABOR REPORTING OFFICERS.—Any person serv26 ing as the Labor Reporting Officer, or who is responsible
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1 for reporting on the status of worker rights, for any

2 United States Embassy shall be required to complete a

3 training course in international labor standards.

4 (b) SPECIAL COMMITTEE MEMBERS.—Any person

5 who sits on any special committee created by the Trade

6 Representative under section 504(c)(1)(D) of title V of the

7 Trade Act of 1974 that considers any petition containing

8 allegations of failure to comply with internationally recog9 nized worker rights shall be required to complete the train10 ing course referred to in subsection (c).

11 (c) TRAINING COURSE.—The training course re12 quired to be taken under subsections (a) and (b) shall be

13 conducted by the Department of Labor and the Depart14 ment of State in a manner to be determined jointly by

15 the Secretary of each such Department.

16 SEC. 9. USTR BUREAU OF TRADE-RELATED STANDARDS.

17 Section 141 of the Trade Act of 1974 (19 U.S.C.

18 2171) is amended as follows:

19 (1) Subsection (b)(2) is amended by striking

20 out ‘‘three Deputy United States Trade Representa21 tives’’ and inserting ‘‘four United States Deputy

22 Trade Representatives’’.

23 (2) Subsections (e), (f), and (g) are redesig24 nated as subsections (f), (g), and (h), respectively.
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1 (3) The following new subsection is inserted

2 after subsection (d):

3 ‘‘(e) There is established within the Office a Bureau

4 of Trade-Related Standards which shall be headed by a

5 Deputy United States Trade Representative. The func6 tions of the Bureau are to devise and coordinate United

7 States trade and investment policies that will result in

8 greater international respect for, compliance with, and im9 provement of the labor, environmental, agricultural,

10 consumer, safety, and health standards of the trading

11 nations.’’.

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