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103D CONGRESS

1ST SESSION H. R. 1369

To reduce the duty on imported minivans if such minivans are administratively reclassified at a higher rate of duty and domestic automakers

increase prices on domestic minivans at a rate greater than the rate

of inflation.

IN THE HOUSE OF REPRESENTATIVES

MARCH 16, 1993

Mr. SCHUMER introduced the following bill; which was referred to the

Committee on Ways and Means

A BILL

To reduce the duty on imported minivans if such minivans

are administratively reclassified at a higher rate of duty

and domestic automakers increase prices on domestic

minivans at a rate greater than the rate of inflation.

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 ‘‘Minivan Tariff

5 Consumer Protection Act of 1993’’.

6 SEC. 2. CONGRESSIONAL FINDINGS.

7 The Congress makes the following findings:
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1 (1) It would inflict a significant financial bur2 den on United States consumers if United States

3 automakers take advantage of an increase in the

4 rate of duty on imported minivans to increase prices

5 on domestic minivans.

6 (2) If the rate of duty on imported minivans is

7 increased as the result of an administrative reclassi8 fication of minivans and United States automakers

9 increase prices on domestic minivans at a rate great10 er than the rate of inflation, the reclassified rate of

11 duty should be rescinded in order to protect United

12 States consumers.

13 SEC. 3. TARIFF REDUCTION IN RESPONSE TO DOMESTIC

14 MINIVAN PRICE INCREASE.

15 (a) IN GENERAL.—If—

16 (1) a reclassified rate of duty on minivans is in

17 effect; and

18 (2) the United States Trade Representative de19 termines that during any effective period of the re20 classified rate of duty, on the average, the price of

21 current model year domestic minivans as compared

22 to the price of comparable domestic minivans during

23 the preceding year increased at a rate faster than

24 the rate of inflation (based on the automobile com25 ponent of the Consumer Price Index), after com-
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1 pensating for any differences in features between

2 such minivans,

3 then the rate of duty on minivans that are entered, or

4 withdrawn from warehouse for consumption, in the cus5 toms territory of the United States after the date of such

6 determination shall be 2.5 percent ad valorem.

7 (b) MINIMUM REQUIREMENT.—Not less than annu8 ally during any effective period of a reclassified rate of

9 duty, the United States Trade Representative shall com10 pare the price of current model year domestic minivans

11 to the price of comparable domestic minivans during the

12 preceding year to determine whether or not the rate of

13 increase in the price of domestic minivans increased at a

14 rate faster than the rate of inflation (based on the auto15 mobile component of the Consumer Price Index), after

16 compensating for any differences in features between such

17 minivans.

18 SEC. 4. REPORT TO CONGRESS.

19 If on December 31 of any year a reclassified rate of

20 duty on minivans is in effect, the United States Trade

21 Representative shall transmit to the Congress a report—

22 (1) analyzing the average rate of increase in the

23 price of current model year domestic minivans as

24 compared to the price of comparable domestic

25 minivans during the preceding year, after com-
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1 pensating for any differences in features between

2 such minivans; and

3 (2) comparing such rate of increase to the rate

4 of inflation (based on the automobile component of

5 the Consumer Price Index).

6 SEC. 5. DEFINITION.

7 For the purposes of this Act, the term ‘‘reclassified

8 rate of duty’’ means an administrative reclassification of

9 minivans for tariff purposes that results in a rate of duty

10 on imported minivans that exceeds the rate of duty on im11 ported minivans that was in effect on January 1, 1993.

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