II 

Calendar No. 76 

114TH CONGRESS 

1ST SESSION S. 1269 

To reauthorize trade facilitation and trade enforcement functions and 

activities, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

MAY 11, 2015 

Mr. HATCH, from the Committee on Finance, reported the following original 

bill; which was read twice and placed on the calendar 

A BILL 

To reauthorize trade facilitation and trade enforcement 

functions and activities, and for other purposes. 

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; TABLE OF CONTENTS. 

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

5 ‘‘Trade Facilitation and Trade Enforcement Act of 2015’’. 

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

7 this Act is as follows: 

Sec. 1. Short title; table of contents. 

Sec. 2. Definitions. 

TITLE I—TRADE FACILITATION AND TRADE ENFORCEMENT 


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Sec. 101. Improving partnership programs. 

Sec. 102. Report on effectiveness of trade enforcement activities. 

Sec. 103. Priorities and performance standards for customs modernization, 

trade facilitation, and trade enforcement functions and programs. 

Sec. 104. Educational seminars to improve efforts to classify and appraise imported articles, to improve trade enforcement efforts, and to 

otherwise facilitate legitimate international trade. 

Sec. 105. Joint strategic plan. 

Sec. 106. Automated Commercial Environment. 

Sec. 107. International Trade Data System. 

Sec. 108. Consultations with respect to mutual recognition arrangements. 

Sec. 109. Commercial Customs Operations Advisory Committee. 

Sec. 110. Centers of Excellence and Expertise. 

Sec. 111. Commercial Targeting Division and National Targeting and Analysis 

Groups. 

Sec. 112. Report on oversight of revenue protection and enforcement measures. 

Sec. 113. Report on security and revenue measures with respect to merchandise 

transported in bond. 

Sec. 114. Importer of record program. 

Sec. 115. Establishment of new importer program. 

TITLE II—IMPORT HEALTH AND SAFETY 

Sec. 201. Interagency import safety working group. 

Sec. 202. Joint import safety rapid response plan. 

Sec. 203. Training. 

TITLE III—IMPORT-RELATED PROTECTION OF INTELLECTUAL 

PROPERTY RIGHTS 

Sec. 301. Definition of intellectual property rights. 

Sec. 302. Exchange of information related to trade enforcement. 

Sec. 303. Seizure of circumvention devices. 

Sec. 304. Enforcement by U.S. Customs and Border Protection of works for 

which copyright registration is pending. 

Sec. 305. National Intellectual Property Rights Coordination Center. 

Sec. 306. Joint strategic plan for the enforcement of intellectual property 

rights. 

Sec. 307. Personnel dedicated to the enforcement of intellectual property rights. 

Sec. 308. Training with respect to the enforcement of intellectual property 

rights. 

Sec. 309. International cooperation and information sharing. 

Sec. 310. Report on intellectual property rights enforcement. 

Sec. 311. Information for travelers regarding violations of intellectual property 

rights. 

TITLE IV—EVASION OF ANTIDUMPING AND COUNTERVAILING 

DUTY ORDERS 

Sec. 401. Short title. 

Sec. 402. Procedures for investigating claims of evasion of antidumping and 

countervailing duty orders. 

Sec. 403. Annual report on prevention and investigation of evasion of antidumping and countervailing duty orders. 


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TITLE V—AMENDMENTS TO ANTIDUMPING AND 

COUNTERVAILING DUTY LAWS 

Sec. 501. Consequences of failure to cooperate with a request for information 

in a proceeding. 

Sec. 502. Definition of material injury. 

Sec. 503. Particular market situation. 

Sec. 504. Distortion of prices or costs. 

Sec. 505. Reduction in burden on Department of Commerce by reducing the 

number of voluntary respondents. 

Sec. 506. Application to Canada and Mexico. 

TITLE VI—ADDITIONAL TRADE ENFORCEMENT AND 

INTELLECTUAL PROPERTY RIGHTS PROTECTION 

Subtitle A—Trade Enforcement 

Sec. 601. Trade enforcement priorities. 

Sec. 602. Exercise of WTO authorization to suspend concessions or other obligations under trade agreements. 

Sec. 603. Trade monitoring. 

Sec. 604. Establishment of Interagency Trade Enforcement Center. 

Sec. 605. Establishment of Chief Manufacturing Negotiator. 

Sec. 606. Enforcement under title III of the Trade Act of 1974 with respect 

to certain acts, policies, and practices relating to the environment. 

Sec. 607. Trade Enforcement Trust Fund. 

Sec. 608. Honey transshipment. 

Sec. 609. Inclusion of interest in certain distributions of antidumping duties 

and countervailing duties. 

Sec. 610. Illicitly imported, exported, or trafficked cultural property, archaeological or ethnological materials, and fish, wildlife, and plants. 

Subtitle B—Intellectual Property Rights Protection 

Sec. 611. Establishment of Chief Innovation and Intellectual Property Negotiator. 

Sec. 612. Measures relating to countries that deny adequate protection for intellectual property rights. 

TITLE VII—CURRENCY MANIPULATION 

Subtitle A—Investigation of Currency Undervaluation 

Sec. 701. Short title. 

Sec. 702. Investigation or review of currency undervaluation under countervailing duty law. 

Sec. 703. Benefit calculation methodology with respect to currency undervaluation. 

Sec. 704. Modification of definition of specificity with respect to export subsidy. 

Sec. 705. Application to Canada and Mexico. 

Sec. 706. Effective date. 

Subtitle B—Engagement on Currency Exchange Rate and Economic Policies 

Sec. 711. Enhancement of engagement on currency exchange rate and economic 

policies with certain major trading partners of the United 

States. 


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Sec. 712. Advisory Committee on International Exchange Rate Policy. 

TITLE VIII—PROCESS FOR CONSIDERATION OF TEMPORARY 

DUTY SUSPENSIONS AND REDUCTIONS 

Sec. 801. Short title. 

Sec. 802. Sense of Congress on the need for a miscellaneous tariff bill. 

Sec. 803. Process for consideration of duty suspensions and reductions. 

Sec. 804. Report on effects of duty suspensions and reductions on United 

States economy. 

Sec. 805. Judicial review precluded. 

Sec. 806. Definitions. 

TITLE IX—MISCELLANEOUS PROVISIONS 

Sec. 901. De minimis value. 

Sec. 902. Consultation on trade and customs revenue functions. 

Sec. 903. Penalties for customs brokers. 

Sec. 904. Amendments to chapter 98 of the Harmonized Tariff Schedule of the 

United States. 

Sec. 905. Exemption from duty of residue of bulk cargo contained in instruments of international traffic previously exported from the 

United States. 

Sec. 906. Drawback and refunds. 

Sec. 907. Inclusion of certain information in submission of nomination for appointment as Deputy United States Trade Representative. 

Sec. 908. Biennial reports regarding competitiveness issues facing the United 

States economy and competitive conditions for certain key 

United States industries. 

Sec. 909. Report on certain U.S. Customs and Border Protection agreements. 

Sec. 910. Charter flights. 

Sec. 911. Amendment to Tariff Act of 1930 to require country of origin marking of certain castings. 

Sec. 912. Elimination of consumptive demand exception to prohibition on importation of goods made with convict labor, forced labor, or indentured labor; report. 

Sec. 913. Improved collection and use of labor market information. 

Sec. 914. Statements of policy with respect to Israel. 

TITLE X—OFFSETS 

Sec. 1001. Revocation or denial of passport in case of certain unpaid taxes. 

Sec. 1002. Customs user fees. 

1 SEC. 2. DEFINITIONS. 

2 In this Act: 

3 (1) AUTOMATED COMMERCIAL ENVIRON4 MENT.—The term ‘‘Automated Commercial Environ5 ment’’ means the Automated Commercial Environ6 ment computer system authorized under section 


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1 13031(f)(4) of the Consolidated Omnibus Budget 

2 Reconciliation Act of 1985 (19 U.S.C. 58c(f)(4)). 

3 (2) COMMISSIONER.—The term ‘‘Commis4 sioner’’ means the Commissioner responsible for 

5 U.S. Customs and Border Protection. 

6 (3) CUSTOMS AND TRADE LAWS OF THE

7 UNITED STATES.—The term ‘‘customs and trade 

8 laws of the United States’’ includes the following: 

9 (A) The Tariff Act of 1930 (19 U.S.C. 

10 1202 et seq.). 

11 (B) Section 249 of the Revised Statutes 

12 (19 U.S.C. 3). 

13 (C) Section 2 of the Act of March 4, 1923 

14 (42 Stat. 1453, chapter 251; 19 U.S.C. 6). 

15 (D) The Act of March 3, 1927 (44 Stat. 

16 1381, chapter 348; 19 U.S.C. 2071 et seq.). 

17 (E) Section 13031 of the Consolidated 

18 Omnibus Budget Reconciliation Act of 1985 

19 (19 U.S.C. 58c). 

20 (F) Section 251 of the Revised Statutes 

21 (19 U.S.C. 66). 

22 (G) Section 1 of the Act of June 26, 1930 

23 (46 Stat. 817, chapter 617; 19 U.S.C. 68). 

24 (H) The Foreign Trade Zones Act (19 

25 U.S.C. 81a et seq.). 


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1 (I) Section 1 of the Act of March 2, 1911 

2 (36 Stat. 965, chapter 191; 19 U.S.C. 198). 

3 (J) The Trade Act of 1974 (19 U.S.C. 

4 2102 et seq.). 

5 (K) The Trade Agreements Act of 1979 

6 (19 U.S.C. 2501 et seq.). 

7 (L) The North American Free Trade 

8 Agreement Implementation Act (19 U.S.C. 

9 3301 et seq.). 

10 (M) The Uruguay Round Agreements Act 

11 (19 U.S.C. 3501 et seq.). 

12 (N) The Caribbean Basin Economic Recov13 ery Act (19 U.S.C. 2701 et seq.). 

14 (O) The Andean Trade Preference Act (19 

15 U.S.C. 3201 et seq.). 

16 (P) The African Growth and Opportunity 

17 Act (19 U.S.C. 3701 et seq.). 

18 (Q) The Customs Enforcement Act of 

19 1986 (Public Law 99–570; 100 Stat. 3207–79). 

20 (R) The Customs and Trade Act of 1990 

21 (Public Law 101–382; 104 Stat. 629). 

22 (S) The Customs Procedural Reform and 

23 Simplification Act of 1978 (Public Law 95– 

24 410; 92 Stat. 888). 


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1 (T) The Trade Act of 2002 (Public Law 

2 107–210; 116 Stat. 933). 

3 (U) The Convention on Cultural Property 

4 Implementation Act (19 U.S.C. 2601 et seq.). 

5 (V) The Act of March 28, 1928 (45 Stat. 

6 374, chapter 266; 19 U.S.C. 2077 et seq.). 

7 (W) The Act of August 7, 1939 (53 Stat. 

8 1263, chapter 566). 

9 (X) Any other provision of law imple10 menting a trade agreement. 

11 (Y) Any other provision of law vesting cus12 toms revenue functions in the Secretary of the 

13 Treasury. 

14 (Z) Any other provision of law relating to 

15 trade facilitation or trade enforcement that is 

16 administered by U.S. Customs and Border Pro17 tection on behalf of any Federal agency that is 

18 required to participate in the International 

19 Trade Data System. 

20 (AA) Any other provision of customs or 

21 trade law administered by U.S. Customs and 

22 Border Protection or U.S. Immigration and 

23 Customs Enforcement. 

24 (4) PRIVATE SECTOR ENTITY.—The term ‘‘pri25 vate sector entity’’ means— 


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1 (A) an importer; 

2 (B) an exporter; 

3 (C) a forwarder; 

4 (D) an air, sea, or land carrier or shipper; 

5 (E) a contract logistics provider; 

6 (F) a customs broker; or 

7 (G) any other person (other than an em8 ployee of a government) affected by the imple9 mentation of the customs and trade laws of the 

10 United States. 

11 (5) TRADE ENFORCEMENT.—The term ‘‘trade 

12 enforcement’’ means the enforcement of the customs 

13 and trade laws of the United States. 

14 (6) TRADE FACILITATION.—The term ‘‘trade 

15 facilitation’’ refers to policies and activities of U.S. 

16 Customs and Border Protection with respect to fa17 cilitating the movement of merchandise into and out 

18 of the United States in a manner that complies with 

19 the customs and trade laws of the United States. 

20 TITLE I—TRADE FACILITATION 

21 AND TRADE ENFORCEMENT 

22 SEC. 101. IMPROVING PARTNERSHIP PROGRAMS. 

23 (a) IN GENERAL.—In order to advance the security, 

24 trade enforcement, and trade facilitation missions of U.S. 

25 Customs and Border Protection, the Commissioner shall 


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1 ensure that partnership programs of U.S. Customs and 

2 Border Protection established before the date of the enact3 ment of this Act, such as the Customs–Trade Partnership 

4 Against Terrorism established under subtitle B of title II 

5 of the Security and Accountability for Every Port Act of 

6 2006 (6 U.S.C. 961 et seq.), and partnership programs 

7 of U.S. Customs and Border Protection established after 

8 such date of enactment, provide trade benefits to private 

9 sector entities that meet the requirements for participation 

10 in those programs established by the Commissioner under 

11 this section. 

12 (b) ELEMENTS.—In developing and operating part13 nership programs under subsection (a), the Commissioner 

14 shall— 

15 (1) consult with private sector entities, the pub16 lic, and other Federal agencies when appropriate, to 

17 ensure that participants in those programs receive 

18 commercially significant and measurable trade bene19 fits, including providing preclearance of merchandise 

20 for qualified persons that demonstrate the highest 

21 levels of compliance with the customs and trade laws 

22 of the United States, regulations of U.S. Customs 

23 and Border Protection, and other requirements the 

24 Commissioner determines to be necessary; 


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1 (2) ensure an integrated and transparent sys2 tem of trade benefits and compliance requirements 

3 for all partnership programs of U.S. Customs and 

4 Border Protection; 

5 (3) consider consolidating partnership programs 

6 in situations in which doing so would support the 

7 objectives of such programs, increase participation in 

8 such programs, enhance the trade benefits provided 

9 to participants in such programs, and enhance the 

10 allocation of the resources of U.S. Customs and Bor11 der Protection; 

12 (4) coordinate with the Director of U.S. Immi13 gration and Customs Enforcement, and other Fed14 eral agencies with authority to detain and release 

15 merchandise entering the United States— 

16 (A) to ensure coordination in the release of 

17 such merchandise through the Automated Com18 mercial Environment, or its predecessor, and 

19 the International Trade Data System; 

20 (B) to ensure that the partnership pro21 grams of those agencies are compatible with the 

22 partnership programs of U.S. Customs and 

23 Border Protection; 

24 (C) to develop criteria for authorizing the 

25 release, on an expedited basis, of merchandise 


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1 for which documentation is required from one 

2 or more of those agencies to clear or license the 

3 merchandise for entry into the United States; 

4 and 

5 (D) to create pathways, within and among 

6 the appropriate Federal agencies, for qualified 

7 persons that demonstrate the highest levels of 

8 compliance to receive immediate clearance ab9 sent information that a transaction may pose a 

10 national security or compliance threat; and 

11 (5) ensure that trade benefits are provided to 

12 participants in partnership programs. 

13 (c) REPORT REQUIRED.—Not later than the date 

14 that is 180 days after the date of the enactment of this 

15 Act, and December 31 of each year thereafter, the Com16 missioner shall submit to the Committee on Finance of 

17 the Senate and the Committee on Ways and Means of the 

18 House of Representatives a report that— 

19 (1) identifies each partnership program referred 

20 to in subsection (a); 

21 (2) for each such program, identifies— 

22 (A) the requirements for participants in 

23 the program; 


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1 (B) the commercially significant and meas2 urable trade benefits provided to participants in 

3 the program; 

4 (C) the number of participants in the pro5 gram; and 

6 (D) in the case of a program that provides 

7 for participation at multiple tiers, the number 

8 of participants at each such tier; 

9 (3) identifies the number of participants en10 rolled in more than one such partnership program; 

11 (4) assesses the effectiveness of each such part12 nership program in advancing the security, trade en13 forcement, and trade facilitation missions of U.S. 

14 Customs and Border Protection, based on historical 

15 developments, the level of participation in the pro16 gram, and the evolution of benefits provided to par17 ticipants in the program; 

18 (5) summarizes the efforts of U.S. Customs and 

19 Border Protection to work with other Federal agen20 cies with authority to detain and release merchan21 dise entering the United States to ensure that part22 nership programs of those agencies are compatible 

23 with partnership programs of U.S. Customs and 

24 Border Protection; 


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1 (6) summarizes criteria developed with those 

2 agencies for authorizing the release, on an expedited 

3 basis, of merchandise for which documentation is re4 quired from one or more of those agencies to clear 

5 or license the merchandise for entry into the United 

6 States; 

7 (7) summarizes the efforts of U.S. Customs and 

8 Border Protection to work with private sector enti9 ties and the public to develop and improve partner10 ship programs referred to in subsection (a); 

11 (8) describes measures taken by U.S. Customs 

12 and Border Protection to make private sector enti13 ties aware of the trade benefits available to partici14 pants in such programs; and 

15 (9) summarizes the plans, targets, and goals of 

16 U.S. Customs and Border Protection with respect to 

17 such programs for the 2 years following the submis18 sion of the report. 

19 SEC. 102. REPORT ON EFFECTIVENESS OF TRADE EN20 FORCEMENT ACTIVITIES. 

21 (a) IN GENERAL.—Not later than one year after the 

22 date of the enactment of this Act, the Comptroller General 

23 of the United States shall submit to the Committee on 

24 Finance of the Senate and the Committee on Ways and 

25 Means of the House of Representatives a report on the 


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1 effectiveness of trade enforcement activities of U.S. Cus2 toms and Border Protection. 

3 (b) CONTENTS.—The report required by subsection 

4 (a) shall include— 

5 (1) a description of the use of resources, results 

6 of audits and verifications, targeting, organization, 

7 and training of personnel of U.S. Customs and Bor8 der Protection; 

9 (2) a description of trade enforcement activities 

10 to address undervaluation, transshipment, legitimacy 

11 of entities making entry, protection of revenues, 

12 fraud prevention and detection, and penalties, in13 cluding intentional misclassification, inadequate 

14 bonding, and other misrepresentations; and 

15 (3) a description of trade enforcement activities 

16 with respect to the priority trade issues described in 

17 paragraph (3)(B)(ii) of section 2(d) of the Act of 

18 March 3, 1927 (44 Stat. 1381, chapter 348; 19 

19 U.S.C. 2072(d)), as added by section 111(a) of this 

20 Act, including— 

21 (A) methodologies used in such enforce22 ment activities, such as targeting; 

23 (B) recommendations for improving such 

24 enforcement activities; and 


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1 (C) a description of the implementation of 

2 previous recommendations for improving such 

3 enforcement activities. 

4 (c) FORM OF REPORT.—The report required by sub5 section (a) shall be submitted in unclassified form, but 

6 may include a classified annex. 

7 SEC. 103. PRIORITIES AND PERFORMANCE STANDARDS 

8 FOR CUSTOMS MODERNIZATION, TRADE FA9 CILITATION, AND TRADE ENFORCEMENT 

10 FUNCTIONS AND PROGRAMS. 

11 (a) PRIORITIES AND PERFORMANCE STANDARDS.— 

12 (1) IN GENERAL.—The Commissioner, in con13 sultation with the Committee on Finance of the Sen14 ate and the Committee on Ways and Means of the 

15 House of Representatives, shall establish priorities 

16 and performance standards to measure the develop17 ment and levels of achievement of the customs mod18 ernization, trade facilitation, and trade enforcement 

19 functions and programs described in subsection (b). 

20 (2) MINIMUM PRIORITIES AND STANDARDS.— 

21 Such priorities and performance standards shall, at 

22 a minimum, include priorities and standards relating 

23 to efficiency, outcome, output, and other types of ap24 plicable measures. 


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1 (b) FUNCTIONS AND PROGRAMS DESCRIBED.—The 

2 functions and programs referred to in subsection (a) are 

3 the following: 

4 (1) The Automated Commercial Environment. 

5 (2) Each of the priority trade issues described 

6 in paragraph (3)(B)(ii) of section 2(d) of the Act of 

7 March 3, 1927 (44 Stat. 1381, chapter 348; 19 

8 U.S.C. 2072(d)), as added by section 111(a) of this 

9 Act. 

10 (3) The Centers of Excellence and Expertise de11 scribed in section 110 of this Act. 

12 (4) Drawback for exported merchandise under 

13 section 313 of the Tariff Act of 1930 (19 U.S.C. 

14 1313), as amended by section 906 of this Act. 

15 (5) Transactions relating to imported merchan16 dise in bond. 

17 (6) Collection of countervailing duties assessed 

18 under subtitle A of title VII of the Tariff Act of 

19 1930 (19 U.S.C. 1671 et seq.) and antidumping du20 ties assessed under subtitle B of title VII of the Tar21 iff Act of 1930 (19 U.S.C. 1673 et seq.). 

22 (7) The expedited clearance of cargo. 

23 (8) The issuance of regulations and rulings. 

24 (9) The issuance of Regulatory Audit Reports. 

25 (c) CONSULTATIONS AND NOTIFICATION.— 


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1 (1) CONSULTATIONS.—The consultations re2 quired by subsection (a)(1) shall occur, at a min3 imum, on an annual basis. 

4 (2) NOTIFICATION.—The Commissioner shall 

5 notify the Committee on Finance of the Senate and 

6 the Committee on Ways and Means of the House of 

7 Representatives of any changes to the priorities re8 ferred to in subsection (a) not later than 30 days be9 fore such changes are to take effect. 

10 SEC. 104. EDUCATIONAL SEMINARS TO IMPROVE EFFORTS 

11 TO CLASSIFY AND APPRAISE IMPORTED AR12 TICLES, TO IMPROVE TRADE ENFORCEMENT 

13 EFFORTS, AND TO OTHERWISE FACILITATE 

14 LEGITIMATE INTERNATIONAL TRADE. 

15 (a) IN GENERAL.— 

16 (1) ESTABLISHMENT.—The Commissioner and 

17 the Director shall establish and carry out on a fiscal 

18 year basis educational seminars to— 

19 (A) improve the ability of U.S. Customs 

20 and Border Protection personnel to classify and 

21 appraise articles imported into the United 

22 States in accordance with the customs and 

23 trade laws of the United States; 

24 (B) improve the trade enforcement efforts 

25 of U.S. Customs and Border Protection perVerDate Sep 11 2014 23:07 May 11, 2015 Jkt 049200 PO 00000 Frm 00017 Fmt 6652 Sfmt 6201 E:\BILLS\S1269.PCS S1269

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1 sonnel and U.S. Immigration and Customs En2 forcement personnel; and 

3 (C) otherwise improve the ability and effec4 tiveness of U.S. Customs and Border Protection 

5 personnel and U.S. Immigration and Customs 

6 Enforcement personnel to facilitate legitimate 

7 international trade. 

8 (b) CONTENT.— 

9 (1) CLASSIFYING AND APPRAISING IMPORTED

10 ARTICLES.—In carrying out subsection (a)(1)(A), 

11 the Commissioner, the Director, and interested par12 ties in the private sector selected under subsection 

13 (c) shall provide instruction and related instructional 

14 materials at each educational seminar under this 

15 section to U.S. Customs and Border Protection per16 sonnel and, as appropriate, to U.S. Immigration and 

17 Customs Enforcement personnel on the following: 

18 (A) Conducting a physical inspection of an 

19 article imported into the United States, includ20 ing testing of samples of the article, to deter21 mine if the article is mislabeled in the manifest 

22 or other accompanying documentation. 

23 (B) Reviewing the manifest and other ac24 companying documentation of an article im25 ported into the United States to determine if 


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1 the country of origin of the article listed in the 

2 manifest or other accompanying documentation 

3 is accurate. 

4 (C) Customs valuation. 

5 (D) Industry supply chains and other re6 lated matters as determined to be appropriate 

7 by the Commissioner. 

8 (2) TRADE ENFORCEMENT EFFORTS.—In car9 rying out subsection (a)(1)(B), the Commissioner, 

10 the Director, and interested parties in the private 

11 sector selected under subsection (c) shall provide in12 struction and related instructional materials at each 

13 educational seminar under this section to U.S. Cus14 toms and Border Protection personnel and, as ap15 propriate, to U.S. Immigration and Customs En16 forcement personnel to identify opportunities to en17 hance enforcement of the following: 

18 (A) Collection of countervailing duties as19 sessed under subtitle A of title VII of the Tariff 

20 Act of 1930 (19 U.S.C. 1671 et seq.) and anti21 dumping duties assessed under subtitle B of 

22 title VII of the Tariff Act of 1930 (19 U.S.C. 

23 1673 et seq.). 

24 (B) Addressing evasion of duties on im25 ports of textiles. 


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1 (C) Protection of intellectual property 

2 rights. 

3 (D) Enforcement of child labor laws. 

4 (3) APPROVAL OF COMMISSIONER AND DIREC5 TOR.—The instruction and related instructional ma6 terials at each educational seminar under this sec7 tion shall be subject to the approval of the Commis8 sioner and the Director. 

9 (c) SELECTION PROCESS.— 

10 (1) IN GENERAL.—The Commissioner shall es11 tablish a process to solicit, evaluate, and select inter12 ested parties in the private sector for purposes of as13 sisting in providing instruction and related instruc14 tional materials described in subsection (b) at each 

15 educational seminar under this section. 

16 (2) CRITERIA.—The Commissioner shall evalu17 ate and select interested parties in the private sector 

18 under the process established under paragraph (1) 

19 based on— 

20 (A) availability and usefulness; 

21 (B) the volume, value, and incidence of 

22 mislabeling or misidentification of origin of im23 ported articles; and 

24 (C) other appropriate criteria established 

25 by the Commissioner. 


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1 (3) PUBLIC AVAILABILITY.—The Commissioner 

2 and the Director shall publish in the Federal Reg3 ister a detailed description of the process established 

4 under paragraph (1) and the criteria established 

5 under paragraph (2). 

6 (d) SPECIAL RULE FOR ANTIDUMPING AND COUN7 TERVAILING DUTY ORDERS.— 

8 (1) IN GENERAL.—The Commissioner shall give 

9 due consideration to carrying out an educational 

10 seminar under this section in whole or in part to im11 prove the ability of U.S. Customs and Border Pro12 tection personnel to enforce a countervailing or anti13 dumping duty order issued under section 706 or 736 

14 of the Tariff Act of 1930 (19 U.S.C. 1671e or 

15 1673e) upon the request of a petitioner in an action 

16 underlying such countervailing or antidumping duty 

17 order. 

18 (2) INTERESTED PARTY.—A petitioner de19 scribed in paragraph (1) shall be treated as an inter20 ested party in the private sector for purposes of the 

21 requirements of this section. 

22 (e) PERFORMANCE STANDARDS.—The Commissioner 

23 and the Director shall establish performance standards to 

24 measure the development and level of achievement of edu25 cational seminars under this section. 


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1 (f) REPORTING.—Beginning September 30, 2016, the 

2 Commissioner and the Director shall submit to the Com3 mittee of Finance of the Senate and the Committee of 

4 Ways and Means of the House of Representatives an an5 nual report on the effectiveness of educational seminars 

6 under this section. 

7 (g) DEFINITIONS.—In this section: 

8 (1) DIRECTOR.—The term ‘‘Director’’ means 

9 the Director of U.S. Immigration and Customs En10 forcement. 

11 (2) UNITED STATES.—The term ‘‘United 

12 States’’ means the customs territory of the United 

13 States, as defined in General Note 2 to the Har14 monized Tariff Schedule of the United States. 

15 (3) U.S. CUSTOMS AND BORDER PROTECTION

16 PERSONNEL.—The term ‘‘U.S. Customs and Border 

17 Protection personnel’’ means import specialists, 

18 auditors, and other appropriate employees of U.S. 

19 Customs and Border Protection. 

20 (4) U.S. IMMIGRATION AND CUSTOMS ENFORCE21 MENT PERSONNEL.—The term ‘‘U.S. Immigration 

22 and Customs Enforcement personnel’’ means Home23 land Security Investigations Directorate personnel 

24 and other appropriate employees of U.S. Immigra25 tion and Customs Enforcement. 


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1 SEC. 105. JOINT STRATEGIC PLAN. 

2 (a) IN GENERAL.—Not later than one year after the 

3 date of the enactment of this Act, and every 2 years there4 after, the Commissioner and the Director of U.S. Immi5 gration and Customs Enforcement shall jointly develop 

6 and submit to the Committee on Finance of the Senate 

7 and the Committee on Ways and Means of the House of 

8 Representatives, a joint strategic plan. 

9 (b) CONTENTS.—The joint strategic plan required 

10 under this section shall be comprised of a comprehensive 

11 multi-year plan for trade enforcement and trade facilita12 tion, and shall include— 

13 (1) a summary of actions taken during the 2- 

14 year period preceding the submission of the plan to 

15 improve trade enforcement and trade facilitation, in16 cluding a description and analysis of specific per17 formance measures to evaluate the progress of U.S. 

18 Customs and Border Protection and U.S. Immigra19 tion and Customs Enforcement in meeting each such 

20 responsibility; 

21 (2) a statement of objectives and plans for fur22 ther improving trade enforcement and trade facilita23 tion; 

24 (3) a specific identification of the priority trade 

25 issues described in paragraph (3)(B)(ii) of section 

26 2(d) of the Act of March 3, 1927 (44 Stat. 1381, 


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1 chapter 348; 19 U.S.C. 2072(d)), as added by sec2 tion 111(a) of this Act, that can be addressed in 

3 order to enhance trade enforcement and trade facili4 tation, and a description of strategies and plans for 

5 addressing each such issue, including— 

6 (A) a description of the targeting meth7 odologies used for enforcement activities with 

8 respect to each such issue; 

9 (B) recommendations for improving such 

10 enforcement activities; and 

11 (C) a description of the implementation of 

12 previous recommendations for improving such 

13 enforcement activities; 

14 (4) a description of efforts made to improve 

15 consultation and coordination among and within 

16 Federal agencies, and in particular between U.S. 

17 Customs and Border Protection and U.S. Immigra18 tion and Customs Enforcement, regarding trade en19 forcement and trade facilitation; 

20 (5) a description of the training that has oc21 curred to date within U.S. Customs and Border Pro22 tection and U.S. Immigration and Customs Enforce23 ment to improve trade enforcement and trade facili24 tation, including training under section 104 of this 

25 Act; 


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1 (6) a description of efforts to work with the 

2 World Customs Organization and other international 

3 organizations, in consultation with other Federal 

4 agencies as appropriate, with respect to enhancing 

5 trade enforcement and trade facilitation; 

6 (7) a description of U.S. Customs and Border 

7 Protection organizational benchmarks for optimizing 

8 staffing and wait times at ports of entry; 

9 (8) a specific identification of any domestic or 

10 international best practices that may further im11 prove trade enforcement and trade facilitation; 

12 (9) any legislative recommendations to further 

13 improve trade enforcement and trade facilitation; 

14 and 

15 (10) a description of efforts made to improve 

16 consultation and coordination with the private sector 

17 to enhance trade enforcement and trade facilitation. 

18 (c) CONSULTATIONS.— 

19 (1) IN GENERAL.—In developing the joint stra20 tegic plan required under this section, the Commis21 sioner and the Director shall consult with— 

22 (A) appropriate officials from the relevant 

23 Federal agencies, including— 

24 (i) the Department of the Treasury; 

25 (ii) the Department of Agriculture; 


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1 (iii) the Department of Commerce; 

2 (iv) the Department of Justice; 

3 (v) the Department of the Interior; 

4 (vi) the Department of Health and 

5 Human Services; 

6 (vii) the Food and Drug Administra7 tion; 

8 (viii) the Consumer Product Safety 

9 Commission; and 

10 (ix) the Office of the United States 

11 Trade Representative; and 

12 (B) the Commercial Customs Operations 

13 Advisory Committee established by section 109 

14 of this Act. 

15 (2) OTHER CONSULTATIONS.—In developing 

16 the joint strategic plan required under this section, 

17 the Commissioner and the Director shall seek to 

18 consult with— 

19 (A) appropriate officials from relevant for20 eign law enforcement agencies and international 

21 organizations, including the World Customs Or22 ganization; and 

23 (B) interested parties in the private sector. 


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1 (d) FORM OF PLAN.—The plan required by sub2 section (a) shall be submitted in unclassified form, but 

3 may include a classified annex. 

4 SEC. 106. AUTOMATED COMMERCIAL ENVIRONMENT. 

5 (a) FUNDING.—Section 13031(f)(4)(B) of the Con6 solidated Omnibus Budget Reconciliation Act of 1985 (19 

7 U.S.C. 58c(f)(4)(B)) is amended— 

8 (1) by striking ‘‘2003 through 2005’’ and in9 serting ‘‘2016 through 2018’’; 

10 (2) by striking ‘‘such amounts as are available 

11 in that Account’’ and inserting ‘‘not less than 

12 $153,736,000’’; and 

13 (3) by striking ‘‘for the development’’ and in14 serting ‘‘to complete the development and implemen15 tation’’. 

16 (b) REPORT.—Section 311(b)(3) of the Customs Bor17 der Security Act of 2002 (19 U.S.C. 2075 note) is amend18 ed to read as follows: 

19 ‘‘(3) REPORT.— 

20 ‘‘(A) IN GENERAL.—Not later than De21 cember 31, 2016, the Commissioner responsible 

22 for U.S. Customs and Border Protection shall 

23 submit to the Committee on Appropriations and 

24 the Committee on Finance of the Senate and 

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1 mittee on Ways and Means of the House of 

2 Representatives a report detailing— 

3 ‘‘(i) U.S. Customs and Border Protec4 tion’s incorporation of all core trade proc5 essing capabilities, including cargo release, 

6 entry summary, cargo manifest, cargo fi7 nancial data, and export data elements 

8 into the Automated Commercial Environ9 ment computer system authorized under 

10 section 13031(f)(4) of the Consolidated 

11 Omnibus Budget and Reconciliation Act of 

12 1985 (19 U.S.C. 58c(f)(4)) not later than 

13 September 30, 2016, to conform with the 

14 admissibility criteria of agencies partici15 pating in the International Trade Data 

16 System identified pursuant to section 

17 411(d)(4)(A)(iii) of the Tariff Act of 1930; 

18 ‘‘(ii) U.S. Customs and Border Pro19 tection’s remaining priorities for processing 

20 entry summary data elements, cargo mani21 fest data elements, cargo financial data 

22 elements, and export elements in the Auto23 mated Commercial Environment computer 

24 system, and the objectives and plans for 

25 implementing these remaining priorities; 


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1 ‘‘(iii) the components of the National 

2 Customs Automation Program specified in 

3 subsection (a)(2) of section 411 of the 

4 Tariff Act of 1930 that have not been im5 plemented; and 

6 ‘‘(iv) any additional components of the 

7 National Customs Automation Program 

8 initiated by the Commissioner to complete 

9 the development, establishment, and imple10 mentation of the Automated Commercial 

11 Environment computer system. 

12 ‘‘(B) UPDATE OF REPORTS.—Not later 

13 than September 30, 2017, the Commissioner 

14 shall submit to the Committee on Appropria15 tions and the Committee on Finance of the 

16 Senate and the Committee on Appropriations 

17 and the Committee on Ways and Means of the 

18 House of Representatives an updated report ad19 dressing each of the matters referred to in sub20 paragraph (A), and— 

21 ‘‘(i) evaluating the effectiveness of the 

22 implementation of the Automated Commer23 cial Environment computer system; and 

24 ‘‘(ii) detailing the percentage of trade 

25 processed in the Automated Commercial 


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1 Environment every month since September 

2 30, 2016.’’. 

3 (c) GOVERNMENT ACCOUNTABILITY OFFICE RE4 PORT.—Not later than December 31, 2017, the Comp5 troller General of the United States shall submit to the 

6 Committee on Appropriations and the Committee on Fi7 nance of the Senate and the Committee on Appropriations 

8 and the Committee on Ways and Means of the House of 

9 Representatives a report— 

10 (1) assessing the progress of other Federal 

11 agencies in accessing and utilizing the Automated 

12 Commercial Environment; and 

13 (2) assessing the potential cost savings to the 

14 United States Government and importers and ex15 porters and the potential benefits to enforcement of 

16 the customs and trade laws of the United States if 

17 the elements identified in clauses (i) through (iv) of 

18 section 311(b)(3)(A) of the Customs Border Secu19 rity Act of 2002, as amended by subsection (b) of 

20 this section, are implemented. 

21 SEC. 107. INTERNATIONAL TRADE DATA SYSTEM. 

22 (a) INFORMATION TECHNOLOGY INFRASTRUC23 TURE.—Section 411(d) of the Tariff Act of 1930 (19 

24 U.S.C. 1411(d)) is amended— 


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1 (1) by redesignating paragraphs (4) through 

2 (7) as paragraphs (5) through (8), respectively; 

3 (2) by inserting after paragraph (3) the fol4 lowing: 

5 ‘‘(4) INFORMATION TECHNOLOGY INFRASTRUC6 TURE.— 

7 ‘‘(A) IN GENERAL.—The Secretary shall 

8 work with the head of each agency participating 

9 in the ITDS and the Interagency Steering 

10 Committee to ensure that each agency— 

11 ‘‘(i) develops and maintains the nec12 essary information technology infrastruc13 ture to support the operation of the ITDS 

14 and to submit all data to the ITDS elec15 tronically; 

16 ‘‘(ii) enters into a memorandum of 

17 understanding, or takes such other action 

18 as is necessary, to provide for the informa19 tion sharing between the agency and U.S. 

20 Customs and Border Protection necessary 

21 for the operation and maintenance of the 

22 ITDS; 

23 ‘‘(iii) not later than June 30, 2016, 

24 identifies and transmits to the Commis25 sioner responsible for U.S. Customs and 


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1 Border Protection the admissibility criteria 

2 and data elements required by the agency 

3 to authorize the release of cargo by U.S. 

4 Customs and Border Protection for incor5 poration into the operational functionality 

6 of the Automated Commercial Environ7 ment computer system authorized under 

8 section 13031(f)(4) of the Consolidated 

9 Omnibus Budget and Reconciliation Act of 

10 1985 (19 U.S.C. 58c(f)(4)); and 

11 ‘‘(iv) not later than December 31, 

12 2016, utilizes the ITDS as the primary 

13 means of receiving from users the standard 

14 set of data and other relevant documenta15 tion, exclusive of applications for permits, 

16 licenses, or certifications required for the 

17 release of imported cargo and clearance of 

18 cargo for export. 

19 ‘‘(B) RULE OF CONSTRUCTION.—Nothing 

20 in this paragraph shall be construed to require 

21 any action to be taken that would compromise 

22 an ongoing law enforcement investigation or na23 tional security.’’; and 

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1 onciliation Act of 1987 (19 U.S.C. 2071 note)’’ and 

2 inserting ‘‘section 109 of the Trade Facilitation and 

3 Trade Enforcement Act of 2015’’. 

4 SEC. 108. CONSULTATIONS WITH RESPECT TO MUTUAL 

5 RECOGNITION ARRANGEMENTS. 

6 (a) CONSULTATIONS.—The Secretary of Homeland 

7 Security, with respect to any proposed mutual recognition 

8 arrangement or similar agreement between the United 

9 States and a foreign government providing for mutual rec10 ognition of supply chain security programs and customs 

11 revenue functions, shall consult— 

12 (1) not later than 30 days before initiating ne13 gotiations to enter into any such arrangement or 

14 similar agreement, with the Committee on Finance 

15 of the Senate and the Committee on Ways and 

16 Means of the House of Representatives; and 

17 (2) not later than 30 days before entering into 

18 any such arrangement or similar agreement, with 

19 the Committee on Finance of the Senate and the 

20 Committee on Ways and Means of the House of 

21 Representatives. 

22 (b) NEGOTIATING OBJECTIVE.—It shall be a negoti23 ating objective of the United States in any negotiation for 

24 a mutual recognition arrangement with a foreign country 

25 on partnership programs, such as the Customs-Trade 


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1 Partnership Against Terrorism established under subtitle 

2 B of title II of the Security and Accountability for Every 

3 Port Act of 2006 (6 U.S.C. 961 et seq.), to seek to ensure 

4 the compatibility of the partnership programs of that 

5 country with the partnership programs of U.S. Customs 

6 and Border Protection to enhance trade facilitation and 

7 trade enforcement. 

8 SEC. 109. COMMERCIAL CUSTOMS OPERATIONS ADVISORY 

9 COMMITTEE. 

10 (a) ESTABLISHMENT.—Not later than the date that 

11 is 60 days after the date of the enactment of this Act, 

12 the Secretary of the Treasury and the Secretary of Home13 land Security shall jointly establish a Commercial Customs 

14 Operations Advisory Committee (in this section referred 

15 to as the ‘‘Advisory Committee’’). 

16 (b) MEMBERSHIP.— 

17 (1) IN GENERAL.—The Advisory Committee 

18 shall be comprised of— 

19 (A) 20 individuals appointed under para20 graph (2); 

21 (B) the Assistant Secretary for Tax Policy 

22 of the Department of the Treasury and the 

23 Commissioner, who shall jointly co-chair meet24 ings of the Advisory Committee; and 


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1 (C) the Assistant Secretary for Policy and 

2 the Director of U.S. Immigration and Customs 

3 Enforcement of the Department of Homeland 

4 Security, who shall serve as deputy co-chairs of 

5 meetings of the Advisory Committee. 

6 (2) APPOINTMENT.— 

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

8 Treasury and the Secretary of Homeland Secu9 rity shall jointly appoint 20 individuals from 

10 the private sector to the Advisory Committee. 

11 (B) REQUIREMENTS.—In making appoint12 ments under subparagraph (A), the Secretary 

13 of the Treasury and the Secretary of Homeland 

14 Security shall appoint members— 

15 (i) to ensure that the membership of 

16 the Advisory Committee is representative 

17 of the individuals and firms affected by the 

18 commercial operations of U.S. Customs 

19 and Border Protection; and 

20 (ii) without regard to political affili21 ation. 

22 (C) TERMS.—Each individual appointed to 

23 the Advisory Committee under this paragraph 

24 shall be appointed for a term of not more than 

25 3 years, and may be reappointed to subsequent 


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1 terms, but may not serve more than 2 terms se2 quentially. 

3 (3) TRANSFER OF MEMBERSHIP.—The Sec4 retary of the Treasury and the Secretary of Home5 land Security may transfer members serving on the 

6 Advisory Committee on Commercial Operations of 

7 the United States Customs Service established under 

8 section 9503(c) of the Omnibus Budget Reconcili9 ation Act of 1987 (19 U.S.C. 2071 note) on the day 

10 before the date of the enactment of this Act to the 

11 Advisory Committee established under subsection 

12 (a). 

13 (c) DUTIES.—The Advisory Committee established 

14 under subsection (a) shall— 

15 (1) advise the Secretary of the Treasury and 

16 the Secretary of Homeland Security on all matters 

17 involving the commercial operations of U.S. Customs 

18 and Border Protection, including advising with re19 spect to significant changes that are proposed with 

20 respect to regulations, policies, or practices of U.S. 

21 Customs and Border Protection; 

22 (2) provide recommendations to the Secretary 

23 of the Treasury and the Secretary of Homeland Se24 curity on improvements to the commercial operations 

25 of U.S. Customs and Border Protection; 


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1 (3) collaborate in developing the agenda for Ad2 visory Committee meetings; and 

3 (4) perform such other functions relating to the 

4 commercial operations of U.S. Customs and Border 

5 Protection as prescribed by law or as the Secretary 

6 of the Treasury and the Secretary of Homeland Se7 curity jointly direct. 

8 (d) MEETINGS.— 

9 (1) IN GENERAL.—The Advisory Committee 

10 shall meet at the call of the Secretary of the Treas11 ury and the Secretary of Homeland Security, or at 

12 the call of not less than two-thirds of the member13 ship of the Advisory Committee. The Advisory Com14 mittee shall meet at least 4 times each calendar 

15 year. 

16 (2) OPEN MEETINGS.—Notwithstanding section 

17 10(a) of the Federal Advisory Committee Act (5 

18 U.S.C. App.), the Advisory Committee meetings 

19 shall be open to the public unless the Secretary of 

20 the Treasury or the Secretary of Homeland Security 

21 determines that the meeting will include matters the 

22 disclosure of which would compromise the develop23 ment of policies, priorities, or negotiating objectives 

24 or positions that could impact the commercial oper25 ations of U.S. Customs and Border Protection or 


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1 the operations or investigations of U.S. Immigration 

2 and Customs Enforcement. 

3 (e) ANNUAL REPORT.—Not later than December 31, 

4 2016, and annually thereafter, the Advisory Committee 

5 shall submit to the Committee on Finance of the Senate 

6 and the Committee on Ways and Means of the House of 

7 Representatives a report that— 

8 (1) describes the activities of the Advisory Com9 mittee during the preceding fiscal year; and 

10 (2) sets forth any recommendations of the Advi11 sory Committee regarding the commercial operations 

12 of U.S. Customs and Border Protection. 

13 (f) TERMINATION.—Section 14(a)(2) of the Federal 

14 Advisory Committee Act (5 U.S.C. App.; relating to the 

15 termination of advisory committees) shall not apply to the 

16 Advisory Committee. 

17 (g) CONFORMING AMENDMENT.— 

18 (1) IN GENERAL.—Effective on the date on 

19 which the Advisory Committee is established under 

20 subsection (a), section 9503(c) of the Omnibus 

21 Budget Reconciliation Act of 1987 (19 U.S.C. 2071 

22 note) is repealed. 

23 (2) REFERENCE.—Any reference in law to the 

24 Advisory Committee on Commercial Operations of 

25 the United States Customs Service established under 


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1 section 9503(c) of the Omnibus Budget Reconcili2 ation Act of 1987 (19 U.S.C. 2071 note) made on 

3 or after the date on which the Advisory Committee 

4 is established under subsection (a), shall be deemed 

5 a reference to the Commercial Customs Operations 

6 Advisory Committee established under subsection 

7 (a). 

8 SEC. 110. CENTERS OF EXCELLENCE AND EXPERTISE. 

9 (a) IN GENERAL.—The Commissioner shall, in con10 sultation with the Committee on Finance of the Senate, 

11 the Committee on Ways and Means of the House of Rep12 resentatives, and the Commercial Customs Operations Ad13 visory Committee established by section 109 of this Act, 

14 develop and implement Centers of Excellence and Exper15 tise throughout U.S. Customs and Border Protection 

16 that— 

17 (1) enhance the economic competitiveness of the 

18 United States by consistently enforcing the laws and 

19 regulations of the United States at all ports of entry 

20 of the United States and by facilitating the flow of 

21 legitimate trade through increasing industry-based 

22 knowledge; 

23 (2) improve enforcement efforts, including en24 forcement of priority trade issues described in sub25 paragraph (B)(ii) of section 2(d)(3) of the Act of 


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1 March 3, 1927 (44 Stat. 1381, chapter 348; 19 

2 U.S.C. 2072(d)), as added by section 111(a) of this 

3 Act, in specific industry sectors through the applica4 tion of targeting information from the Commercial 

5 Targeting Division established under subparagraph 

6 (A) of such section 2(d)(3) and from other means of 

7 verification; 

8 (3) build upon the expertise of U.S. Customs 

9 and Border Protection in particular industry oper10 ations, supply chains, and compliance requirements; 

11 (4) promote the uniform implementation at 

12 each port of entry of the United States of policies 

13 and regulations relating to imports; 

14 (5) centralize the trade enforcement and trade 

15 facilitation efforts of U.S. Customs and Border Pro16 tection; 

17 (6) formalize an account-based approach to 

18 apply, as the Commissioner determines appropriate, 

19 to the importation of merchandise into the United 

20 States; 

21 (7) foster partnerships though the expansion of 

22 trade programs and other trusted partner programs; 

23 (8) develop applicable performance measure24 ments to meet internal efficiency and effectiveness 

25 goals; and 


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1 (9) whenever feasible, facilitate a more efficient 

2 flow of information between Federal agencies. 

3 (b) REPORT.—Not later than December 31, 2016, 

4 the Commissioner shall submit to the Committee on Fi5 nance of the Senate and the Committee on Ways and 

6 Means of the House of Representatives a report describ7 ing— 

8 (1) the scope, functions, and structure of each 

9 Center of Excellence and Expertise developed and 

10 implemented under subsection (a); 

11 (2) the effectiveness of each such Center of Ex12 cellence and Expertise in improving enforcement ef13 forts, including enforcement of priority trade issues, 

14 and facilitating legitimate trade; 

15 (3) the quantitative and qualitative benefits of 

16 each such Center of Excellence and Expertise to the 

17 trade community, including through fostering part18 nerships through the expansion of trade programs 

19 such as the Importer Self Assessment program and 

20 other trusted partner programs; 

21 (4) all applicable performance measurements 

22 with respect to each such Center of Excellence and 

23 Expertise, including performance measures with re24 spect to meeting internal efficiency and effectiveness 

25 goals; 


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1 (5) the performance of each such Center of Ex2 cellence and Expertise in increasing the accuracy 

3 and completeness of data with respect to inter4 national trade and facilitating a more efficient flow 

5 of information between Federal agencies; and 

6 (6) any planned changes in the number, scope, 

7 functions or any other aspect of the Centers of Ex8 cellence and Expertise developed and implemented 

9 under subsection (a). 

10 SEC. 111. COMMERCIAL TARGETING DIVISION AND NA11 TIONAL TARGETING AND ANALYSIS GROUPS. 

12 (a) IN GENERAL.—Section 2(d) of the Act of March 

13 3, 1927 (44 Stat. 1381, chapter 348; 19 U.S.C. 2072(d)) 

14 is amended by adding at the end the following: 

15 ‘‘(3) COMMERCIAL TARGETING DIVISION AND

16 NATIONAL TARGETING AND ANALYSIS GROUPS.— 

17 ‘‘(A) ESTABLISHMENT OF COMMERCIAL

18 TARGETING DIVISION.— 

19 ‘‘(i) IN GENERAL.—The Secretary of 

20 Homeland Security shall establish and 

21 maintain within the Office of International 

22 Trade a Commercial Targeting Division. 

23 ‘‘(ii) COMPOSITION.—The Commercial 

24 Targeting Division shall be composed of— 


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1 ‘‘(I) headquarters personnel led 

2 by an Executive Director, who shall 

3 report to the Assistant Commissioner 

4 for Trade; and 

5 ‘‘(II) individual National Tar6 geting and Analysis Groups, each led 

7 by a Director who shall report to the 

8 Executive Director of the Commercial 

9 Targeting Division. 

10 ‘‘(iii) DUTIES.—The Commercial Tar11 geting Division shall be dedicated— 

12 ‘‘(I) to the development and con13 duct of commercial risk assessment 

14 targeting with respect to cargo des15 tined for the United States in accord16 ance with subparagraph (C); and 

17 ‘‘(II) to issuing Trade Alerts de18 scribed in subparagraph (D). 

19 ‘‘(B) NATIONAL TARGETING AND ANALYSIS

20 GROUPS.— 

21 ‘‘(i) IN GENERAL.—A National Tar22 geting and Analysis Group referred to in 

23 subparagraph (A)(ii)(II) shall, at a min24 imum, be established for each priority 

25 trade issue described in clause (ii). 


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1 ‘‘(ii) PRIORITY TRADE ISSUES.— 

2 ‘‘(I) IN GENERAL.—The priority 

3 trade issues described in this clause 

4 are the following: 

5 ‘‘(aa) Agriculture programs. 

6 ‘‘(bb) Antidumping and 

7 countervailing duties. 

8 ‘‘(cc) Import safety. 

9 ‘‘(dd) Intellectual property 

10 rights. 

11 ‘‘(ee) Revenue. 

12 ‘‘(ff) Textiles and wearing 

13 apparel. 

14 ‘‘(gg) Trade agreements and 

15 preference programs. 

16 ‘‘(II) MODIFICATION.—The Com17 missioner is authorized to establish 

18 new priority trade issues and elimi19 nate, consolidate, or otherwise modify 

20 the priority trade issues described in 

21 this paragraph if the Commissioner— 

22 ‘‘(aa) determines it nec23 essary and appropriate to do so; 

24 ‘‘(bb) submits to the Com25 mittee on Finance of the Senate 


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1 and the Committee on Ways and 

2 Means of the House of Rep3 resentatives a summary of pro4 posals to consolidate, eliminate, 

5 or otherwise modify existing pri6 ority trade issues not later than 

7 60 days before such changes are 

8 to take effect; and 

9 ‘‘(cc) submits to the Com10 mittee on Finance of the Senate 

11 and the Committee on Ways and 

12 Means of the House of Rep13 resentatives a summary of pro14 posals to establish new priority 

15 trade issues not later than 30 

16 days after such changes are to 

17 take effect. 

18 ‘‘(iii) DUTIES.—The duties of each 

19 National Targeting and Analysis Group 

20 shall include— 

21 ‘‘(I) directing the trade enforce22 ment and compliance assessment ac23 tivities of U.S. Customs and Border 

24 Protection that relate to the Group’s 

25 priority trade issue; 


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1 ‘‘(II) facilitating, promoting, and 

2 coordinating cooperation and the ex3 change of information between U.S. 

4 Customs and Border Protection, U.S. 

5 Immigration and Customs Enforce6 ment, and other relevant Federal de7 partments and agencies regarding the 

8 Group’s priority trade issue; and 

9 ‘‘(III) serving as the primary liai10 son between U.S. Customs and Bor11 der Protection and the public regard12 ing United States Government activi13 ties regarding the Group’s priority 

14 trade issue, including— 

15 ‘‘(aa) providing for receipt 

16 and transmission to the appro17 priate U.S. Customs and Border 

18 Protection office of allegations 

19 from interested parties in the pri20 vate sector of violations of cus21 toms and trade laws of the 

22 United States of merchandise re23 lating to the priority trade issue; 

24 ‘‘(bb) obtaining information 

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1 toms and Border Protection of2 fice on the status of any activi3 ties resulting from the submis4 sion of any such allegation, in5 cluding any decision not to pur6 sue the allegation, and providing 

7 any such information to each in8 terested party in the private sec9 tor that submitted the allegation 

10 every 90 days after the allegation 

11 was received by U.S. Customs 

12 and Border Protection unless 

13 providing such information would 

14 compromise an ongoing law en15 forcement investigation; and 

16 ‘‘(cc) notifying on a timely 

17 basis each interested party in the 

18 private sector that submitted 

19 such allegation of any civil or 

20 criminal actions taken by U.S. 

21 Customs and Border Protection 

22 or other Federal department or 

23 agency resulting from the allega24 tion. 


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1 ‘‘(C) COMMERCIAL RISK ASSESSMENT TAR2 GETING.—In carrying out its duties with re3 spect to commercial risk assessment targeting, 

4 the Commercial Targeting Division shall— 

5 ‘‘(i) establish targeted risk assessment 

6 methodologies and standards— 

7 ‘‘(I) for evaluating the risk that 

8 cargo destined for the United States 

9 may violate the customs and trade 

10 laws of the United States, particularly 

11 those laws applicable to merchandise 

12 subject to the priority trade issues de13 scribed in subparagraph (B)(ii); and 

14 ‘‘(II) for issuing, as appropriate, 

15 Trade Alerts described in subpara16 graph (D); and 

17 ‘‘(ii) to the extent practicable and oth18 erwise authorized by law, use, to admin19 ister the methodologies and standards es20 tablished under clause (i)— 

21 ‘‘(I) publicly available informa22 tion; 

23 ‘‘(II) information available from 

24 the Automated Commercial System, 

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1 ment computer system, the Auto2 mated Targeting System, the Auto3 mated Export System, the Inter4 national Trade Data System, the 

5 TECS (formerly known as the ‘Treas6 ury Enforcement Communications 

7 System’), the case management sys8 tem of U.S. Immigration and Customs 

9 Enforcement, and any successor sys10 tems; and 

11 ‘‘(III) information made available 

12 to the Commercial Targeting Division, 

13 including information provided by pri14 vate sector entities. 

15 ‘‘(D) TRADE ALERTS.— 

16 ‘‘(i) ISSUANCE.—Based upon the ap17 plication of the targeted risk assessment 

18 methodologies and standards established 

19 under subparagraph (C), the Executive Di20 rector of the Commercial Targeting Divi21 sion and the Directors of the National 

22 Targeting and Analysis Groups may issue 

23 Trade Alerts to directors of United States 

24 ports of entry directing further inspection, 

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1 cific merchandise to ensure compliance 

2 with all applicable customs and trade laws 

3 and regulations administered by U.S. Cus4 toms and Border Protection. 

5 ‘‘(ii) DETERMINATIONS NOT TO IM6 PLEMENT TRADE ALERTS.—The director 

7 of a United States port of entry may deter8 mine not to conduct further inspections, or 

9 physical examination or testing, pursuant 

10 to a Trade Alert issued under clause (i) if 

11 the director— 

12 ‘‘(I) finds that such a determina13 tion is justified by security interests; 

14 and 

15 ‘‘(II) notifies the Assistant Com16 missioner of the Office of Field Oper17 ations and the Assistant Commis18 sioner of International Trade of U.S. 

19 Customs and Border Protection of the 

20 determination and the reasons for the 

21 determination not later than 48 hours 

22 after making the determination. 

23 ‘‘(iii) SUMMARY OF DETERMINATIONS

24 NOT TO IMPLEMENT.—The Assistant Com25 missioner of the Office of Field Operations 


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1 of U.S. Customs and Border Protection 

2 shall— 

3 ‘‘(I) compile an annual public 

4 summary of all determinations by di5 rectors of United States ports of entry 

6 under clause (ii) and the reasons for 

7 those determinations; 

8 ‘‘(II) conduct an evaluation of 

9 the utilization of Trade Alerts issued 

10 under clause (i); and 

11 ‘‘(III) submit the summary to the 

12 Committee on Finance of the Senate 

13 and the Committee on Ways and 

14 Means of the House of Representa15 tives not later than December 31 of 

16 each year. 

17 ‘‘(iv) INSPECTION DEFINED.—In this 

18 subparagraph, the term ‘inspection’ means 

19 the comprehensive evaluation process used 

20 by U.S. Customs and Border Protection, 

21 other than physical examination or testing, 

22 to permit the entry of merchandise into the 

23 United States, or the clearance of mer24 chandise for transportation in bond 


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1 through the United States, for purposes 

2 of— 

3 ‘‘(I) assessing duties; 

4 ‘‘(II) identifying restricted or 

5 prohibited items; and 

6 ‘‘(III) ensuring compliance with 

7 all applicable customs and trade laws 

8 and regulations administered by U.S. 

9 Customs and Border Protection.’’. 

10 (b) USE OF TRADE DATA FOR COMMERCIAL EN11 FORCEMENT PURPOSES.—Section 343(a)(3)(F) of the 

12 Trade Act of 2002 (19 U.S.C. 2071 note) is amended to 

13 read as follows: 

14 ‘‘(F) The information collected pursuant to 

15 the regulations shall be used exclusively for en16 suring cargo safety and security, preventing 

17 smuggling, and commercial risk assessment tar18 geting, and shall not be used for any commer19 cial enforcement purposes, including for deter20 mining merchandise entry. Notwithstanding the 

21 preceding sentence, nothing in this section shall 

22 be treated as amending, repealing, or otherwise 

23 modifying title IV of the Tariff Act of 1930 or 

24 regulations prescribed thereunder.’’. 


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1 SEC. 112. REPORT ON OVERSIGHT OF REVENUE PROTEC2 TION AND ENFORCEMENT MEASURES. 

3 (a) IN GENERAL.—Not later than March 31, 2016, 

4 and not later than March 31 of each second year there5 after, the Inspector General of the Department of the 

6 Treasury shall submit to the Committee on Finance of the 

7 Senate and the Committee on Ways and Means of the 

8 House of Representatives a report assessing, with respect 

9 to the period covered by the report, as specified in sub10 section (b), the following: 

11 (1) The effectiveness of the measures taken by 

12 U.S. Customs and Border Protection with respect to 

13 protection of revenue, including— 

14 (A) the collection of countervailing duties 

15 assessed under subtitle A of title VII of the 

16 Tariff Act of 1930 (19 U.S.C. 1671 et seq.) 

17 and antidumping duties assessed under subtitle 

18 B of title VII of the Tariff Act of 1930 (19 

19 U.S.C. 1673 et seq.); 

20 (B) the assessment, collection, and mitiga21 tion of commercial fines and penalties; 

22 (C) the use of bonds, including continuous 

23 and single transaction bonds, to secure that 

24 revenue; and 

25 (D) the adequacy of the policies of U.S. 

26 Customs and Border Protection with respect to 


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1 the monitoring and tracking of merchandise 

2 transported in bond and collecting duties, as 

3 appropriate. 

4 (2) The effectiveness of actions taken by U.S. 

5 Customs and Border Protection to measure account6 ability and performance with respect to protection of 

7 revenue. 

8 (3) The number and outcome of investigations 

9 instituted by U.S. Customs and Border Protection 

10 with respect to the underpayment of duties. 

11 (4) The effectiveness of training with respect to 

12 the collection of duties provided for personnel of 

13 U.S. Customs and Border Protection. 

14 (b) PERIOD COVERED BY REPORT.—Each report re15 quired by subsection (a) shall cover the period of 2 fiscal 

16 years ending on September 30 of the calendar year pre17 ceding the submission of the report. 

18 SEC. 113. REPORT ON SECURITY AND REVENUE MEASURES 

19 WITH RESPECT TO MERCHANDISE TRANS20 PORTED IN BOND. 

21 (a) IN GENERAL.—Not later than December 31 of 

22 2016, 2017, and 2018, the Secretary of Homeland Secu23 rity and the Secretary of the Treasury shall jointly submit 

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1 tives a report on efforts undertaken by U.S. Customs and 

2 Border Protection to ensure the secure transportation of 

3 merchandise in bond through the United States and the 

4 collection of revenue owed upon the entry of such mer5 chandise into the United States for consumption. 

6 (b) ELEMENTS.—Each report required by subsection 

7 (a) shall include, for the fiscal year preceding the submis8 sion of the report, information on— 

9 (1) the overall number of entries of merchan10 dise for transportation in bond through the United 

11 States; 

12 (2) the ports at which merchandise arrives in 

13 the United States for transportation in bond and at 

14 which records of the arrival of such merchandise are 

15 generated; 

16 (3) the average time taken to reconcile such 

17 records with the records at the final destination of 

18 the merchandise in the United States to demonstrate 

19 that the merchandise reaches its final destination or 

20 is reexported; 

21 (4) the average time taken to transport mer22 chandise in bond from the port at which the mer23 chandise arrives in the United States to its final des24 tination in the United States; 


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1 (5) the total amount of duties, taxes, and fees 

2 owed with respect to shipments of merchandise 

3 transported in bond and the total amount of such 

4 duties, taxes, and fees paid; 

5 (6) the total number of notifications by carriers 

6 of merchandise being transported in bond that the 

7 destination of the merchandise has changed; and 

8 (7) the number of entries that remain 

9 unreconciled. 

10 SEC. 114. IMPORTER OF RECORD PROGRAM. 

11 (a) ESTABLISHMENT.—Not later than the date that 

12 is 180 days after the date of the enactment of this Act, 

13 the Secretary of Homeland Security shall establish an im14 porter of record program to assign and maintain importer 

15 of record numbers. 

16 (b) REQUIREMENTS.—The Secretary shall ensure 

17 that, as part of the importer of record program, U.S. Cus18 toms and Border Protection— 

19 (1) develops criteria that importers must meet 

20 in order to obtain an importer of record number, in21 cluding— 

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1 porter requesting the importer of record num2 ber; 

3 (B) criteria to ensure sufficient informa4 tion is collected to allow U.S. Customs and Bor5 der Protection to identify linkages or other af6 filiations between importers that are requesting 

7 or have been assigned importer of record num8 bers; and 

9 (C) criteria to ensure sufficient informa10 tion is collected to allow U.S. Customs and Bor11 der Protection to identify changes in address 

12 and corporate structure of importers; 

13 (2) provides a process by which importers are 

14 assigned importer of record numbers; 

15 (3) maintains a centralized database of im16 porter of record numbers, including a history of im17 porter of record numbers associated with each im18 porter, and the information described in subpara19 graphs (A), (B), and (C) of paragraph (1); 

20 (4) evaluates and maintains the accuracy of the 

21 database if such information changes; and 

22 (5) takes measures to ensure that duplicate im23 porter of record numbers are not issued. 

24 (c) REPORT.—Not later than one year after the date 

25 of the enactment of this Act, the Secretary shall submit 


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1 to the Committee on Finance of the Senate and the Com2 mittee on Ways and Means of the House of Representa3 tives a report on the importer of record program estab4 lished under subsection (a). 

5 (d) NUMBER DEFINED.—In this subsection, the term 

6 ‘‘number’’, with respect to an importer of record, means 

7 a filing identification number described in section 24.5 of 

8 title 19, Code of Federal Regulations (or any cor9 responding similar regulation) that fully supports the re10 quirements of subsection (b) with respect to the collection 

11 and maintenance of information. 

12 SEC. 115. ESTABLISHMENT OF NEW IMPORTER PROGRAM. 

13 (a) IN GENERAL.—Not later than the date that is 

14 180 days after the date of the enactment of this Act, the 

15 Commissioner shall establish a new importer program that 

16 directs U.S. Customs and Border Protection to adjust 

17 bond amounts for new importers based on the level of risk 

18 assessed by U.S. Customs and Border Protection for pro19 tection of revenue of the Federal Government. 

20 (b) REQUIREMENTS.—The Commissioner shall en21 sure that, as part of the new importer program established 

22 under subsection (a), U.S. Customs and Border Protec23 tion— 


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1 (1) develops risk-based criteria for determining 

2 which importers are considered to be new importers 

3 for the purposes of this subsection; 

4 (2) develops risk assessment guidelines for new 

5 importers to determine if and to what extent— 

6 (A) to adjust bond amounts of imported 

7 products of new importers; and 

8 (B) to increase screening of imported prod9 ucts of new importers; 

10 (3) develops procedures to ensure increased 

11 oversight of imported products of new importers re12 lating to the enforcement of the priority trade issues 

13 described in paragraph (3)(B)(ii) of section 2(d) of 

14 the Act of March 3, 1927 (44 Stat. 1381, chapter 

15 348; 19 U.S.C. 2072(d)), as added by section 111(a) 

16 of this Act; 

17 (4) develops procedures to ensure increased 

18 oversight of imported products of new importers by 

19 Centers of Excellence and Expertise established 

20 under section 110 of this Act; and 

21 (5) establishes a centralized database of new 

22 importers to ensure accuracy of information that is 

23 required to be provided by new importers to U.S. 

24 Customs and Border Protection. 


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1 TITLE II—IMPORT HEALTH AND 

2 SAFETY 

3 SEC. 201. INTERAGENCY IMPORT SAFETY WORKING GROUP. 

4 (a) ESTABLISHMENT.—There is established an inter5 agency Import Safety Working Group. 

6 (b) MEMBERSHIP.—The interagency Import Safety 

7 Working Group shall consist of the following officials or 

8 their designees: 

9 (1) The Secretary of Homeland Security, who 

10 shall serve as the Chair. 

11 (2) The Secretary of Health and Human Serv12 ices, who shall serve as the Vice Chair. 

13 (3) The Secretary of the Treasury. 

14 (4) The Secretary of Commerce. 

15 (5) The Secretary of Agriculture. 

16 (6) The United States Trade Representative. 

17 (7) The Director of the Office of Management 

18 and Budget. 

19 (8) The Commissioner of Food and Drugs. 

20 (9) The Commissioner responsible for U.S. Cus21 toms and Border Protection. 

22 (10) The Chairman of the Consumer Product 

23 Safety Commission. 

24 (11) The Director of U.S. Immigration and 

25 Customs Enforcement. 


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1 (12) The head of any other Federal agency des2 ignated by the President to participate in the inter3 agency Import Safety Working Group, as appro4 priate. 

5 (c) DUTIES.—The duties of the interagency Import 

6 Safety Working Group shall include— 

7 (1) consulting on the development of the joint 

8 import safety rapid response plan required by sec9 tion 202 of this Act; 

10 (2) periodically evaluating the adequacy of the 

11 plans, practices, and resources of the Federal Gov12 ernment dedicated to ensuring the safety of mer13 chandise imported in the United States and the ex14 peditious entry of such merchandise, including— 

15 (A) minimizing the duplication of efforts 

16 among agencies the heads of which are mem17 bers of the interagency Import Safety Working 

18 Group and ensuring the compatibility of the 

19 policies and regulations of those agencies; and 

20 (B) recommending additional administra21 tive actions, as appropriate, designed to ensure 

22 the safety of merchandise imported into the 

23 United States and the expeditious entry of such 

24 merchandise and considering the impact of 

25 those actions on private sector entities; 


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1 (3) reviewing the engagement and cooperation 

2 of foreign governments and foreign manufacturers in 

3 facilitating the inspection and certification, as appro4 priate, of such merchandise to be imported into the 

5 United States and the facilities producing such mer6 chandise to ensure the safety of the merchandise 

7 and the expeditious entry of the merchandise into 

8 the United States; 

9 (4) identifying best practices, in consultation 

10 with private sector entities as appropriate, to assist 

11 United States importers in taking all appropriate 

12 steps to ensure the safety of merchandise imported 

13 into the United States, including with respect to— 

14 (A) the inspection of manufacturing facili15 ties in foreign countries; 

16 (B) the inspection of merchandise destined 

17 for the United States before exportation from a 

18 foreign country or before distribution in the 

19 United States; and 

20 (C) the protection of the international sup21 ply chain (as defined in section 2 of the Secu22 rity and Accountability For Every Port Act of 

23 2006 (6 U.S.C. 901)); 

24 (5) identifying best practices to assist Federal, 

25 State, and local governments and agencies, and port 


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1 authorities, to improve communication and coordina2 tion among such agencies and authorities with re3 spect to ensuring the safety of merchandise imported 

4 into the United States and the expeditious entry of 

5 such merchandise; and 

6 (6) otherwise identifying appropriate steps to 

7 increase the accountability of United States import8 ers and the engagement of foreign government agen9 cies with respect to ensuring the safety of merchan10 dise imported into the United States and the expedi11 tious entry of such merchandise. 

12 SEC. 202. JOINT IMPORT SAFETY RAPID RESPONSE PLAN. 

13 (a) IN GENERAL.—Not later than December 31, 

14 2016, the Secretary of Homeland Security, in consultation 

15 with the interagency Import Safety Working Group, shall 

16 develop a plan (to be known as the ‘‘joint import safety 

17 rapid response plan’’) that sets forth protocols and defines 

18 practices for U.S. Customs and Border Protection to 

19 use— 

20 (1) in taking action in response to, and coordi21 nating Federal responses to, an incident in which 

22 cargo destined for or merchandise entering the 

23 United States has been identified as posing a threat 

24 to the health or safety of consumers in the United 

25 States; and 


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1 (2) in recovering from or mitigating the effects 

2 of actions and responses to an incident described in 

3 paragraph (1). 

4 (b) CONTENTS.—The joint import safety rapid re5 sponse plan shall address— 

6 (1) the statutory and regulatory authorities and 

7 responsibilities of U.S. Customs and Border Protec8 tion and other Federal agencies in responding to an 

9 incident described in subsection (a)(1); 

10 (2) the protocols and practices to be used by 

11 U.S. Customs and Border Protection when taking 

12 action in response to, and coordinating Federal re13 sponses to, such an incident; 

14 (3) the measures to be taken by U.S. Customs 

15 and Border Protection and other Federal agencies in 

16 recovering from or mitigating the effects of actions 

17 taken in response to such an incident after the inci18 dent to ensure the resumption of the entry of mer19 chandise into the United States; and 

20 (4) exercises that U.S. Customs and Border 

21 Protection may conduct in conjunction with Federal, 

22 State, and local agencies, and private sector entities, 

23 to simulate responses to such an incident. 

24 (c) UPDATES OF PLAN.—The Secretary of Homeland 

25 Security shall review and update the joint import safety 


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1 rapid response plan, as appropriate, after conducting exer2 cises under subsection (d). 

3 (d) IMPORT HEALTH AND SAFETY EXERCISES.— 

4 (1) IN GENERAL.—The Secretary of Homeland 

5 Security and the Commissioner shall periodically en6 gage in the exercises referred to in subsection (b)(4), 

7 in conjunction with Federal, State, and local agen8 cies and private sector entities, as appropriate, to 

9 test and evaluate the protocols and practices identi10 fied in the joint import safety rapid response plan at 

11 United States ports of entry. 

12 (2) REQUIREMENTS FOR EXERCISES.—In con13 ducting exercises under paragraph (1), the Secretary 

14 and the Commissioner shall— 

15 (A) make allowance for the resources, 

16 needs, and constraints of United States ports of 

17 entry of different sizes in representative geo18 graphic locations across the United States; 

19 (B) base evaluations on current risk as20 sessments of merchandise entering the United 

21 States at representative United States ports of 

22 entry located across the United States; 

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1 tional Response Plan, the National Infrastruc2 ture Protection Plan, the National Prepared3 ness Guidelines, the Maritime Transportation 

4 System Security Plan, and other such national 

5 initiatives of the Department of Homeland Se6 curity, as appropriate; and 

7 (D) develop metrics with respect to the re8 sumption of the entry of merchandise into the 

9 United States after an incident described in 

10 subsection (a)(1). 

11 (3) REQUIREMENTS FOR TESTING AND EVALUA12 TION.—The Secretary and the Commissioner shall 

13 ensure that the testing and evaluation carried out in 

14 conducting exercises under paragraph (1)— 

15 (A) are performed using clear and objec16 tive performance measures; and 

17 (B) result in the identification of specific 

18 recommendations or best practices for respond19 ing to an incident described in subsection 

20 (a)(1). 

21 (4) DISSEMINATION OF RECOMMENDATIONS

22 AND BEST PRACTICES.—The Secretary and the 

23 Commissioner shall— 

24 (A) share the recommendations or best 

25 practices identified under paragraph (3)(B) 


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1 among the members of the interagency Import 

2 Safety Working Group and with, as appro3 priate— 

4 (i) State, local, and tribal govern5 ments; 

6 (ii) foreign governments; and 

7 (iii) private sector entities; and 

8 (B) use such recommendations and best 

9 practices to update the joint import safety rapid 

10 response plan. 

11 SEC. 203. TRAINING. 

12 The Commissioner shall ensure that personnel of 

13 U.S. Customs and Border Protection assigned to United 

14 States ports of entry are trained to effectively administer 

15 the provisions of this title and to otherwise assist in ensur16 ing the safety of merchandise imported into the United 

17 States and the expeditious entry of such merchandise. 

18 TITLE III—IMPORT-RELATED 

19 PROTECTION OF INTELLEC20 TUAL PROPERTY RIGHTS 

21 SEC. 301. DEFINITION OF INTELLECTUAL PROPERTY 

22 RIGHTS. 

23 In this title, the term ‘‘intellectual property rights’’ 

24 refers to copyrights, trademarks, and other forms of intel25 lectual property rights that are enforced by U.S. Customs 


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1 and Border Protection or U.S. Immigration and Customs 

2 Enforcement. 

3 SEC. 302. EXCHANGE OF INFORMATION RELATED TO 

4 TRADE ENFORCEMENT. 

5 (a) IN GENERAL.—The Tariff Act of 1930 is amend6 ed by inserting after section 628 (19 U.S.C. 1628) the 

7 following new section: 

8 ‘‘SEC. 628A. EXCHANGE OF INFORMATION RELATED TO 

9 TRADE ENFORCEMENT. 

10 ‘‘(a) IN GENERAL.—Subject to subsections (c) and 

11 (d), if the Commissioner responsible for U.S. Customs and 

12 Border Protection suspects that merchandise is being im13 ported into the United States in violation of section 526 

14 of this Act or section 602, 1201(a)(2), or 1201(b)(1) of 

15 title 17, United States Code, and determines that the ex16 amination or testing of the merchandise by a person de17 scribed in subsection (b) would assist the Commissioner 

18 in determining if the merchandise is being imported in vio19 lation of that section, the Commissioner, to permit the 

20 person to conduct the examination and testing— 

21 ‘‘(1) shall provide to the person information 

22 that appears on the merchandise and its packaging 

23 and labels, including unredacted images of the mer24 chandise and its packaging and labels; and 


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1 ‘‘(2) may, subject to any applicable bonding re2 quirements, provide to the person unredacted sam3 ples of the merchandise. 

4 ‘‘(b) PERSON DESCRIBED.—A person described in 

5 this subsection is— 

6 ‘‘(1) in the case of merchandise suspected of 

7 being imported in violation of section 526, the owner 

8 of the trademark suspected of being copied or simu9 lated by the merchandise; 

10 ‘‘(2) in the case of merchandise suspected of 

11 being imported in violation of section 602 of title 17, 

12 United States Code, the owner of the copyright sus13 pected of being infringed by the merchandise; 

14 ‘‘(3) in the case of merchandise suspected of 

15 being primarily designed or produced for the pur16 pose of circumventing a technological measure that 

17 effectively controls access to a work protected under 

18 that title, and being imported in violation of section 

19 1201(a)(2) of that title, the owner of a copyright in 

20 the work; and 

21 ‘‘(4) in the case of merchandise suspected of 

22 being primarily designed or produced for the pur23 pose of circumventing protection afforded by a tech24 nological measure that effectively protects a right of 

25 an owner of a copyright in a work or a portion of 


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1 a work, and being imported in violation of section 

2 1201(b)(1) of that title, the owner of the copyright. 

3 ‘‘(c) LIMITATION.—Subsection (a) applies only with 

4 respect to merchandise suspected of infringing a trade5 mark or copyright that is recorded with U.S. Customs and 

6 Border Protection. 

7 ‘‘(d) EXCEPTION.—The Commissioner may not pro8 vide under subsection (a) information, photographs, or 

9 samples to a person described in subsection (b) if pro10 viding such information, photographs, or samples would 

11 compromise an ongoing law enforcement investigation or 

12 national security.’’. 

13 (b) TERMINATION OF PREVIOUS AUTHORITY.—Not14 withstanding paragraph (2) of section 818(g) of Public 

15 Law 112–81 (125 Stat. 1496), paragraph (1) of that sec16 tion shall have no force or effect on or after the date of 

17 the enactment of this Act. 

18 SEC. 303. SEIZURE OF CIRCUMVENTION DEVICES. 

19 (a) IN GENERAL.—Section 596(c)(2) of the Tariff 

20 Act of 1930 (19 U.S.C. 1595a(c)(2)) is amended— 

21 (1) in subparagraph (E), by striking ‘‘or’’; 

22 (2) in subparagraph (F), by striking the period 

23 and inserting ‘‘; or’’; and 

24 (3) by adding at the end the following: 


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1 ‘‘(G) U.S. Customs and Border Protection 

2 determines it is a technology, product, service, 

3 device, component, or part thereof the importa4 tion of which is prohibited under subsection 

5 (a)(2) or (b)(1) of section 1201 of title 17, 

6 United States Code.’’. 

7 (b) NOTIFICATION OF PERSONS INJURED.— 

8 (1) IN GENERAL.—Not later than the date that 

9 is 30 business days after seizing merchandise pursu10 ant to subparagraph (G) of section 596(c)(2) of the 

11 Tariff Act of 1930, as added by subsection (a), the 

12 Commissioner shall provide to any person identified 

13 under paragraph (2) information regarding the mer14 chandise seized that is equivalent to information 

15 provided to copyright owners under regulations of 

16 U.S. Customs and Border Protection for merchan17 dise seized for violation of the copyright laws. 

18 (2) PERSONS TO BE PROVIDED INFORMA19 TION.—Any person injured by the violation of (a)(2) 

20 or (b)(1) of section 1201 of title 17, United States 

21 Code, that resulted in the seizure of the merchandise 

22 shall be provided information under paragraph (1), 

23 if that person is included on a list maintained by the 

24 Commissioner that is revised annually through publi25 cation in the Federal Register. 


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1 (3) REGULATIONS.—Not later than one year 

2 after the date of the enactment of this Act, the Sec3 retary of the Treasury shall prescribe regulations es4 tablishing procedures that implement this sub5 section. 

6 SEC. 304. ENFORCEMENT BY U.S. CUSTOMS AND BORDER 

7 PROTECTION OF WORKS FOR WHICH COPY8 RIGHT REGISTRATION IS PENDING. 

9 Not later than the date that is 180 days after the 

10 date of the enactment of this Act, the Secretary of Home11 land Security shall authorize a process pursuant to which 

12 the Commissioner shall enforce a copyright for which the 

13 owner has submitted an application for registration under 

14 title 17, United States Code, with the United States Copy15 right Office, to the same extent and in the same manner 

16 as if the copyright were registered with the Copyright Of17 fice, including by sharing information, images, and sam18 ples of merchandise suspected of infringing the copyright 

19 under section 628A of the Tariff Act of 1930, as added 

20 by section 302. 

21 SEC. 305. NATIONAL INTELLECTUAL PROPERTY RIGHTS 

22 COORDINATION CENTER. 

23 (a) ESTABLISHMENT.—The Secretary of Homeland 

24 Security shall— 


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1 (1) establish within U.S. Immigration and Cus2 toms Enforcement a National Intellectual Property 

3 Rights Coordination Center; and 

4 (2) appoint an Assistant Director to head the 

5 National Intellectual Property Rights Coordination 

6 Center. 

7 (b) DUTIES.—The Assistant Director of the National 

8 Intellectual Property Rights Coordination Center shall— 

9 (1) coordinate the investigation of sources of 

10 merchandise that infringe intellectual property rights 

11 to identify organizations and individuals that 

12 produce, smuggle, or distribute such merchandise; 

13 (2) conduct and coordinate training with other 

14 domestic and international law enforcement agencies 

15 on investigative best practices— 

16 (A) to develop and expand the capability of 

17 such agencies to enforce intellectual property 

18 rights; and 

19 (B) to develop metrics to assess whether 

20 the training improved enforcement of intellec21 tual property rights; 

22 (3) coordinate, with U.S. Customs and Border 

23 Protection, activities conducted by the United States 

24 to prevent the importation or exportation of mer25 chandise that infringes intellectual property rights; 


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1 (4) support the international interdiction of 

2 merchandise destined for the United States that in3 fringes intellectual property rights; 

4 (5) collect and integrate information regarding 

5 infringement of intellectual property rights from do6 mestic and international law enforcement agencies 

7 and other non-Federal sources; 

8 (6) develop a means to receive and organize in9 formation regarding infringement of intellectual 

10 property rights from such agencies and other 

11 sources; 

12 (7) disseminate information regarding infringe13 ment of intellectual property rights to other Federal 

14 agencies, as appropriate; 

15 (8) develop and implement risk-based alert sys16 tems, in coordination with U.S. Customs and Border 

17 Protection, to improve the targeting of persons that 

18 repeatedly infringe intellectual property rights; 

19 (9) coordinate with the offices of United States 

20 attorneys in order to develop expertise in, and assist 

21 with the investigation and prosecution of, crimes re22 lating to the infringement of intellectual property 

23 rights; and 

24 (10) carry out such other duties as the Sec25 retary of Homeland Security may assign. 


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1 (c) COORDINATION WITH OTHER AGENCIES.—In 

2 carrying out the duties described in subsection (b), the As3 sistant Director of the National Intellectual Property 

4 Rights Coordination Center shall coordinate with— 

5 (1) U.S. Customs and Border Protection; 

6 (2) the Food and Drug Administration; 

7 (3) the Department of Justice; 

8 (4) the Department of Commerce, including the 

9 United States Patent and Trademark Office; 

10 (5) the United States Postal Inspection Service; 

11 (6) the Office of the United States Trade Rep12 resentative; 

13 (7) any Federal, State, local, or international 

14 law enforcement agencies that the Director of U.S. 

15 Immigration and Customs Enforcement considers 

16 appropriate; and 

17 (8) any other entities that the Director con18 siders appropriate. 

19 (d) PRIVATE SECTOR OUTREACH.— 

20 (1) IN GENERAL.—The Assistant Director of 

21 the National Intellectual Property Rights Coordina22 tion Center shall work with U.S. Customs and Bor23 der Protection and other Federal agencies to con24 duct outreach to private sector entities in order to 


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1 determine trends in and methods of infringing intel2 lectual property rights. 

3 (2) INFORMATION SHARING.—The Assistant Di4 rector shall share information and best practices 

5 with respect to the enforcement of intellectual prop6 erty rights with private sector entities, as appro7 priate, in order to coordinate public and private sec8 tor efforts to combat the infringement of intellectual 

9 property rights. 

10 SEC. 306. JOINT STRATEGIC PLAN FOR THE ENFORCEMENT 

11 OF INTELLECTUAL PROPERTY RIGHTS. 

12 The Commissioner and the Director of U.S. Immigra13 tion and Customs Enforcement shall include in the joint 

14 strategic plan required by section 105 of this Act— 

15 (1) a description of the efforts of the Depart16 ment of Homeland Security to enforce intellectual 

17 property rights; 

18 (2) a list of the 10 United States ports of entry 

19 at which U.S. Customs and Border Protection has 

20 seized the most merchandise, both by volume and by 

21 value, that infringes intellectual property rights dur22 ing the most recent 2-year period for which data are 

23 available; and 

24 (3) a recommendation for the optimal allocation 

25 of personnel, resources, and technology to ensure 


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1 that U.S. Customs and Border Protection and U.S. 

2 Immigration and Customs Enforcement are ade3 quately enforcing intellectual property rights. 

4 SEC. 307. PERSONNEL DEDICATED TO THE ENFORCEMENT 

5 OF INTELLECTUAL PROPERTY RIGHTS. 

6 (a) PERSONNEL OF U.S. CUSTOMS AND BORDER

7 PROTECTION.—The Commissioner and the Director of 

8 U.S. Immigration and Customs Enforcement shall ensure 

9 that sufficient personnel are assigned throughout U.S. 

10 Customs and Border Protection and U.S. Immigration 

11 and Customs Enforcement, respectively, who have respon12 sibility for preventing the importation into the United 

13 States of merchandise that infringes intellectual property 

14 rights. 

15 (b) STAFFING OF NATIONAL INTELLECTUAL PROP16 ERTY RIGHTS COORDINATION CENTER.—The Commis17 sioner shall— 

18 (1) assign not fewer than 3 full-time employees 

19 of U.S. Customs and Border Protection to the Na20 tional Intellectual Property Rights Coordination 

21 Center established under section 305 of this Act; 

22 and 

23 (2) ensure that sufficient personnel are as24 signed to United States ports of entry to carry out 

25 the directives of the Center. 


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1 SEC. 308. TRAINING WITH RESPECT TO THE ENFORCEMENT 

2 OF INTELLECTUAL PROPERTY RIGHTS. 

3 (a) TRAINING.—The Commissioner shall ensure that 

4 officers of U.S. Customs and Border Protection are 

5 trained to effectively detect and identify merchandise des6 tined for the United States that infringes intellectual 

7 property rights, including through the use of technologies 

8 identified under subsection (c). 

9 (b) CONSULTATION WITH PRIVATE SECTOR.—The 

10 Commissioner shall consult with private sector entities to 

11 better identify opportunities for collaboration between 

12 U.S. Customs and Border Protection and such entities 

13 with respect to training for officers of U.S. Customs and 

14 Border Protection in enforcing intellectual property rights. 

15 (c) IDENTIFICATION OF NEW TECHNOLOGIES.—In 

16 consultation with private sector entities, the Commissioner 

17 shall identify— 

18 (1) technologies with the cost-effective capa19 bility to detect and identify merchandise at United 

20 States ports of entry that infringes intellectual prop21 erty rights; and 

22 (2) cost-effective programs for training officers 

23 of U.S. Customs and Border Protection to use such 

24 technologies. 

25 (d) DONATIONS OF TECHNOLOGY.—Not later than 

26 the date that is 180 days after the date of the enactment 


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1 of this Act, the Commissioner shall prescribe regulations 

2 to enable U.S. Customs and Border Protection to receive 

3 donations of hardware, software, equipment, and similar 

4 technologies, and to accept training and other support 

5 services, from private sector entities, for the purpose of 

6 enforcing intellectual property rights. 

7 SEC. 309. INTERNATIONAL COOPERATION AND INFORMA8 TION SHARING. 

9 (a) COOPERATION.—The Secretary of Homeland Se10 curity shall coordinate with the competent law enforce11 ment and customs authorities of foreign countries, includ12 ing by sharing information relevant to enforcement ac13 tions, to enhance the efforts of the United States and such 

14 authorities to enforce intellectual property rights. 

15 (b) TECHNICAL ASSISTANCE.—The Secretary of 

16 Homeland Security shall provide technical assistance to 

17 competent law enforcement and customs authorities of for18 eign countries to enhance the ability of such authorities 

19 to enforce intellectual property rights. 

20 (c) INTERAGENCY COLLABORATION.—The Commis21 sioner and the Director of U.S. Immigration and Customs 

22 Enforcement shall lead interagency efforts to collaborate 

23 with law enforcement and customs authorities of foreign 

24 countries to enforce intellectual property rights. 


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1 SEC. 310. REPORT ON INTELLECTUAL PROPERTY RIGHTS 

2 ENFORCEMENT. 

3 Not later than June 30, 2016, and annually there4 after, the Commissioner and the Director of U.S. Immi5 gration and Customs Enforcement shall jointly submit to 

6 the Committee on Finance of the Senate and the Com7 mittee on Ways and Means of the House of Representa8 tives a report that contains the following: 

9 (1) With respect to the enforcement of intellec10 tual property rights, the following: 

11 (A) The number of referrals from U.S. 

12 Customs and Border Protection to U.S. Immi13 gration and Customs Enforcement relating to 

14 infringement of intellectual property rights dur15 ing the preceding year. 

16 (B) The number of investigations relating 

17 to the infringement of intellectual property 

18 rights referred by U.S. Immigration and Cus19 toms Enforcement to a United States attorney 

20 for prosecution and the United States attorneys 

21 to which those investigations were referred. 

22 (C) The number of such investigations ac23 cepted by each such United States attorney and 

24 the status or outcome of each such investiga25 tion. 


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1 (D) The number of such investigations 

2 that resulted in the imposition of civil or crimi3 nal penalties. 

4 (E) A description of the efforts of U.S. 

5 Customs and Border Protection and U.S. Immi6 gration and Customs Enforcement to improve 

7 the success rates of investigations and prosecu8 tions relating to the infringement of intellectual 

9 property rights. 

10 (2) An estimate of the average time required by 

11 the Office of International Trade of U.S. Customs 

12 and Border Protection to respond to a request from 

13 port personnel for advice with respect to whether 

14 merchandise detained by U.S. Customs and Border 

15 Protection infringed intellectual property rights, dis16 tinguished by types of intellectual property rights in17 fringed. 

18 (3) A summary of the outreach efforts of U.S. 

19 Customs and Border Protection and U.S. Immigra20 tion and Customs Enforcement with respect to— 

21 (A) the interdiction and investigation of, 

22 and the sharing of information between those 

23 agencies and other Federal agencies to prevent 

24 the infringement of intellectual property rights; 


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1 (B) collaboration with private sector enti2 ties— 

3 (i) to identify trends in the infringe4 ment of, and technologies that infringe, in5 tellectual property rights; 

6 (ii) to identify opportunities for en7 hanced training of officers of U.S. Cus8 toms and Border Protection and U.S. Im9 migration and Customs Enforcement; and 

10 (iii) to develop best practices to en11 force intellectual property rights; and 

12 (C) coordination with foreign governments 

13 and international organizations with respect to 

14 the enforcement of intellectual property rights. 

15 (4) A summary of the efforts of U.S. Customs 

16 and Border Protection and U.S. Immigration and 

17 Customs Enforcement to address the challenges with 

18 respect to the enforcement of intellectual property 

19 rights presented by Internet commerce and the tran20 sit of small packages and an identification of the 

21 volume, value, and type of merchandise seized for in22 fringing intellectual property rights as a result of 

23 such efforts. 

24 (5) A summary of training relating to the en25 forcement of intellectual property rights conducted 


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1 under section 308 of this Act and expenditures for 

2 such training. 

3 SEC. 311. INFORMATION FOR TRAVELERS REGARDING VIO4 LATIONS OF INTELLECTUAL PROPERTY 

5 RIGHTS. 

6 (a) IN GENERAL.—The Secretary of Homeland Secu7 rity shall develop and carry out an educational campaign 

8 to inform travelers entering or leaving the United States 

9 about the legal, economic, and public health and safety 

10 implications of acquiring merchandise that infringes intel11 lectual property rights outside the United States and im12 porting such merchandise into the United States in viola13 tion of United States law. 

14 (b) DECLARATION FORMS.—The Commissioner shall 

15 ensure that all versions of Declaration Form 6059B of 

16 U.S. Customs and Border Protection, or a successor form, 

17 including any electronic equivalent of Declaration Form 

18 6059B or a successor form, printed or displayed on or 

19 after the date that is 30 days after the date of the enact20 ment of this Act include a written warning to inform trav21 elers arriving in the United States that importation of 

22 merchandise into the United States that infringes intellec23 tual property rights may subject travelers to civil or crimi24 nal penalties and may pose serious risks to safety or 

25 health. 


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1 TITLE IV—EVASION OF ANTI2 DUMPING AND COUNTER3 VAILING DUTY ORDERS 

4 SEC. 401. SHORT TITLE. 

5 This title may be cited as the ‘‘Enforcing Orders and 

6 Reducing Customs Evasion Act of 2015’’. 

7 SEC. 402. PROCEDURES FOR INVESTIGATING CLAIMS OF 

8 EVASION OF ANTIDUMPING AND COUNTER9 VAILING DUTY ORDERS. 

10 (a) IN GENERAL.—The Tariff Act of 1930 is amend11 ed by inserting after section 516A (19 U.S.C. 1516a) the 

12 following: 

13 ‘‘SEC. 517. PROCEDURES FOR INVESTIGATING CLAIMS OF 

14 EVASION OF ANTIDUMPING AND COUNTER15 VAILING DUTY ORDERS. 

16 ‘‘(a) DEFINITIONS.—In this section: 

17 ‘‘(1) ADMINISTERING AUTHORITY.—The term 

18 ‘administering authority’ has the meaning given that 

19 term in section 771(1). 

20 ‘‘(2) COMMISSIONER.—The term ‘Commis21 sioner’ means the Commissioner responsible for U.S. 

22 Customs and Border Protection, acting pursuant to 

23 the delegation by the Secretary of the Treasury of 

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1 toms revenue functions (as defined in section 415 of 

2 the Homeland Security Act of 2002 (6 U.S.C. 215)). 

3 ‘‘(3) COVERED MERCHANDISE.—The term ‘cov4 ered merchandise’ means merchandise that is subject 

5 to— 

6 ‘‘(A) an antidumping duty order issued 

7 under section 736; 

8 ‘‘(B) a finding issued under the Anti9 dumping Act, 1921; or 

10 ‘‘(C) a countervailing duty order issued 

11 under section 706. 

12 ‘‘(4) ENTER; ENTRY.—The terms ‘enter’ and 

13 ‘entry’ refer to the entry, or withdrawal from ware14 house for consumption, of merchandise in the cus15 toms territory of the United States. 

16 ‘‘(5) EVASION.— 

17 ‘‘(A) IN GENERAL.—Except as provided in 

18 subparagraph (B), the term ‘evasion’ refers to 

19 entering covered merchandise into the customs 

20 territory of the United States by means of any 

21 document or electronically transmitted data or 

22 information, written or oral statement, or act 

23 that is material and false, or any omission that 

24 is material, and that results in any cash deposit 

25 or other security or any amount of applicable 


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1 antidumping or countervailing duties being re2 duced or not being applied with respect to the 

3 merchandise. 

4 ‘‘(B) EXCEPTION FOR CLERICAL ERROR.— 

5 ‘‘(i) IN GENERAL.—Except as pro6 vided in clause (ii), the term ‘evasion’ does 

7 not include entering covered merchandise 

8 into the customs territory of the United 

9 States by means of— 

10 ‘‘(I) a document or electronically 

11 transmitted data or information, writ12 ten or oral statement, or act that is 

13 false as a result of a clerical error; or 

14 ‘‘(II) an omission that results 

15 from a clerical error. 

16 ‘‘(ii) PATTERNS OF NEGLIGENT CON17 DUCT.—If the Commissioner determines 

18 that a person has entered covered mer19 chandise into the customs territory of the 

20 United States by means of a clerical error 

21 referred to in subclause (I) or (II) of 

22 clause (i) and that the clerical error is part 

23 of a pattern of negligent conduct on the 

24 part of that person, the Commissioner may 

25 determine, notwithstanding clause (i), that 


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1 the person has entered such covered mer2 chandise into the customs territory of the 

3 United States through evasion. 

4 ‘‘(iii) ELECTRONIC REPETITION OF

5 ERRORS.—For purposes of clause (ii), the 

6 mere nonintentional repetition by an elec7 tronic system of an initial clerical error 

8 does not constitute a pattern of negligent 

9 conduct. 

10 ‘‘(iv) RULE OF CONSTRUCTION.—A 

11 determination by the Commissioner that a 

12 person has entered covered merchandise 

13 into the customs territory of the United 

14 States by means of a clerical error referred 

15 to in subclause (I) or (II) of clause (i) 

16 rather than through evasion shall not be 

17 construed to excuse that person from the 

18 payment of any duties applicable to the 

19 merchandise. 

20 ‘‘(6) INTERESTED PARTY.— 

21 ‘‘(A) IN GENERAL.—The term ‘interested 

22 party’ means— 

23 ‘‘(i) a manufacturer, producer, or 

24 wholesaler in the United States of a do25 mestic like product; 


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1 ‘‘(ii) a certified union or recognized 

2 union or group of workers that is rep3 resentative of an industry engaged in the 

4 manufacture, production, or wholesale in 

5 the United States of a domestic like prod6 uct; 

7 ‘‘(iii) a trade or business association a 

8 majority of whose members manufacture, 

9 produce, or wholesale a domestic like prod10 uct in the United States; 

11 ‘‘(iv) an association, a majority of 

12 whose members is composed of interested 

13 parties described in clause (i), (ii), or (iii) 

14 with respect to a domestic like product; 

15 and 

16 ‘‘(v) if the covered merchandise is a 

17 processed agricultural product, as defined 

18 in section 771(4)(E), a coalition or trade 

19 association that is representative of ei20 ther— 

21 ‘‘(I) processors; 

22 ‘‘(II) processors and producers; 

23 or 

24 ‘‘(III) processors and growers, 


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1 but this clause shall cease to have effect if 

2 the United States Trade Representative 

3 notifies the administering authority and 

4 the Commission that the application of this 

5 clause is inconsistent with the international 

6 obligations of the United States. 

7 ‘‘(B) DOMESTIC LIKE PRODUCT.—For pur8 poses of subparagraph (A), the term ‘domestic 

9 like product’ means a product that is like, or in 

10 the absence of like, most similar in characteris11 tics and uses with, covered merchandise. 

12 ‘‘(b) INVESTIGATIONS.— 

13 ‘‘(1) IN GENERAL.—Not later than 10 business 

14 days after receiving an allegation described in para15 graph (2) or a referral described in paragraph (3), 

16 the Commissioner shall initiate an investigation if 

17 the Commissioner determines that the information 

18 provided in the allegation or the referral, as the case 

19 may be, reasonably suggests that covered merchan20 dise has been entered into the customs territory of 

21 the United States through evasion. 

22 ‘‘(2) ALLEGATION DESCRIBED.—An allegation 

23 described in this paragraph is an allegation that a 

24 person has entered covered merchandise into the 


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1 customs territory of the United States through eva2 sion that is— 

3 ‘‘(A) filed with the Commissioner by an in4 terested party; and 

5 ‘‘(B) accompanied by information reason6 ably available to the party that filed the allega7 tion. 

8 ‘‘(3) REFERRAL DESCRIBED.—A referral de9 scribed in this paragraph is information submitted 

10 to the Commissioner by any other Federal agency, 

11 including the Department of Commerce or the 

12 United States International Trade Commission, that 

13 reasonably suggests that a person has entered cov14 ered merchandise into the customs territory of the 

15 United States through evasion. 

16 ‘‘(4) CONSOLIDATION OF ALLEGATIONS AND

17 REFERRALS.— 

18 ‘‘(A) IN GENERAL.—The Commissioner 

19 may consolidate multiple allegations described 

20 in paragraph (2) and referrals described in 

21 paragraph (3) into a single investigation if the 

22 Commissioner determines it is appropriate to do 

23 so. 

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1 tiple allegations or referrals into a single inves2 tigation under subparagraph (A), the date on 

3 which the Commissioner receives the first such 

4 allegation or referral shall be used for purposes 

5 of the requirement under paragraph (1) with 

6 respect to the timing of the initiation of the in7 vestigation. 

8 ‘‘(5) INFORMATION-SHARING TO PROTECT

9 HEALTH AND SAFETY.—If, during the course of con10 ducting an investigation under paragraph (1) with 

11 respect to covered merchandise, the Commissioner 

12 has reason to suspect that such covered merchandise 

13 may pose a health or safety risk to consumers, the 

14 Commissioner shall provide, as appropriate, informa15 tion to the appropriate Federal agencies for pur16 poses of mitigating the risk. 

17 ‘‘(6) TECHNICAL ASSISTANCE AND ADVICE.— 

18 ‘‘(A) IN GENERAL.—Upon request, the 

19 Commissioner shall provide technical assistance 

20 and advice to eligible small businesses to enable 

21 such businesses to prepare and submit allega22 tions described in paragraph (2), except that 

23 the Commissioner may deny assistance if the 

24 Commissioner concludes that the allegation, if 

25 submitted, would not lead to the initiation of an 


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1 investigation under this subsection or any other 

2 action to address the allegation. 

3 ‘‘(B) ELIGIBLE SMALL BUSINESS DE4 FINED.— 

5 ‘‘(i) IN GENERAL.—In this paragraph, 

6 the term ‘eligible small business’ means 

7 any business concern that the Commis8 sioner determines, due to its small size, 

9 has neither adequate internal resources nor 

10 the financial ability to obtain qualified out11 side assistance in preparing and filing alle12 gations described in paragraph (2). 

13 ‘‘(ii) NON-REVIEWABILITY.—The de14 termination of the Commissioner regarding 

15 whether a business concern is an eligible 

16 small business for purposes of this para17 graph is not reviewable by any other agen18 cy or by any court. 

19 ‘‘(c) DETERMINATIONS.— 

20 ‘‘(1) IN GENERAL.—Not later than 270 cal21 endar days after the date on which the Commis22 sioner initiates an investigation under subsection (b) 

23 with respect to covered merchandise, the Commis24 sioner shall make a determination, based on sub25 stantial evidence, with respect to whether such covVerDate Sep 11 2014 23:07 May 11, 2015 Jkt 049200 PO 00000 Frm 00092 Fmt 6652 Sfmt 6201 E:\BILLS\S1269.PCS S1269

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1 ered merchandise was entered into the customs terri2 tory of the United States through evasion. 

3 ‘‘(2) AUTHORITY TO COLLECT AND VERIFY AD4 DITIONAL INFORMATION.—In making a determina5 tion under paragraph (1) with respect to covered 

6 merchandise, the Commissioner may collect such ad7 ditional information as is necessary to make the de8 termination through such methods as the Commis9 sioner considers appropriate, including by— 

10 ‘‘(A) issuing a questionnaire with respect 

11 to such covered merchandise to— 

12 ‘‘(i) an interested party that filed an 

13 allegation under paragraph (2) of sub14 section (b) that resulted in the initiation of 

15 an investigation under paragraph (1) of 

16 that subsection with respect to such cov17 ered merchandise; 

18 ‘‘(ii) a person alleged to have entered 

19 such covered merchandise into the customs 

20 territory of the United States through eva21 sion; 

22 ‘‘(iii) a person that is a foreign pro23 ducer or exporter of such covered merchan24 dise; or 


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1 ‘‘(iv) the government of a country 

2 from which such covered merchandise was 

3 exported; and 

4 ‘‘(B) conducting verifications, including on5 site verifications, of any relevant information. 

6 ‘‘(3) ADVERSE INFERENCE.—If the Commis7 sioner finds that a party or person described in 

8 clause (i), (ii), or (iii) of paragraph (2)(A) has failed 

9 to cooperate by not acting to the best of the party 

10 or person’s ability to comply with a request for in11 formation, the Commissioner may, in making a de12 termination under paragraph (1), use an inference 

13 that is adverse to the interests of that party or per14 son in selecting from among the facts otherwise 

15 available to make the determination. 

16 ‘‘(4) NOTIFICATION.—Not later than 5 business 

17 days after making a determination under paragraph 

18 (1) with respect to covered merchandise, the Com19 missioner— 

20 ‘‘(A) shall provide to each interested party 

21 that filed an allegation under paragraph (2) of 

22 subsection (b) that resulted in the initiation of 

23 an investigation under paragraph (1) of that 

24 subsection with respect to such covered mer25 chandise a notification of the determination and 


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1 may, in addition, include an explanation of the 

2 basis for the determination; and 

3 ‘‘(B) may provide to importers, in such 

4 manner as the Commissioner determines appro5 priate, information discovered in the investiga6 tion that the Commissioner determines will help 

7 educate importers with respect to importing 

8 merchandise into the customs territory of the 

9 United States in accordance with all applicable 

10 laws and regulations. 

11 ‘‘(d) EFFECT OF DETERMINATIONS.— 

12 ‘‘(1) IN GENERAL.—If the Commissioner makes 

13 a determination under subsection (c) that covered 

14 merchandise was entered into the customs territory 

15 of the United States through evasion, the Commis16 sioner shall— 

17 ‘‘(A)(i) suspend the liquidation of unliqui18 dated entries of such covered merchandise that 

19 are subject to the determination and that enter 

20 on or after the date of the initiation of the in21 vestigation under subsection (b) with respect to 

22 such covered merchandise and on or before the 

23 date of the determination; or 

24 ‘‘(ii) if the Commissioner has already sus25 pended the liquidation of such entries pursuant 


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1 to subsection (e)(1), continue to suspend the 

2 liquidation of such entries; 

3 ‘‘(B) pursuant to the Commissioner’s au4 thority under section 504(b)— 

5 ‘‘(i) extend the period for liquidating 

6 unliquidated entries of such covered mer7 chandise that are subject to the determina8 tion and that entered before the date of 

9 the initiation of the investigation; or 

10 ‘‘(ii) if the Commissioner has already 

11 extended the period for liquidating such 

12 entries pursuant to subsection (e)(1), con13 tinue to extend the period for liquidating 

14 such entries; 

15 ‘‘(C) notify the administering authority of 

16 the determination and request that the admin17 istering authority— 

18 ‘‘(i) identify the applicable anti19 dumping or countervailing duty assessment 

20 rates for entries described in subpara21 graphs (A) and (B); or 

22 ‘‘(ii) if no such assessment rate for 

23 such an entry is available at the time, 

24 identify the applicable cash deposit rate to 

25 be applied to the entry, with the applicable 


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1 antidumping or countervailing duty assess2 ment rate to be provided as soon as that 

3 rate becomes available; 

4 ‘‘(D) require the posting of cash deposits 

5 and assess duties on entries described in sub6 paragraphs (A) and (B) in accordance with the 

7 instructions received from the administering au8 thority under paragraph (2); and 

9 ‘‘(E) take such additional enforcement 

10 measures as the Commissioner determines ap11 propriate, such as— 

12 ‘‘(i) initiating proceedings under sec13 tion 592 or 596; 

14 ‘‘(ii) implementing, in consultation 

15 with the relevant Federal agencies, rule 

16 sets or modifications to rules sets for iden17 tifying, particularly through the Auto18 mated Targeting System and the Auto19 mated Commercial Environment author20 ized under section 13031(f) of the Consoli21 dated Omnibus Budget Reconciliation Act 

22 of 1985 (19 U.S.C. 58c(f)), importers, 

23 other parties, and merchandise that may 

24 be associated with evasion; 


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1 ‘‘(iii) requiring, with respect to mer2 chandise for which the importer has re3 peatedly provided incomplete or erroneous 

4 entry summary information in connection 

5 with determinations of evasion, the im6 porter to deposit estimated duties at the 

7 time of entry; and 

8 ‘‘(iv) referring the record in whole or 

9 in part to U.S. Immigration and Customs 

10 Enforcement for civil or criminal investiga11 tion. 

12 ‘‘(2) COOPERATION OF ADMINISTERING AU13 THORITY.— 

14 ‘‘(A) IN GENERAL.—Upon receiving a noti15 fication from the Commissioner under para16 graph (1)(C), the administering authority shall 

17 promptly provide to the Commissioner the ap18 plicable cash deposit rates and antidumping or 

19 countervailing duty assessment rates and any 

20 necessary liquidation instructions. 

21 ‘‘(B) SPECIAL RULE FOR CASES IN WHICH

22 THE PRODUCER OR EXPORTER IS UNKNOWN.— 

23 If the Commissioner and the administering au24 thority are unable to determine the producer or 

25 exporter of the merchandise with respect to 


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1 which a notification is made under paragraph 

2 (1)(C), the administering authority shall iden3 tify, as the applicable cash deposit rate or anti4 dumping or countervailing duty assessment 

5 rate, the cash deposit or duty (as the case may 

6 be) in the highest amount applicable to any 

7 producer or exporter, including the ‘all-others’ 

8 rate of the merchandise subject to an anti9 dumping order or countervailing duty order 

10 under section 736 or 706, respectively, or a 

11 finding issued under the Antidumping Act, 

12 1921, or any administrative review conducted 

13 under section 751. 

14 ‘‘(e) INTERIM MEASURES.—Not later than 90 cal15 endar days after initiating an investigation under sub16 section (b) with respect to covered merchandise, the Com17 missioner shall decide based on the investigation if there 

18 is a reasonable suspicion that such covered merchandise 

19 was entered into the customs territory of the United 

20 States through evasion and, if the Commissioner decides 

21 there is such a reasonable suspicion, the Commissioner 

22 shall— 

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1 tered on or after the date of the initiation of the in2 vestigation; 

3 ‘‘(2) pursuant to the Commissioner’s authority 

4 under section 504(b), extend the period for liqui5 dating each unliquidated entry of such covered mer6 chandise that entered before the date of the initi7 ation of the investigation; and 

8 ‘‘(3) pursuant to the Commissioner’s authority 

9 under section 623, take such additional measures as 

10 the Commissioner determines necessary to protect 

11 the revenue of the United States, including requiring 

12 a single transaction bond or additional security or 

13 the posting of a cash deposit with respect to such 

14 covered merchandise. 

15 ‘‘(f) ADMINISTRATIVE REVIEW.— 

16 ‘‘(1) IN GENERAL.—Not later than 30 business 

17 days after the Commissioner makes a determination 

18 under subsection (c) with respect to whether covered 

19 merchandise was entered into the customs territory 

20 of the United States through evasion, a person de21 termined to have entered such covered merchandise 

22 through evasion or an interested party that filed an 

23 allegation under paragraph (2) of subsection (b) 

24 that resulted in the initiation of an investigation 

25 under paragraph (1) of that subsection with respect 


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1 to such covered merchandise may file an appeal with 

2 the Commissioner for de novo review of the deter3 mination. 

4 ‘‘(2) TIMELINE FOR REVIEW.—Not later than 

5 60 business days after an appeal of a determination 

6 is filed under paragraph (1), the Commissioner shall 

7 complete the review of the determination. 

8 ‘‘(g) JUDICIAL REVIEW.— 

9 ‘‘(1) IN GENERAL.—Not later than 30 business 

10 days after the Commissioner completes a review 

11 under subsection (f) of a determination under sub12 section (c) with respect to whether covered merchan13 dise was entered into the customs territory of the 

14 United States through evasion, a person determined 

15 to have entered such covered merchandise through 

16 evasion or an interested party that filed an allega17 tion under paragraph (2) of subsection (b) that re18 sulted in the initiation of an investigation under 

19 paragraph (1) of that subsection with respect to 

20 such covered merchandise may commence a civil ac21 tion in the United States Court of International 

22 Trade by filing concurrently a summons and com23 plaint contesting any factual findings or legal con24 clusions upon which the determination is based. 


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1 ‘‘(2) STANDARD OF REVIEW.—In a civil action 

2 under this subsection, the court shall hold unlawful 

3 any determination, finding, or conclusion found to be 

4 arbitrary, capricious, an abuse of discretion, or oth5 erwise not in accordance with law. 

6 ‘‘(h) RULE OF CONSTRUCTION WITH RESPECT TO

7 OTHER CIVIL AND CRIMINAL PROCEEDINGS AND INVES8 TIGATIONS.—No determination under subsection (c) or ac9 tion taken by the Commissioner pursuant to this section 

10 shall be construed to limit the authority to carry out, or 

11 the scope of, any other proceeding or investigation pursu12 ant to any other provision of Federal or State law, includ13 ing sections 592 and 596.’’. 

14 (b) CONFORMING AMENDMENT.—Section 1581(c) of 

15 title 28, United States Code, is amended by inserting ‘‘or 

16 517’’ after ‘‘516A’’. 

17 (c) EFFECTIVE DATE.—The amendments made by 

18 this section shall take effect on the date that is 180 days 

19 after the date of the enactment of this Act. 

20 (d) REGULATIONS.—Not later than the date that is 

21 180 days after the date of the enactment of this Act, the 

22 Secretary of the Treasury shall prescribe such regulations 

23 as may be necessary to implement the amendments made 

24 by this section. 


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1 (e) APPLICATION TO CANADA AND MEXICO.—Pursu2 ant to article 1902 of the North American Free Trade 

3 Agreement and section 408 of the North American Free 

4 Trade Agreement Implementation Act (19 U.S.C. 3438), 

5 the amendments made by this section shall apply with re6 spect to goods from Canada and Mexico. 

7 SEC. 403. ANNUAL REPORT ON PREVENTION AND INVES8 TIGATION OF EVASION OF ANTIDUMPING 

9 AND COUNTERVAILING DUTY ORDERS. 

10 (a) IN GENERAL.—Not later than January 15 of 

11 each calendar year that begins on or after the date that 

12 is 270 days after the date of the enactment of this Act, 

13 the Commissioner, in consultation with the Secretary of 

14 Commerce and the Director of U.S. Immigration and Cus15 toms Enforcement, shall submit to the Committee on Fi16 nance of the Senate and the Committee on Ways and 

17 Means of the House of Representatives a report on the 

18 efforts being taken to prevent and investigate the entry 

19 of covered merchandise into the customs territory of the 

20 United States through evasion. 

21 (b) CONTENTS.—Each report required under sub22 section (a) shall include— 

23 (1) for the calendar year preceding the submis24 sion of the report— 


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1 (A) a summary of the efforts of U.S. Cus2 toms and Border Protection to prevent and in3 vestigate the entry of covered merchandise into 

4 the customs territory of the United States 

5 through evasion; 

6 (B) the number of allegations of evasion 

7 received under subsection (b) of section 517 of 

8 the Tariff Act of 1930, as added by section 402 

9 of this Act, and the number of such allegations 

10 resulting in investigations by U.S. Customs and 

11 Border Protection or any other agency; 

12 (C) a summary of investigations initiated 

13 under subsection (b) of such section 517, in14 cluding— 

15 (i) the number and nature of the in16 vestigations initiated, conducted, and com17 pleted; and 

18 (ii) the resolution of each completed 

19 investigation; 

20 (D) the number of investigations initiated 

21 under that subsection not completed during the 

22 time provided for making determinations under 

23 subsection (c) of such section 517 and an expla24 nation for why the investigations could not be 

25 completed on time; 


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1 (E) the amount of additional duties that 

2 were determined to be owed as a result of such 

3 investigations, the amount of such duties that 

4 were collected, and, for any such duties not col5 lected, a description of the reasons those duties 

6 were not collected; 

7 (F) with respect to each such investigation 

8 that led to the imposition of a penalty, the 

9 amount of the penalty; 

10 (G) an identification of the countries of or11 igin of covered merchandise determined under 

12 subsection (c) of such section 517 to be entered 

13 into the customs territory of the United States 

14 through evasion; 

15 (H) the amount of antidumping and coun16 tervailing duties collected as a result of any in17 vestigations or other actions by U.S. Customs 

18 and Border Protection or any other agency; 

19 (I) a description of the allocation of per20 sonnel and other resources of U.S. Customs and 

21 Border Protection and U.S. Immigration and 

22 Customs Enforcement to prevent and inves23 tigate evasion, including any assessments con24 ducted regarding the allocation of such per25 sonnel and resources; and 


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1 (J) a description of training conducted to 

2 increase expertise and effectiveness in the pre3 vention and investigation of evasion; and 

4 (2) a description of processes and procedures of 

5 U.S. Customs and Border Protection to prevent and 

6 investigate evasion, including— 

7 (A) the specific guidelines, policies, and 

8 practices used by U.S. Customs and Border 

9 Protection to ensure that allegations of evasion 

10 are promptly evaluated and acted upon in a 

11 timely manner; 

12 (B) an evaluation of the efficacy of those 

13 guidelines, policies, and practices; 

14 (C) an identification of any changes since 

15 the last report required by this section, if any, 

16 that have materially improved or reduced the 

17 effectiveness of U.S. Customs and Border Pro18 tection in preventing and investigating evasion; 

19 (D) a description of the development and 

20 implementation of policies for the application of 

21 single entry and continuous bonds for entries of 

22 covered merchandise to sufficiently protect the 

23 collection of antidumping and countervailing 

24 duties commensurate with the level of risk of 

25 not collecting those duties; 


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1 (E) a description of the processes and pro2 cedures for increased cooperation and informa3 tion sharing with the Department of Commerce, 

4 U.S. Immigration and Customs Enforcement, 

5 and any other relevant Federal agencies to pre6 vent and investigate evasion; and 

7 (F) an identification of any recommended 

8 policy changes for other Federal agencies or 

9 legislative changes to improve the effectiveness 

10 of U.S. Customs and Border Protection in pre11 venting and investigating evasion. 

12 (c) PUBLIC SUMMARY.—The Commissioner shall 

13 make available to the public a summary of the report re14 quired by subsection (a) that includes, at a minimum— 

15 (1) a description of the type of merchandise 

16 with respect to which investigations were initiated 

17 under subsection (b) of section 517 of the Tariff Act 

18 of 1930, as added by section 402 of this Act; 

19 (2) the amount of additional duties determined 

20 to be owed as a result of such investigations and the 

21 amount of such duties that were collected; 

22 (3) an identification of the countries of origin 

23 of covered merchandise determined under subsection 

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1 toms territory of the United States through evasion; 

2 and 

3 (4) a description of the types of measures used 

4 by U.S. Customs and Border Protection to prevent 

5 and investigate evasion. 

6 (d) DEFINITIONS.—In this section, the terms ‘‘cov7 ered merchandise’’ and ‘‘evasion’’ have the meanings given 

8 those terms in section 517(a) of the Tariff Act of 1930, 

9 as added by section 402 of this Act. 

10 TITLE V—AMENDMENTS TO 

11 ANTIDUMPING AND COUN12 TERVAILING DUTY LAWS 

13 SEC. 501. CONSEQUENCES OF FAILURE TO COOPERATE 

14 WITH A REQUEST FOR INFORMATION IN A 

15 PROCEEDING. 

16 Section 776 of the Tariff Act of 1930 (19 U.S.C. 

17 1677e) is amended— 

18 (1) in subsection (b)— 

19 (A) by redesignating paragraphs (1) 

20 through (4) as subparagraphs (A) through (D), 

21 respectively, and by moving such subpara22 graphs, as so redesignated, 2 ems to the right; 

23 (B) by striking ‘‘ADVERSE INFERENCES.— 

24 If’’ and inserting the following: ‘‘ADVERSE IN25 FERENCES.— 


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1 ‘‘(1) IN GENERAL.—If’’; 

2 (C) by striking ‘‘under this title, may use’’ 

3 and inserting the following: ‘‘under this title— 

4 ‘‘(A) may use’’; and 

5 (D) by striking ‘‘facts otherwise available. 

6 Such adverse inference may include’’ and in7 serting the following: ‘‘facts otherwise available; 

8 and 

9 ‘‘(B) is not required to determine, or make 

10 any adjustments to, a countervailable subsidy 

11 rate or weighted average dumping margin based 

12 on any assumptions about information the in13 terested party would have provided if the inter14 ested party had complied with the request for 

15 information. 

16 ‘‘(2) POTENTIAL SOURCES OF INFORMATION

17 FOR ADVERSE INFERENCES.—An adverse inference 

18 under paragraph (1)(A) may include’’; 

19 (2) in subsection (c)— 

20 (A) by striking ‘‘CORROBORATION OF SEC21 ONDARY INFORMATION.—When the’’ and in22 serting the following: ‘‘CORROBORATION OF

23 SECONDARY INFORMATION.— 

24 ‘‘(1) IN GENERAL.—Except as provided in para25 graph (2), when the’’; and 


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1 (B) by adding at the end the following: 

2 ‘‘(2) EXCEPTION.—The administrative author3 ity and the Commission shall not be required to cor4 roborate any dumping margin or countervailing duty 

5 applied in a separate segment of the same pro6 ceeding.’’; and 

7 (3) by adding at the end the following: 

8 ‘‘(d) SUBSIDY RATES AND DUMPING MARGINS IN

9 ADVERSE INFERENCE DETERMINATIONS.— 

10 ‘‘(1) IN GENERAL.—If the administering au11 thority uses an inference that is adverse to the inter12 ests of a party under subsection (b)(1)(A) in select13 ing among the facts otherwise available, the admin14 istering authority may— 

15 ‘‘(A) in the case of a countervailing duty 

16 proceeding— 

17 ‘‘(i) use a countervailable subsidy rate 

18 applied for the same or similar program in 

19 a countervailing duty proceeding involving 

20 the same country, or 

21 ‘‘(ii) if there is no same or similar 

22 program, use a countervailable subsidy 

23 rate for a subsidy program from a pro24 ceeding that the administering authority 

25 considers reasonable to use, and 


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1 ‘‘(B) in the case of an antidumping duty 

2 proceeding, use any dumping margin from any 

3 segment of the proceeding under the applicable 

4 antidumping order. 

5 ‘‘(2) DISCRETION TO APPLY HIGHEST RATE.— 

6 In carrying out paragraph (1), the administering au7 thority may apply any of the countervailable subsidy 

8 rates or dumping margins specified under that para9 graph, including the highest such rate or margin, 

10 based on the evaluation by the administering author11 ity of the situation that resulted in the admin12 istering authority using an adverse inference in se13 lecting among the facts otherwise available. 

14 ‘‘(3) NO OBLIGATION TO MAKE CERTAIN ESTI15 MATES OR ADDRESS CERTAIN CLAIMS.—If the ad16 ministering authority uses an adverse inference 

17 under subsection (b)(1)(A) in selecting among the 

18 facts otherwise available, the administering authority 

19 is not required, for purposes of subsection (c) or for 

20 any other purpose— 

21 ‘‘(A) to estimate what the countervailable 

22 subsidy rate or dumping margin would have 

23 been if the interested party found to have failed 

24 to cooperate under subsection (b)(1) had co25 operated, or 


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1 ‘‘(B) to demonstrate that the 

2 countervailable subsidy rate or dumping margin 

3 used by the administering authority reflects an 

4 alleged commercial reality of the interested 

5 party.’’. 

6 SEC. 502. DEFINITION OF MATERIAL INJURY. 

7 (a) EFFECT OF PROFITABILITY OF DOMESTIC IN8 DUSTRIES.—Section 771(7) of the Tariff Act of 1930 (19 

9 U.S.C. 1677(7)) is amended by adding at the end the fol10 lowing: 

11 ‘‘(J) EFFECT OF PROFITABILITY.—The 

12 Commission shall not determine that there is no 

13 material injury or threat of material injury to 

14 an industry in the United States merely be15 cause that industry is profitable or because the 

16 performance of that industry has recently im17 proved.’’. 

18 (b) EVALUATION OF IMPACT ON DOMESTIC INDUS19 TRY IN DETERMINATION OF MATERIAL INJURY.—Sub20 clause (I) of section 771(7)(C)(iii) of the Tariff Act of 

21 1930 (19 U.S.C. 1677(7)(C)(iii)) is amended to read as 

22 follows: 

23 ‘‘(I) actual and potential decline 

24 in output, sales, market share, gross 

25 profits, operating profits, net profits, 


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1 ability to service debt, productivity, 

2 return on investments, return on as3 sets, and utilization of capacity,’’. 

4 (c) CAPTIVE PRODUCTION.—Section 771(7)(C)(iv) of 

5 the Tariff Act of 1930 (19 U.S.C. 1677(7)(C)(iv)) is 

6 amended— 

7 (1) in subclause (I), by striking the comma and 

8 inserting ‘‘, and’’; 

9 (2) in subclause (II), by striking ‘‘, and’’ and 

10 inserting a comma; and 

11 (3) by striking subclause (III). 

12 SEC. 503. PARTICULAR MARKET SITUATION. 

13 (a) DEFINITION OF ORDINARY COURSE OF TRADE.— 

14 Section 771(15) of the Tariff Act of 1930 (19 U.S.C. 

15 1677(15)) is amended by adding at the end the following: 

16 ‘‘(C) Situations in which the administering 

17 authority determines that the particular market 

18 situation prevents a proper comparison with the 

19 export price or constructed export price.’’. 

20 (b) DEFINITION OF NORMAL VALUE.—Section 

21 773(a)(1)(B)(ii)(III) of the Tariff Act of 1930 (19 U.S.C. 

22 1677b(a)(1)(B)(ii)(III)) is amended by striking ‘‘in such 

23 other country.’’. 


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1 (c) DEFINITION OF CONSTRUCTED VALUE.—Section 

2 773(e) of the Tariff Act of 1930 (19 U.S.C. 1677b(e)) 

3 is amended— 

4 (1) in paragraph (1), by striking ‘‘business’’ 

5 and inserting ‘‘trade’’; and 

6 (2) By striking the flush text at the end and in7 serting the following: 

8 ‘‘For purposes of paragraph (1), if a particular market 

9 situation exists such that the cost of materials and fab10 rication or other processing of any kind does not accu11 rately reflect the cost of production in the ordinary course 

12 of trade, the administering authority may use another cal13 culation methodology under this subtitle or any other cal14 culation methodology. For purposes of paragraph (1), the 

15 cost of materials shall be determined without regard to 

16 any internal tax in the exporting country imposed on such 

17 materials or their disposition that is remitted or refunded 

18 upon exportation of the subject merchandise produced 

19 from such materials.’’. 

20 SEC. 504. DISTORTION OF PRICES OR COSTS. 

21 (a) INVESTIGATION OF BELOW-COST SALES.—Sec22 tion 773(b)(2) of the Tariff Act of 1930 (19 U.S.C. 

23 1677b(b)(2)) is amended by striking subparagraph (A) 

24 and inserting the following: 


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1 ‘‘(A) REASONABLE GROUNDS TO BELIEVE

2 OR SUSPECT.— 

3 ‘‘(i) REVIEW.—In a review conducted 

4 under section 751 involving a specific ex5 porter, there are reasonable grounds to be6 lieve or suspect that sales of the foreign 

7 like product have been made at prices that 

8 are less than the cost of production of the 

9 product if the administering authority dis10 regarded some or all of the exporter’s sales 

11 pursuant to paragraph (1) in the investiga12 tion or, if a review has been completed, in 

13 the most recently completed review. 

14 ‘‘(ii) REQUESTS FOR INFORMATION.— 

15 In an investigation initiated under section 

16 732 or a review conducted under section 

17 751, the administering authority shall re18 quest information necessary to calculate 

19 the constructed value and cost of produc20 tion under subsections (e) and (f) to deter21 mine whether there are reasonable grounds 

22 to believe or suspect that sales of the for23 eign like product have been made at prices 

24 that represent less than the cost of produc25 tion of the product.’’. 


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1 (b) PRICES AND COSTS IN NONMARKET ECONO2 MIES.—Section 773(c) of the Tariff Act of 1930 (19 

3 U.S.C. 1677b(c)) is amended by adding at the end the 

4 following: 

5 ‘‘(5) DISCRETION TO DISREGARD CERTAIN

6 PRICE OR COST VALUES.—In valuing the factors of 

7 production under paragraph (1) for the subject mer8 chandise, the administering authority may disregard 

9 price or cost values without further investigation if 

10 the administering authority has determined that 

11 broadly available export subsidies existed or par12 ticular instances of subsidization occurred with re13 spect to those price or cost values or if those price 

14 or cost values were subject to an antidumping 

15 order.’’. 

16 SEC. 505. REDUCTION IN BURDEN ON DEPARTMENT OF 

17 COMMERCE BY REDUCING THE NUMBER OF 

18 VOLUNTARY RESPONDENTS. 

19 Section 782(a) of the Tariff Act of 1930 (19 U.S.C. 

20 1677m(a)) is amended— 

21 (1) in paragraph (1), by redesignating subpara22 graphs (A) and (B) as clauses (i) and (ii), respec23 tively, and by moving such clauses, as so redesig24 nated, 2 ems to the right; 


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1 (2) by redesignating paragraphs (1) and (2) as 

2 subparagraphs (A) and (B), respectively, and by 

3 moving such subparagraphs, as so redesignated, 2 

4 ems to the right; 

5 (3) by striking ‘‘INVESTIGATIONS AND RE6 VIEWS.—In’’ and inserting the following: ‘‘INVES7 TIGATIONS AND REVIEWS.— 

8 ‘‘(1) IN GENERAL.—In’’; 

9 (4) in paragraph (1), as designated by para10 graph (3), by amending subparagraph (B), as redes11 ignated by paragraph (2), to read as follows: 

12 ‘‘(B) the number of exporters or producers 

13 subject to the investigation or review is not so 

14 large that any additional individual examination 

15 of such exporters or producers would be unduly 

16 burdensome to the administering authority and 

17 inhibit the timely completion of the investiga18 tion or review.’’; and 

19 (5) by adding at the end the following: 

20 ‘‘(2) DETERMINATION OF UNDULY BURDEN21 SOME.—In determining if an individual examination 

22 under paragraph (1)(B) would be unduly burden23 some, the administering authority may consider the 

24 following: 


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1 ‘‘(A) The complexity of the issues or infor2 mation presented in the proceeding, including 

3 questionnaires and any responses thereto. 

4 ‘‘(B) Any prior experience of the admin5 istering authority in the same or similar pro6 ceeding. 

7 ‘‘(C) The total number of investigations 

8 under subtitle A or B and reviews under section 

9 751 being conducted by the administering au10 thority as of the date of the determination. 

11 ‘‘(D) Such other factors relating to the 

12 timely completion of each such investigation 

13 and review as the administering authority con14 siders appropriate.’’. 

15 SEC. 506. APPLICATION TO CANADA AND MEXICO. 

16 Pursuant to article 1902 of the North American Free 

17 Trade Agreement and section 408 of the North American 

18 Free Trade Agreement Implementation Act (19 U.S.C. 

19 3438), the amendments made by this title shall apply with 

20 respect to goods from Canada and Mexico. 


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1 TITLE VI—ADDITIONAL TRADE 

2 ENFORCEMENT AND INTEL3 LECTUAL PROPERTY RIGHTS 

4 PROTECTION 

5 Subtitle A—Trade Enforcement 

6 SEC. 601. TRADE ENFORCEMENT PRIORITIES. 

7 (a) IN GENERAL.—Section 310 of the Trade Act of 

8 1974 (19 U.S.C. 2420) is amended to read as follows: 

9 ‘‘SEC. 310. TRADE ENFORCEMENT PRIORITIES. 

10 ‘‘(a) TRADE ENFORCEMENT PRIORITIES, CONSULTA11 TIONS, AND REPORT.— 

12 ‘‘(1) TRADE ENFORCEMENT PRIORITIES CON13 SULTATIONS.—Not later than May 31 of each cal14 endar year that begins after the date of the enact15 ment of the Trade Facilitation and Trade Enforce16 ment Act of 2015, the United States Trade Rep17 resentative (in this section referred to as the ‘Trade 

18 Representative’) shall consult with the Committee on 

19 Finance of the Senate and the Committee on Ways 

20 and Means of the House of Representatives with re21 spect to the prioritization of acts, policies, or prac22 tices of foreign governments that raise concerns with 

23 respect to obligations under the WTO Agreements or 

24 any other trade agreement to which the United 

25 States is a party, or otherwise create or maintain 


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1 barriers to United States goods, services, or invest2 ment. 

3 ‘‘(2) IDENTIFICATION OF TRADE ENFORCE4 MENT PRIORITIES.—In identifying acts, policies, or 

5 practices of foreign governments as trade enforce6 ment priorities under this subsection, the United 

7 States Trade Representative shall focus on those 

8 acts, policies, and practices the elimination of which 

9 is likely to have the most significant potential to in10 crease United States economic growth, and take into 

11 account all relevant factors, including— 

12 ‘‘(A) the economic significance of any po13 tential inconsistency between an obligation as14 sumed by a foreign government pursuant to a 

15 trade agreement to which both the foreign gov16 ernment and the United States are parties and 

17 the acts, policies, or practices of that govern18 ment; 

19 ‘‘(B) the impact of the acts, policies, or 

20 practices of a foreign government on maintain21 ing and creating United States jobs and pro22 ductive capacity; 

23 ‘‘(C) the major barriers and trade dis24 torting practices described in the most recent 


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1 National Trade Estimate required under section 

2 181(b); 

3 ‘‘(D) the major barriers and trade dis4 torting practices described in other relevant re5 ports addressing international trade and invest6 ment barriers prepared by a Federal agency or 

7 congressional commission during the 12 months 

8 preceding the date of the most recent report 

9 under paragraph (3); 

10 ‘‘(E) a foreign government’s compliance 

11 with its obligations under any trade agreements 

12 to which both the foreign government and the 

13 United States are parties; 

14 ‘‘(F) the implications of a foreign govern15 ment’s procurement plans and policies; and 

16 ‘‘(G) the international competitive position 

17 and export potential of United States products 

18 and services. 

19 ‘‘(3) REPORT ON TRADE ENFORCEMENT PRIOR20 ITIES AND ACTIONS TAKEN TO ADDRESS.— 

21 ‘‘(A) IN GENERAL.—Not later than July 

22 31 of each calendar year that begins after the 

23 date of the enactment of the Trade Facilitation 

24 and Trade Enforcement Act of 2015, the Trade 

25 Representative shall report to the Committee on 


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1 Finance of the Senate and the Committee on 

2 Ways and Means of the House of Representa3 tives on acts, policies, or practices of foreign 

4 governments identified as trade enforcement 

5 priorities based on the consultations under 

6 paragraph (1) and the criteria set forth in 

7 paragraph (2). 

8 ‘‘(B) REPORT IN SUBSEQUENT YEARS.— 

9 The Trade Representative shall include, when 

10 reporting under subparagraph (A) in any cal11 endar year after the calendar year that begins 

12 after the date of the enactment of the Trade 

13 Facilitation and Trade Enforcement Act of 

14 2015, a description of actions taken to address 

15 any acts, policies, or practices of foreign gov16 ernments identified as trade enforcement prior17 ities under this subsection in the calendar year 

18 preceding that report and, as relevant, any year 

19 before that calendar year. 

20 ‘‘(b) SEMIANNUAL ENFORCEMENT CONSULTA21 TIONS.— 

22 ‘‘(1) IN GENERAL.—At the same time as the re23 porting under subsection (a)(3), and not later than 

24 January 31 of each following year, the Trade Rep25 resentative shall consult with the Committee on FiVerDate Sep 11 2014 23:07 May 11, 2015 Jkt 049200 PO 00000 Frm 00122 Fmt 6652 Sfmt 6201 E:\BILLS\S1269.PCS S1269

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1 nance of the Senate and the Committee on Ways 

2 and Means of the House of Representatives with re3 spect to the identification, prioritization, investiga4 tion, and resolution of acts, policies, or practices of 

5 foreign governments of concern with respect to obli6 gations under the WTO Agreements or any other 

7 trade agreement to which the United States is a 

8 party, or that otherwise create or maintain trade 

9 barriers. 

10 ‘‘(2) ACTS, POLICIES, OR PRACTICES OF CON11 CERN.—The semiannual enforcement consultations 

12 required by paragraph (1) shall address acts, poli13 cies, or practices of foreign governments that raise 

14 concerns with respect to obligations under the WTO 

15 Agreements or any other trade agreement to which 

16 the United States is a party, or otherwise create or 

17 maintain trade barriers, including— 

18 ‘‘(A) engagement with relevant trading 

19 partners; 

20 ‘‘(B) strategies for addressing such con21 cerns; 

22 ‘‘(C) availability and deployment of re23 sources to be used in the investigation or reso24 lution of such concerns; 


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1 ‘‘(D) the merits of any potential dispute 

2 resolution proceeding under the WTO Agree3 ments or any other trade agreement to which 

4 the United States is a party relating to such 

5 concerns; and 

6 ‘‘(E) any other aspects of such concerns. 

7 ‘‘(3) ACTIVE INVESTIGATIONS.—The semi8 annual enforcement consultations required by para9 graph (1) shall address acts, policies, or practices 

10 that the Trade Representative is actively inves11 tigating with respect to obligations under the WTO 

12 Agreements or any other trade agreement to which 

13 the United States is a party, including— 

14 ‘‘(A) strategies for addressing concerns 

15 raised by such acts, policies, or practices; 

16 ‘‘(B) any relevant timeline with respect to 

17 investigation of such acts, policies, or practices; 

18 ‘‘(C) the merits of any potential dispute 

19 resolution proceeding under the WTO Agree20 ments or any other trade agreement to which 

21 the United States is a party with respect to 

22 such acts, policies, or practices; 

23 ‘‘(D) barriers to the advancement of the 

24 investigation of such acts, policies, or practices; 

25 and 


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1 ‘‘(E) any other matters relating to the in2 vestigation of such acts, policies, or practices. 

3 ‘‘(4) ONGOING ENFORCEMENT ACTIONS.—The 

4 semiannual enforcement consultations required by 

5 paragraph (1) shall address all ongoing enforcement 

6 actions taken by or against the United States with 

7 respect to obligations under the WTO Agreements or 

8 any other trade agreement to which the United 

9 States is a party, including— 

10 ‘‘(A) any relevant timeline with respect to 

11 such actions; 

12 ‘‘(B) the merits of such actions; 

13 ‘‘(C) any prospective implementation ac14 tions; 

15 ‘‘(D) potential implications for any law or 

16 regulation of the United States; 

17 ‘‘(E) potential implications for United 

18 States stakeholders, domestic competitors, and 

19 exporters; and 

20 ‘‘(F) other issues relating to such actions. 

21 ‘‘(5) ENFORCEMENT RESOURCES.—The semi22 annual enforcement consultations required by para23 graph (1) shall address the availability and deploy24 ment of enforcement resources, resource constraints 

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1 egies to address those constraints, including the use 

2 of available resources of other Federal agencies to 

3 enhance monitoring and enforcement capabilities. 

4 ‘‘(c) INVESTIGATION AND RESOLUTION.—In the case 

5 of any acts, policies, or practices of a foreign government 

6 identified as a trade enforcement priority under subsection 

7 (a), the Trade Representative shall, not later than the date 

8 of the first semiannual enforcement consultations held 

9 under subsection (b) after the identification of the pri10 ority, take appropriate action to address that priority, in11 cluding— 

12 ‘‘(1) engagement with the foreign government 

13 to resolve concerns raised by such acts, policies, or 

14 practices; 

15 ‘‘(2) initiation of an investigation under section 

16 302(b)(1) with respect to such acts, policies, or 

17 practices; 

18 ‘‘(3) initiation of negotiations for a bilateral 

19 agreement that provides for resolution of concerns 

20 raised by such acts, policies, or practices; or 

21 ‘‘(4) initiation of dispute settlement proceedings 

22 under the WTO Agreements or any other trade 

23 agreement to which the United States is a party 

24 with respect to such acts, policies, or practices. 


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1 ‘‘(d) ENFORCEMENT NOTIFICATIONS AND CON2 SULTATION.— 

3 ‘‘(1) INITIATION OF ENFORCEMENT ACTION.— 

4 The Trade Representative shall notify and consult 

5 with the Committee on Finance of the Senate and 

6 the Committee on Ways and Means of the House of 

7 Representatives in advance of initiation of any for8 mal trade dispute by or against the United States 

9 taken in regard to an obligation under the WTO 

10 Agreements or any other trade agreement to which 

11 the United States is a party. With respect to a for12 mal trade dispute against the United States, if ad13 vance notification and consultation are not possible, 

14 the Trade Representative shall notify and consult at 

15 the earliest practicable opportunity after initiation of 

16 the dispute. 

17 ‘‘(2) CIRCULATION OF REPORTS.—The Trade 

18 Representative shall notify and consult with the 

19 Committee on Finance of the Senate and the Com20 mittee on Ways and Means of the House of Rep21 resentatives in advance of the announced or antici22 pated circulation of any report of a dispute settle23 ment panel or the Appellate Body of the World 

24 Trade Organization or of a dispute settlement panel 

25 under any other trade agreement to which the 


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1 United States is a party with respect to a formal 

2 trade dispute by or against the United States. 

3 ‘‘(e) DEFINITIONS.—In this section: 

4 ‘‘(1) WTO.—The term ‘WTO’ means the World 

5 Trade Organization. 

6 ‘‘(2) WTO AGREEMENT.—The term ‘WTO 

7 Agreement’ has the meaning given that term in sec8 tion 2(9) of the Uruguay Round Agreements Act (19 

9 U.S.C. 3501(9)). 

10 ‘‘(3) WTO AGREEMENTS.—The term ‘WTO 

11 Agreements’ means the WTO Agreement and agree12 ments annexed to that Agreement.’’. 

13 (b) CLERICAL AMENDMENT.—The table of contents 

14 for the Trade Act of 1974 is amended by striking the item 

15 relating to section 310 and inserting the following: 

‘‘Sec. 310. Trade enforcement priorities.’’. 

16 SEC. 602. EXERCISE OF WTO AUTHORIZATION TO SUSPEND 

17 CONCESSIONS OR OTHER OBLIGATIONS 

18 UNDER TRADE AGREEMENTS. 

19 (a) IN GENERAL.—Section 306 of the Trade Act of 

20 1974 (19 U.S.C. 2416) is amended— 

21 (1) by redesignating subsection (c) as sub22 section (d); and 

23 (2) by inserting after subsection (b) the fol24 lowing: 


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1 ‘‘(c) EXERCISE OF WTO AUTHORIZATION TO SUS2 PEND CONCESSIONS OR OTHER OBLIGATIONS.—If— 

3 ‘‘(1) action has terminated pursuant to section 

4 307(c), 

5 ‘‘(2) the petitioner or any representative of the 

6 domestic industry that would benefit from reinstate7 ment of action has submitted to the Trade Rep8 resentative a written request for reinstatement of ac9 tion, and 

10 ‘‘(3) the Trade Representative has completed 

11 the requirements of subsection (d) and section 

12 307(c)(3), 

13 the Trade Representative may at any time determine to 

14 take action under section 301(c) to exercise an authoriza15 tion to suspend concessions or other obligations under Ar16 ticle 22 of the Understanding on Rules and Procedures 

17 Governing the Settlement of Disputes (referred to in sec18 tion 101(d)(16) of the Uruguay Round Agreements Act 

19 (19 U.S.C. 3511(d)(16))).’’. 

20 (b) CONFORMING AMENDMENTS.—Chapter 1 of title 

21 III of the Trade Act of 1974 (19 U.S.C. 2411 et seq.) 

22 is amended— 

23 (1) in section 301(c)(1) (19 U.S.C. 2411(c)(1)), 

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1 ing ‘‘or section 306(c)’’ after ‘‘subsection (a) or 

2 (b)’’; 

3 (2) in section 306(b) (19 U.S.C. 2416(b)), in 

4 the subsection heading, by striking ‘‘FURTHER AC5 TION’’ and inserting ‘‘ACTION ON THE BASIS OF

6 MONITORING’’; 

7 (3) in section 306(d) (19 U.S.C. 2416(d)), as 

8 redesignated by subsection (a)(1), by inserting ‘‘or 

9 (c)’’ after ‘‘subsection (b)’’; and 

10 (4) in section 307(c)(3) (19 U.S.C. 2417(c)(3)), 

11 by inserting ‘‘or if a request is submitted to the 

12 Trade Representative under 306(c)(2) to reinstate 

13 action,’’ after ‘‘under section 301,’’. 

14 SEC. 603. TRADE MONITORING. 

15 (a) IN GENERAL.—Chapter 1 of title II of the Trade 

16 Act of 1974 (19 U.S.C. 2251 et seq.) is amended by add17 ing at the end the following: 

18 ‘‘SEC. 205. TRADE MONITORING. 

19 ‘‘(a) MONITORING TOOL FOR IMPORTS.— 

20 ‘‘(1) IN GENERAL.—Not later than 180 days 

21 after the date of the enactment of this section, the 

22 United States International Trade Commission shall 

23 make available on a website of the Commission an 

24 import monitoring tool to allow the public access to 

25 data on the volume and value of goods imported into 


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1 the United States for the purpose of assessing 

2 whether such data has changed with respect to such 

3 goods over a period of time. 

4 ‘‘(2) DATA DESCRIBED.—For purposes of the 

5 monitoring tool under paragraph (1), the Commis6 sion shall use data compiled by the Department of 

7 Commerce and such other government data as the 

8 Commission considers appropriate. 

9 ‘‘(3) PERIODS OF TIME.—The Commission shall 

10 ensure that data accessed through the monitoring 

11 tool under paragraph (1) includes data for the most 

12 recent quarter for which such data are available and 

13 previous quarters as the Commission considers prac14 ticable. 

15 ‘‘(b) MONITORING REPORTS.— 

16 ‘‘(1) IN GENERAL.—Not later than 270 days 

17 after the date of the enactment of this section, and 

18 not less frequently than quarterly thereafter, the 

19 Secretary of Commerce shall publish on a website of 

20 the Department of Commerce, and notify the Com21 mittee on Finance of the Senate and the Committee 

22 on Ways and Means of the House of Representatives 

23 of the availability of, a monitoring report on changes 

24 in the volume and value of trade with respect to im25 ports and exports of goods categorized based on the 


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1 6-digit subheading number of the goods under the 

2 Harmonized Tariff Schedule of the United States 

3 during the most recent quarter for which such data 

4 are available and previous quarters as the Secretary 

5 considers practicable. 

6 ‘‘(2) REQUESTS FOR COMMENT.—Not later 

7 than one year after the date of the enactment of this 

8 section, the Secretary of Commerce shall solicit 

9 through the Federal Register public comment on the 

10 monitoring reports described in paragraph (1). 

11 ‘‘(c) SUNSET.—The requirements under this section 

12 terminate on the date that is 7 years after the date of 

13 the enactment of this section.’’. 

14 (b) CLERICAL AMENDMENT.—The table of contents 

15 for the Trade Act of 1974 (19 U.S.C. 2101 et seq.) is 

16 amended by inserting after the item relating to section 

17 204 the following: 

‘‘Sec. 205. Trade monitoring.’’. 

18 SEC. 604. ESTABLISHMENT OF INTERAGENCY TRADE EN19 FORCEMENT CENTER. 

20 (a) IN GENERAL.—Chapter 4 of title I of the Trade 

21 Act of 1974 (19 U.S.C. 2171) is amended by adding at 

22 the end the following: 

23 ‘‘SEC. 142. INTERAGENCY TRADE ENFORCEMENT CENTER. 

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1 ative an Interagency Trade Enforcement Center (in this 

2 section referred to as the ‘Center’). 

3 ‘‘(b) FUNCTIONS OF CENTER.— 

4 ‘‘(1) IN GENERAL.—The Center shall— 

5 ‘‘(A) serve as the primary forum within the 

6 Federal Government for the Office of the 

7 United States Trade Representative and other 

8 agencies to coordinate the enforcement of 

9 United States trade rights under international 

10 trade agreements and the enforcement of 

11 United States trade remedy laws; 

12 ‘‘(B) coordinate among the Office of the 

13 United States Trade Representative and other 

14 agencies with responsibilities relating to trade 

15 the exchange of information related to potential 

16 violations of international trade agreements by 

17 foreign trading partners of the United States; 

18 and 

19 ‘‘(C) conduct outreach to United States 

20 workers, businesses, and other interested per21 sons to foster greater participation in the iden22 tification and reduction or elimination of for23 eign trade barriers and unfair foreign trade 

24 practices. 


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1 ‘‘(2) COORDINATION OF TRADE ENFORCE2 MENT.— 

3 ‘‘(A) IN GENERAL.—The Center shall co4 ordinate matters relating to the enforcement of 

5 United States trade rights under international 

6 trade agreements and the enforcement of 

7 United States trade remedy laws among the Of8 fice of the United States Trade Representative 

9 and the following agencies: 

10 ‘‘(i) The Department of State. 

11 ‘‘(ii) The Department of the Treas12 ury. 

13 ‘‘(iii) The Department of Justice. 

14 ‘‘(iv) The Department of Agriculture. 

15 ‘‘(v) The Department of Commerce. 

16 ‘‘(vi) The Department of Homeland 

17 Security. 

18 ‘‘(vii) Such other agencies as the 

19 President, or the United States Trade 

20 Representative, may designate. 

21 ‘‘(B) CONSULTATIONS ON INTELLECTUAL

22 PROPERTY RIGHTS.—In matters relating to the 

23 enforcement of United States trade rights in24 volving intellectual property rights, the Center 

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1 forcement Coordinator appointed pursuant to 

2 section 301 of the Prioritizing Resources and 

3 Organization for Intellectual Property Act of 

4 2008 (15 U.S.C. 8111). 

5 ‘‘(c) PERSONNEL.— 

6 ‘‘(1) DIRECTOR.—The head of the Center shall 

7 be the Director, who shall— 

8 ‘‘(A) be appointed by the United States 

9 Trade Representative from among full-time sen10 ior-level officials of the Office of the United 

11 States Trade Representative; and 

12 ‘‘(B) report to the Trade Representative. 

13 ‘‘(2) DEPUTY DIRECTOR.—There shall be in the 

14 Center a Deputy Director, who shall— 

15 ‘‘(A) be appointed by the Secretary of 

16 Commerce from among full-time senior-level of17 ficials of the Department of Commerce and de18 tailed to the Center; and 

19 ‘‘(B) report directly to the Director. 

20 ‘‘(3) ADDITIONAL EMPLOYEES.—The agencies 

21 specified in subsection (b)(2)(A) may, in consulta22 tion with the Director, detail or assign their employ23 ees to the Center without reimbursement to support 

24 the functions of the Center. 


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1 ‘‘(d) ADMINISTRATION.—Funding and administrative 

2 support for the Center shall be provided by the Office of 

3 the United States Trade Representative. 

4 ‘‘(e) ANNUAL REPORT.—Not later than one year 

5 after the date of the enactment of this section, and not 

6 less frequently than annually thereafter, the Director shall 

7 submit to the Committee on Finance of the Senate and 

8 the Committee on Ways and Means of the House of Rep9 resentatives a report on the actions taken by the Center 

10 in the preceding year with respect to the enforcement of 

11 United States trade rights under international trade 

12 agreements and the enforcement of United States trade 

13 remedy laws. 

14 ‘‘(f) DEFINITIONS.—In this section: 

15 ‘‘(1) UNITED STATES TRADE REMEDY LAWS.— 

16 The term ‘United States trade remedy laws’ means 

17 the following: 

18 ‘‘(A) Chapter 1 of title II of the Trade Act 

19 of 1974 (19 U.S.C. 2251 et seq.). 

20 ‘‘(B) Chapter 1 of title III of that Act (19 

21 U.S.C. 2411 et seq.). 

22 ‘‘(C) Sections 406 and 421 of that Act (19 

23 U.S.C. 2436 and 2451). 

24 ‘‘(D) Sections 332 and 337 of the Tariff 

25 Act of 1930 (19 U.S.C. 1332 and 1337). 


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1 ‘‘(E) Investigations initiated by the admin2 istering authority (as defined in section 771 of 

3 that Act (19 U.S.C. 1677)) under title VII of 

4 that Act (19 U.S.C. 1671 et seq.). 

5 ‘‘(F) Section 281 of the Uruguay Round 

6 Agreements Act (19 U.S.C. 3571). 

7 ‘‘(2) UNITED STATES TRADE RIGHTS.—The 

8 term ‘United States trade rights’ means any right, 

9 benefit, or advantage to which the United States is 

10 entitled under an international trade agreement and 

11 that could be effectuated through the use of a dis12 pute settlement proceeding.’’. 

13 (b) CLERICAL AMENDMENT.—The table of contents 

14 for the Trade Act of 1974 is amended by inserting after 

15 the item relating to section 141 the following: 

‘‘Sec. 142. Interagency Trade Enforcement Center.’’. 

16 SEC. 605. ESTABLISHMENT OF CHIEF MANUFACTURING NE17 GOTIATOR. 

18 (a) ESTABLISHMENT OF POSITION.—Section 

19 141(b)(2) of the Trade Act of 1974 (19 U.S.C. 

20 2171(b)(2)) is amended to read as follows: 

21 ‘‘(2) There shall be in the Office 3 Deputy United 

22 States Trade Representatives, one Chief Agricultural Ne23 gotiator, and one Chief Manufacturing Negotiator, who 

24 shall all be appointed by the President, by and with the 

25 advice and consent of the Senate. As an exercise of the 


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1 rulemaking power of the Senate, any nomination of a Dep2 uty United States Trade Representative, the Chief Agri3 cultural Negotiator, or the Chief Manufacturing Nego4 tiator submitted to the Senate for its advice and consent, 

5 and referred to a committee, shall be referred to the Com6 mittee on Finance. Each Deputy United States Trade 

7 Representative, the Chief Agricultural Negotiator, and the 

8 Chief Manufacturing Negotiator shall hold office at the 

9 pleasure of the President and shall have the rank of Am10 bassador.’’. 

11 (b) FUNCTIONS OF POSITION.—Section 141(c) of the 

12 Trade Act of 1974 (19 U.S.C. 2171(c)) is amended— 

13 (1) by moving paragraph (5) 2 ems to the left; 

14 and 

15 (2) by adding at the end the following: 

16 ‘‘(6)(A) The principal function of the Chief Manufac17 turing Negotiator shall be to conduct trade negotiations 

18 and to enforce trade agreements relating to United States 

19 manufacturing products and services. The Chief Manufac20 turing Negotiator shall be a vigorous advocate on behalf 

21 of United States manufacturing interests and shall per22 form such other functions as the United States Trade 

23 Representative may direct. 

24 ‘‘(B) Not later than one year after the date of the 

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1 ment Act of 2015, and annually thereafter, the Chief Man2 ufacturing Negotiator shall submit to the Committee on 

3 Finance of the Senate and the Committee on Ways and 

4 Means of the House of Representatives a report on the 

5 actions taken by the Chief Manufacturing Negotiator in 

6 the preceding year.’’. 

7 (c) COMPENSATION.—Section 5314 of title 5, United 

8 States Code, is amended by striking ‘‘Chief Agricultural 

9 Negotiator.’’ and inserting the following: 

10 ‘‘Chief Agricultural Negotiator, Office of the United 

11 States Trade Representative. 

12 ‘‘Chief Manufacturing Negotiator, Office of the 

13 United States Trade Representative.’’. 

14 (d) TECHNICAL AMENDMENTS.—Section 141(e) of 

15 the Trade Act of 1974 (19 U.S.C. 2171(e)) is amended— 

16 (1) in paragraph (1), by striking ‘‘5314’’ and 

17 inserting ‘‘5315’’; and 

18 (2) in paragraph (2), by striking ‘‘the max19 imum rate of pay for grade GS–18, as provided in 

20 section 5332’’ and inserting ‘‘the maximum rate of 

21 pay for level IV of the Executive Schedule in section 

22 5315’’. 


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1 SEC. 606. ENFORCEMENT UNDER TITLE III OF THE TRADE 

2 ACT OF 1974 WITH RESPECT TO CERTAIN 

3 ACTS, POLICIES, AND PRACTICES RELATING 

4 TO THE ENVIRONMENT. 

5 Section 301(d)(3)(B) of the Trade Act of 1974 (19 

6 U.S.C. 2411(d)(3)(B)) is amended— 

7 (1) in clause (ii), by striking ‘‘or’’ at the end; 

8 (2) in clause (iii)(V), by striking the period at 

9 the end and inserting ‘‘, or’’; and 

10 (3) by adding at the end the following: 

11 ‘‘(iv) constitutes a persistent pattern of 

12 conduct by the government of the foreign coun13 try under which that government— 

14 ‘‘(I) fails to effectively enforce the en15 vironmental laws of the foreign country, 

16 ‘‘(II) waives or otherwise derogates 

17 from the environmental laws of the foreign 

18 country or weakens the protections af19 forded by such laws, 

20 ‘‘(III) fails to provide for judicial or 

21 administrative proceedings giving access to 

22 remedies for violations of the environ23 mental laws of the foreign country, 

24 ‘‘(IV) fails to provide appropriate and 

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1 tions of the environmental laws of the for2 eign country, or 

3 ‘‘(V) fails to effectively enforce envi4 ronmental commitments under agreements 

5 to which the foreign country and the 

6 United States are a party.’’. 

7 SEC. 607. TRADE ENFORCEMENT TRUST FUND. 

8 (a) ESTABLISHMENT.—There is established in the 

9 Treasury of the United States a trust fund to be known 

10 as the Trade Enforcement Trust Fund (in this section re11 ferred to as the ‘‘Trust Fund’’), consisting of amounts 

12 transferred to the Trust Fund under subsection (b) and 

13 any amounts that may be credited to the Trust Fund 

14 under subsection (c). 

15 (b) TRANSFER OF AMOUNTS.— 

16 (1) IN GENERAL.—The Secretary of the Treas17 ury shall transfer to the Trust Fund, from the gen18 eral fund of the Treasury, for each fiscal year that 

19 begins on or after the date of the enactment of this 

20 Act, an amount equal to $15,000,000 (or a lesser 

21 amount as required pursuant to paragraph (2)) of 

22 the antidumping duties and countervailing duties re23 ceived in the Treasury for such fiscal year. 


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1 (2) LIMITATION.—The total amount in the 

2 Trust Fund at any time may not exceed 

3 $30,000,000. 

4 (3) FREQUENCY OF TRANSFERS; ADJUST5 MENTS.— 

6 (A) FREQUENCY OF TRANSFERS.—The 

7 Secretary shall transfer amounts required to be 

8 transferred to the Trust Fund under paragraph 

9 (1) not less frequently than quarterly from the 

10 general fund of the Treasury to the Trust Fund 

11 on the basis of estimates made by the Sec12 retary. 

13 (B) ADJUSTMENTS.—The Secretary shall 

14 make proper adjustments in amounts subse15 quently transferred to the Trust Fund to the 

16 extent prior estimates were in excess of or less 

17 than the amounts required to be transferred to 

18 the Trust Fund. 

19 (c) INVESTMENT OF AMOUNTS.— 

20 (1) INVESTMENT OF AMOUNTS.—The Secretary 

21 shall invest such portion of the Trust Fund as is not 

22 required to meet current withdrawals in interest23 bearing obligations of the United States or in obliga24 tions guaranteed as to both principal and interest by 

25 the United States. 


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1 (2) INTEREST AND PROCEEDS.—The interest 

2 on, and the proceeds from the sale or redemption of, 

3 any obligations held in Trust Fund shall be credited 

4 to and form a part of the Trust Fund. 

5 (d) AVAILABILITY OF AMOUNTS FROM TRUST

6 FUND.— 

7 (1) ENFORCEMENT.—The United States Trade 

8 Representative may use the amounts in the Trust 

9 fund to carry out any of the following: 

10 (A) To seek to enforce the provisions of 

11 and commitments and obligations under the 

12 WTO Agreements and free trade agreements to 

13 which the United States is a party and resolve 

14 any actions by foreign countries that are incon15 sistent with those provisions, commitments, and 

16 obligations. 

17 (B) To monitor the implementation by for18 eign countries of the provisions of and commit19 ments and obligations under free trade agree20 ments to which the United States is a party for 

21 purposes of systematically assessing, identi22 fying, investigating, or initiating steps to ad23 dress inconsistencies with those provisions, com24 mitments, and obligations. 


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1 (C) To thoroughly investigate and respond 

2 to petitions under section 302 of the Trade Act 

3 of 1974 (19 U.S.C. 2412) requesting that ac4 tion be taken under section 301 of such Act (19 

5 U.S.C. 2411). 

6 (2) IMPLEMENTATION ASSISTANCE AND CAPAC7 ITY BUILDING.—The United States Trade Rep8 resentative, the Secretary of State, the Adminis9 trator of the United States Agency for International 

10 Development, the Secretary of Labor, and such 

11 heads of other Federal agencies as the President 

12 considers appropriate may use the amounts in the 

13 Trust Fund to carry out any of the following: 

14 (A) To ensure capacity-building efforts un15 dertaken by the United States pursuant to any 

16 free trade agreement to which the United 

17 States is a party prioritize and give special at18 tention to the timely, consistent, and robust im19 plementation of the intellectual property, labor, 

20 and environmental commitments and obliga21 tions of any party to that free trade agreement. 

22 (B) To ensure capacity-building efforts un23 dertaken by the United States pursuant to any 

24 such free trade agreement are self-sustaining 

25 and promote local ownership. 


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1 (C) To ensure capacity-building efforts un2 dertaken by the United States pursuant to any 

3 such free trade agreement include performance 

4 indicators against which the progress and ob5 stacles for the implementation of commitments 

6 and obligations described in subparagraph (A) 

7 can be identified and assessed within a mean8 ingful time frame. 

9 (D) To monitor and evaluate the capacity10 building efforts of the United States under sub11 paragraphs (A), (B), and (C). 

12 (3) LIMITATION.—Amounts made available in 

13 the Trust Fund may not be used for negotiations for 

14 any free trade agreement to be entered into on or 

15 after the date of the enactment of this Act. 

16 (e) REPORT.—Not later than 18 months after the 

17 entry into force of any free trade agreement entered into 

18 after the date of the enactment of this Act, the United 

19 States Trade Representative, the Secretary of State, the 

20 Administrator of the United States Agency for Inter21 national Development, the Secretary of Labor, and any 

22 other head of a Federal agency who has used amounts 

23 in the Trust Fund in connection with that agreement, 

24 shall each submit to Congress a report on the actions 


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1 taken by that official under subsection (d) in connection 

2 with that agreement. 

3 (f) COMPTROLLER GENERAL STUDY.— 

4 (1) IN GENERAL.—The Comptroller General of 

5 the United States shall conduct a study that in6 cludes the following: 

7 (A) A comprehensive analysis of the trade 

8 enforcement expenditures of each Federal agen9 cy with responsibilities relating to trade that 

10 specifies, with respect to each such Federal 

11 agency— 

12 (i) the amounts appropriated for trade 

13 enforcement; and 

14 (ii) the number of full-time employees 

15 carrying out activities relating to trade en16 forcement. 

17 (B) Recommendations on the additional 

18 employees and resources that each such Federal 

19 agency may need to effectively enforce the free 

20 trade agreements to which the United States is 

21 a party. 

22 (2) REPORT.—Not later than one year after the 

23 date of the enactment of this Act, the Comptroller 

24 General shall submit to Congress a report on the re25 sults of the study conducted under paragraph (1). 


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1 (g) DEFINITIONS.—In this section: 

2 (1) ANTIDUMPING DUTY.—The term ‘‘anti3 dumping duty’’ means an antidumping duty imposed 

4 under section 731 of the Tariff Act of 1930 (19 

5 U.S.C. 1673). 

6 (2) COUNTERVAILING DUTY.—The term ‘‘coun7 tervailing duty’’ means a countervailing duty im8 posed under section 701 of the Tariff Act of 1930 

9 (19 U.S.C. 1671). 

10 (3) WTO.—The term ‘‘WTO’’ means the World 

11 Trade Organization. 

12 (4) WTO AGREEMENT.—The term ‘‘WTO 

13 Agreement’’ has the meaning given that term in sec14 tion 2(9) of the Uruguay Round Agreements Act (19 

15 U.S.C. 3501(9)). 

16 (5) WTO AGREEMENTS.—The term ‘‘WTO 

17 Agreements’’ means the WTO Agreement and agree18 ments annexed to that Agreement. 

19 SEC. 608. HONEY TRANSSHIPMENT. 

20 (a) IN GENERAL.—The Commissioner shall direct ap21 propriate personnel and resources of U.S. Customs and 

22 Border Protection to address concerns that honey is being 

23 imported into the United States in violation of the customs 

24 and trade laws of the United States. 

25 (b) COUNTRY OF ORIGIN.— 


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1 (1) IN GENERAL.—The Commissioner shall 

2 compile a database of the individual characteristics 

3 of honey produced in foreign countries to facilitate 

4 the verification of country of origin markings of im5 ported honey. 

6 (2) ENGAGEMENT WITH FOREIGN GOVERN7 MENTS.—The Commissioner shall seek to engage the 

8 customs agencies of foreign governments for assist9 ance in compiling the database described in para10 graph (1). 

11 (3) CONSULTATION WITH INDUSTRY.—In com12 piling the database described in paragraph (1), the 

13 Commissioner shall consult with entities in the 

14 honey industry regarding the development of indus15 try standards for honey identification. 

16 (4) CONSULTATION WITH FOOD AND DRUG AD17 MINISTRATION.—In compiling the database de18 scribed in paragraph (1), the Commissioner shall 

19 consult with the Commissioner of Food and Drugs. 

20 (c) REPORT REQUIRED.—Not later than 180 days 

21 after the date of the enactment of this Act, the Commis22 sioner shall submit to Congress a report that— 

23 (1) describes and assesses the limitations in the 

24 existing analysis capabilities of laboratories with re25 spect to determining the country of origin of honey 


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1 samples or the percentage of honey contained in a 

2 sample; and 

3 (2) includes any recommendations of the Com4 missioner for improving such capabilities. 

5 (d) SENSE OF CONGRESS.—It is the sense of Con6 gress that the Commissioner of Food and Drugs should 

7 promptly establish a national standard of identity for 

8 honey for the Commissioner responsible for U.S. Customs 

9 and Border Protection to use to ensure that imports of 

10 honey are— 

11 (1) classified accurately for purposes of assess12 ing duties; and 

13 (2) denied entry into the United States if such 

14 imports pose a threat to the health or safety of con15 sumers in the United States. 

16 SEC. 609. INCLUSION OF INTEREST IN CERTAIN DISTRIBU17 TIONS OF ANTIDUMPING DUTIES AND COUN18 TERVAILING DUTIES. 

19 (a) IN GENERAL.—The Secretary of Homeland Secu20 rity shall deposit all interest described in subsection (c) 

21 into the special account established under section 754(e) 

22 of the Tariff Act of 1930 (19 U.S.C. 1675c(e)) (repealed 

23 by subtitle F of title VII of the Deficit Reduction Act of 

24 2005 (Public Law 109–171; 120 Stat. 154)) for inclusion 


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1 in distributions described in subsection (b) made on or 

2 after the date of the enactment of this Act. 

3 (b) DISTRIBUTIONS DESCRIBED.—Distributions de4 scribed in this subsection are distributions of antidumping 

5 duties and countervailing duties assessed on or after Octo6 ber 1, 2000, that are made under section 754 of the Tariff 

7 Act of 1930 (19 U.S.C. 1675c) (repealed by subtitle F 

8 of title VII of the Deficit Reduction Act of 2005 (Public 

9 Law 109–171; 120 Stat. 154)), with respect to entries of 

10 merchandise— 

11 (1) made on or before September 30, 2007; and 

12 (2) that were, in accordance with section 822 of 

13 the Claims Resolution Act of 2010 (19 U.S.C. 1675c 

14 note), unliquidated, not in litigation, and not under 

15 an order of liquidation from the Department of 

16 Commerce on December 8, 2010. 

17 (c) INTEREST DESCRIBED.— 

18 (1) INTEREST REALIZED.—Interest described in 

19 this subsection is interest earned on antidumping 

20 duties or countervailing duties distributed as de21 scribed in subsection (b) that is realized through ap22 plication of a payment received on or after October 

23 1, 2014, by U.S. Customs and Border Protection 

24 under, or in connection with— 


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1 (A) a customs bond pursuant to a court 

2 order or judgment entered as a result of a civil 

3 action filed by the Federal Government against 

4 the surety from which the payment was ob5 tained for the purpose of collecting duties or in6 terest owed with respect to an entry; or 

7 (B) a settlement for any such bond if the 

8 settlement was executed after the Federal Gov9 ernment filed a civil action described in sub10 paragraph (A). 

11 (2) TYPES OF INTEREST.—Interest described in 

12 paragraph (1) includes the following: 

13 (A) Interest accrued under section 778 of 

14 the Tariff Act of 1930 (19 U.S.C. 1677g). 

15 (B) Interest accrued under section 505(d) 

16 of the Tariff Act of 1930 (19 U.S.C. 1505(d)). 

17 (C) Equitable interest under common law 

18 or interest under section 963 of the Revised 

19 Statutes (19 U.S.C. 580) awarded by a court 

20 against a surety under its bond for late pay21 ment of antidumping duties, countervailing du22 ties, or interest described in subparagraph (A) 

23 or (B). 

24 (d) DEFINITIONS.—In this section: 


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1 (1) ANTIDUMPING DUTIES.—The term ‘‘anti2 dumping duties’’ means antidumping duties imposed 

3 under section 731 of the Tariff Act of 1930 (19 

4 U.S.C. 1673) or under the Antidumping Act, 1921 

5 (title II of the Act of May 27, 1921; 42 Stat. 11, 

6 chapter 14). 

7 (2) COUNTERVAILING DUTIES.—The term 

8 ‘‘countervailing duties’’ means countervailing duties 

9 imposed under section 701 of the Tariff Act of 1930 

10 (19 U.S.C. 1671). 

11 SEC. 610. ILLICITLY IMPORTED, EXPORTED, OR TRAF12 FICKED CULTURAL PROPERTY, ARCHAE13 OLOGICAL OR ETHNOLOGICAL MATERIALS, 

14 AND FISH, WILDLIFE, AND PLANTS. 

15 (a) IN GENERAL.—The Commissioner and the Direc16 tor of U.S. Immigration and Customs Enforcement shall 

17 ensure that appropriate personnel of U.S. Customs and 

18 Border Protection and U.S. Immigration and Customs 

19 Enforcement, as the case may be, are trained in the detec20 tion, identification, detention, seizure, and forfeiture of 

21 cultural property, archaeological or ethnological materials, 

22 and fish, wildlife, and plants, the importation, exportation, 

23 or trafficking of which violates the laws of the United 

24 States. 


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1 (b) TRAINING.—The Commissioner and the Director 

2 are authorized to accept training and other support serv3 ices from experts outside of the Federal Government with 

4 respect to the detection, identification, detention, seizure, 

5 and forfeiture of cultural property, archaeological or eth6 nological materials, or fish, wildlife, and plants described 

7 in subsection (a). 

8 Subtitle B—Intellectual Property 

9 Rights Protection 

10 SEC. 611. ESTABLISHMENT OF CHIEF INNOVATION AND IN11 TELLECTUAL PROPERTY NEGOTIATOR. 

12 (a) IN GENERAL.—Section 141 of the Trade Act of 

13 1974 (19 U.S.C. 2171) is amended— 

14 (1) in subsection (b)(2), as amended by section 

15 605(a) of this Act— 

16 (A) by striking ‘‘and one Chief Manufac17 turing Negotiator’’ and inserting ‘‘one Chief 

18 Manufacturing Negotiator, and one Chief Inno19 vation and Intellectual Property Negotiator’’; 

20 (B) by striking ‘‘or the Chief Manufac21 turing Negotiator’’ and inserting ‘‘the Chief 

22 Manufacturing Negotiator, or the Chief Innova23 tion and Intellectual Property Negotiator’’; and 

24 (C) by striking ‘‘and the Chief Manufac25 turing Negotiator’’ and inserting ‘‘the Chief 


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1 Manufacturing Negotiator, and the Chief Inno2 vation and Intellectual Property Negotiator’’; 

3 and 

4 (2) in subsection (c), as amended by section 

5 605(b) of this Act, by adding at the end the fol6 lowing: 

7 ‘‘(7) The principal functions of the Chief Innovation 

8 and Intellectual Property Negotiator shall be to conduct 

9 trade negotiations and to enforce trade agreements relat10 ing to United States intellectual property and to take ap11 propriate actions to address acts, policies, and practices 

12 of foreign governments that have a significant adverse im13 pact on the value of United States innovation. The Chief 

14 Innovation and Intellectual Property Negotiator shall be 

15 a vigorous advocate on behalf of United States innovation 

16 and intellectual property interests. The Chief Innovation 

17 and Intellectual Property Negotiator shall perform such 

18 other functions as the United States Trade Representative 

19 may direct.’’. 

20 (b) COMPENSATION.—Section 5314 of title 5, United 

21 States Code, as amended by section 605(c) of this Act, 

22 is further amended by inserting after ‘‘Chief Manufac23 turing Negotiator, Office of the United States Trade Rep24 resentative.’’ the following: 


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1 ‘‘Chief Innovation and Intellectual Property Nego2 tiator, Office of the United States Trade Representative.’’. 

3 (c) REPORT REQUIRED.—Not later than one year 

4 after the appointment of the first Chief Innovation and 

5 Intellectual Property Negotiator pursuant to paragraph 

6 (2) of section 141(b) of the Trade Act of 1974, as amend7 ed by subsection (a), and annually thereafter, the United 

8 States Trade Representative shall submit to the Com9 mittee on Finance of the Senate and the Committee on 

10 Ways and Means of the House of Representatives a report 

11 describing in detail— 

12 (1) enforcement actions taken by the Trade 

13 Representative during the year preceding the sub14 mission of the report to ensure the protection of 

15 United States innovation and intellectual property 

16 interests; and 

17 (2) other actions taken by the Trade Represent18 ative to advance United States innovation and intel19 lectual property interests. 

20 SEC. 612. MEASURES RELATING TO COUNTRIES THAT DENY 

21 ADEQUATE PROTECTION FOR INTELLECTUAL 

22 PROPERTY RIGHTS. 

23 (a) INCLUSION OF COUNTRIES THAT DENY ADE24 QUATE PROTECTION OF TRADE SECRETS.—Section 

25 182(d)(2) of the Trade Act of 1974 (19 U.S.C. 


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1 2242(d)(2)) is amended by inserting ‘‘, trade secrets,’’ 

2 after ‘‘copyrights’’. 

3 (b) SPECIAL RULES FOR COUNTRIES ON THE PRI4 ORITY WATCH LIST OF THE UNITED STATES TRADE

5 REPRESENTATIVE.— 

6 (1) IN GENERAL.—Section 182 of the Trade 

7 Act of 1974 (19 U.S.C. 2242) is amended by strik8 ing subsection (g) and inserting the following: 

9 ‘‘(g) SPECIAL RULES FOR FOREIGN COUNTRIES ON

10 THE PRIORITY WATCH LIST.— 

11 ‘‘(1) ACTION PLANS.— 

12 ‘‘(A) IN GENERAL.—Not later than 90 

13 days after the date on which the Trade Rep14 resentative submits the National Trade Esti15 mate under section 181(b), the Trade Rep16 resentative shall develop an action plan de17 scribed in subparagraph (C) with respect to 

18 each foreign country described in subparagraph 

19 (B). 

20 ‘‘(B) FOREIGN COUNTRY DESCRIBED.— 

21 The Trade Representative shall develop an ac22 tion plan pursuant to subparagraph (A) with 

23 respect to each foreign country that— 


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1 ‘‘(i) the Trade Representative has 

2 identified for placement on the priority 

3 watch list; and 

4 ‘‘(ii) has remained on such list for at 

5 least 1 year. 

6 ‘‘(C) ACTION PLAN DESCRIBED.—An ac7 tion plan developed pursuant to subparagraph 

8 (A) shall contain the benchmarks described in 

9 subparagraph (D) and be designed to assist the 

10 foreign country— 

11 ‘‘(i) to achieve— 

12 ‘‘(I) adequate and effective pro13 tection of intellectual property rights; 

14 and 

15 ‘‘(II) fair and equitable market 

16 access for United States persons that 

17 rely upon intellectual property protec18 tion; or 

19 ‘‘(ii) to make significant progress to20 ward achieving the goals described in 

21 clause (i). 

22 ‘‘(D) BENCHMARKS DESCRIBED.—The 

23 benchmarks contained in an action plan devel24 oped pursuant to subparagraph (A) are such 

25 legislative, institutional, enforcement, or other 


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1 actions as the Trade Representative determines 

2 to be necessary for the foreign country to 

3 achieve the goals described in clause (i) or (ii) 

4 of subparagraph (C). 

5 ‘‘(2) FAILURE TO MEET ACTION PLAN BENCH6 MARKS.—If, 1 year after the date on which an ac7 tion plan is developed under paragraph (1)(A), the 

8 President, in consultation with the Trade Represent9 ative, determines that the foreign country to which 

10 the action plan applies has not substantially com11 plied with the benchmarks described in paragraph 

12 (1)(D), the President may take appropriate action 

13 with respect to the foreign country. 

14 ‘‘(3) PRIORITY WATCH LIST DEFINED.—In this 

15 subsection, the term ‘priority watch list’ means the 

16 priority watch list established by the Trade Rep17 resentative. 

18 ‘‘(h) ANNUAL REPORT.—Not later than 30 days after 

19 the date on which the Trade Representative submits the 

20 National Trade Estimate under section 181(b), the Trade 

21 Representative shall transmit to the Committee on Ways 

22 and Means of the House of Representatives and the Com23 mittee on Finance of the Senate a report on actions taken 

24 under this section during the 12 months preceding such 

25 report, and the reasons for such actions, including— 


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1 ‘‘(1) any foreign countries identified under sub2 section (a); 

3 ‘‘(2) a description of progress made in achiev4 ing improved intellectual property protection and 

5 market access for persons relying on intellectual 

6 property rights; and 

7 ‘‘(3) a description of the action plans developed 

8 under subsection (g) and any actions taken by for9 eign countries under such plans.’’. 

10 (2) AUTHORIZATION OF APPROPRIATIONS.— 

11 (A) IN GENERAL.—There are authorized to 

12 be appropriated to the Office of the United 

13 States Trade Representative such sums as may 

14 be necessary to provide assistance to any devel15 oping country to which an action plan applies 

16 under section 182(g) of the Trade Act of 1974, 

17 as amended by paragraph (1), to facilitate the 

18 efforts of the developing country to comply with 

19 the benchmarks contained in the action plan. 

20 Such assistance may include capacity building, 

21 activities designed to increase awareness of in22 tellectual property rights, and training for offi23 cials responsible for enforcing intellectual prop24 erty rights in the developing country. 


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1 (B) DEVELOPING COUNTRY DEFINED.—In 

2 this paragraph, the term ‘‘developing country’’ 

3 means a country classified by the World Bank 

4 as having a low-income or lower-middle-income 

5 economy. 

6 (3) RULE OF CONSTRUCTION.—Nothing in this 

7 subsection shall be construed as limiting the author8 ity of the President or the United States Trade Rep9 resentative to develop action plans other than action 

10 plans described in section 182(g) of the Trade Act 

11 of 1974, as amended by paragraph (1), or to take 

12 any action otherwise authorized by law in response 

13 to the failure of a foreign country to provide ade14 quate and effective protection and enforcement of in15 tellectual property rights. 

16 TITLE VII—CURRENCY 

17 MANIPULATION 

18 Subtitle A—Investigation of 

19 Currency Undervaluation 

20 SEC. 701. SHORT TITLE. 

21 This subtitle may be cited as the ‘‘Currency Under22 valuation Investigation Act’’. 


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1 SEC. 702. INVESTIGATION OR REVIEW OF CURRENCY 

2 UNDERVALUATION UNDER COUNTERVAILING 

3 DUTY LAW. 

4 Subsection (c) of section 702 of the Tariff Act of 

5 1930 (19 U.S.C. 1671a(c)) is amended by adding at the 

6 end the following: 

7 ‘‘(6) CURRENCY UNDERVALUATION.—For pur8 poses of a countervailing duty investigation under 

9 this subtitle in which the determinations under 

10 clauses (i) and (ii) of paragraph (1)(A) are affirma11 tive, or a review under subtitle C with respect to a 

12 countervailing duty order, the administering author13 ity shall initiate an investigation to determine wheth14 er currency undervaluation by the government of a 

15 country or any public entity within the territory of 

16 a country is providing, directly or indirectly, a 

17 countervailable subsidy, if— 

18 ‘‘(A) a petition filed by an interested party 

19 (described in subparagraph (C), (D), (E), (F), 

20 or (G) of section 771(9)) alleges the elements 

21 necessary for the imposition of the duty im22 posed by section 701(a); and 

23 ‘‘(B) the petition is accompanied by infor24 mation reasonably available to the petitioner 

25 supporting those allegations.’’. 


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1 SEC. 703. BENEFIT CALCULATION METHODOLOGY WITH RE2 SPECT TO CURRENCY UNDERVALUATION. 

3 Section 771 of the Tariff Act of 1930 (19 U.S.C. 

4 1677) is amended by adding at the end the following: 

5 ‘‘(37) CURRENCY UNDERVALUATION BEN6 EFIT.— 

7 ‘‘(A) CURRENCY UNDERVALUATION BEN8 EFIT.—For purposes of a countervailing duty 

9 investigation under subtitle A, or a review 

10 under subtitle C with respect to a counter11 vailing duty order, the following shall apply: 

12 ‘‘(i) IN GENERAL.—If the admin13 istering authority determines to investigate 

14 whether currency undervaluation provides 

15 a countervailable subsidy, the admin16 istering authority shall determine whether 

17 there is a benefit to the recipient of that 

18 subsidy and measure such benefit by com19 paring the simple average of the real ex20 change rates derived from application of 

21 the macroeconomic-balance approach and 

22 the equilibrium-real-exchange-rate ap23 proach to the official daily exchange rate 

24 identified by the administering authority. 

25 ‘‘(ii) RELIANCE ON DATA.—In making 

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1 ministering authority shall rely upon data 

2 that are publicly available, reliable, and 

3 compiled and maintained by the Inter4 national Monetary Fund or the World 

5 Bank, or other international organizations 

6 or national governments if data from the 

7 International Monetary Fund or World 

8 Bank are not available. 

9 ‘‘(B) DEFINITIONS.—In this paragraph: 

10 ‘‘(i) MACROECONOMIC-BALANCE AP11 PROACH.—The term ‘macroeconomic-bal12 ance approach’ means a methodology 

13 under which the level of undervaluation of 

14 the real effective exchange rate of the cur15 rency of the exporting country is defined 

16 as the change in the real effective exchange 

17 rate needed to achieve equilibrium in the 

18 balance of payments of the exporting coun19 try, as such methodology is described in 

20 the guidelines of the International Mone21 tary Fund’s Consultative Group on Ex22 change Rate Issues, if available. 

23 ‘‘(ii) EQUILIBRIUM-REAL-EXCHANGE24 RATE APPROACH.—The term ‘equilibrium25 real-exchange-rate approach’ means a 


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1 methodology under which the level of 

2 undervaluation of the real effective ex3 change rate of the currency of the export4 ing country is defined as the difference be5 tween the observed real effective exchange 

6 rate and the real effective exchange rate, 

7 as such methodology is described in the 

8 guidelines of the International Monetary 

9 Fund’s Consultative Group on Exchange 

10 Rate Issues, if available. 

11 ‘‘(iii) REAL EXCHANGE RATES.—The 

12 term ‘real exchange rates’ means the bilat13 eral exchange rates derived from con14 verting the trade-weighted multilateral ex15 change rates yielded by the macro16 economic-balance approach and the equi17 librium-real-exchange-rate approach into 

18 real bilateral terms.’’. 

19 SEC. 704. MODIFICATION OF DEFINITION OF SPECIFICITY 

20 WITH RESPECT TO EXPORT SUBSIDY. 

21 Section 771(5A)(B) of the Tariff Act of 1930 (19 

22 U.S.C. 1677(5A)(B)) is amended by adding at the end 

23 the following new sentence: ‘‘The fact that a subsidy may 

24 also be provided in circumstances that do not involve ex25 port shall not, for that reason alone, mean that the subVerDate Sep 11 2014 23:07 May 11, 2015 Jkt 049200 PO 00000 Frm 00164 Fmt 6652 Sfmt 6201 E:\BILLS\S1269.PCS S1269

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1 sidy cannot be considered contingent upon export perform2 ance.’’. 

3 SEC. 705. APPLICATION TO CANADA AND MEXICO. 

4 Pursuant to article 1902 of the North American Free 

5 Trade Agreement and section 408 of the North American 

6 Free Trade Agreement Implementation Act (19 U.S.C. 

7 3438), the amendments made by this subtitle shall apply 

8 with respect to goods from Canada and Mexico. 

9 SEC. 706. EFFECTIVE DATE. 

10 The amendments made by this subtitle apply to coun11 tervailing duty investigations initiated under subtitle A of 

12 title VII of the Tariff Act of 1930 (19 U.S.C. 1671 et 

13 seq.) and reviews initiated under subtitle C of title VII 

14 of such Act (19 U.S.C. 1675 et seq.)— 

15 (1) before the date of the enactment of this 

16 Act, if the investigation or review is pending a final 

17 determination as of such date of enactment; and 

18 (2) on or after such date of enactment. 


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1 Subtitle B—Engagement on Cur2 rency Exchange Rate and Eco3 nomic Policies 

4 SEC. 711. ENHANCEMENT OF ENGAGEMENT ON CURRENCY 

5 EXCHANGE RATE AND ECONOMIC POLICIES 

6 WITH CERTAIN MAJOR TRADING PARTNERS 

7 OF THE UNITED STATES. 

8 (a) MAJOR TRADING PARTNER REPORT.— 

9 (1) IN GENERAL.—Not later than 180 days 

10 after the date of the enactment of this Act, and not 

11 less frequently than once every 180 days thereafter, 

12 the Secretary shall submit to the appropriate com13 mittees of Congress a report on the macroeconomic 

14 and currency exchange rate policies of each country 

15 that is a major trading partner of the United States. 

16 (2) ELEMENTS.— 

17 (A) IN GENERAL.—Each report submitted 

18 under paragraph (1) shall contain— 

19 (i) for each country that is a major 

20 trading partner of the United States— 

21 (I) that country’s bilateral trade 

22 balance with the United States; 

23 (II) that country’s current ac24 count balance as a percentage of its 

25 gross domestic product; 


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1 (III) the change in that country’s 

2 current account balance as a percent3 age of its gross domestic product dur4 ing the 3-year period preceding the 

5 submission of the report; 

6 (IV) that country’s foreign ex7 change reserves as a percentage of its 

8 short-term debt; and 

9 (V) that country’s foreign ex10 change reserves as a percentage of its 

11 gross domestic product; and 

12 (ii) an enhanced analysis of macro13 economic and exchange rate policies for 

14 each country— 

15 (I) that is a major trading part16 ner of the United States; 

17 (II) the currency of which is per18 sistently and substantially under19 valued; 

20 (III) that has— 

21 (aa) a significant bilateral 

22 trade surplus with the United 

23 States; and 

24 (bb) a material global cur25 rent account surplus; and 


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1 (IV) that has engaged in per2 sistent one-sided intervention in the 

3 foreign exchange market. 

4 (B) ENHANCED ANALYSIS.—Each en5 hanced analysis under subparagraph (A)(ii) 

6 shall include, for each country with respect to 

7 which an analysis is made under that subpara8 graph— 

9 (i) a description of developments in 

10 the currency markets of that country, in11 cluding, to the greatest extent feasible, de12 velopments with respect to currency inter13 ventions; 

14 (ii) a description of trends in the real 

15 effective exchange rate of the currency of 

16 that country and in the degree of under17 valuation of that currency; 

18 (iii) an analysis of changes in the cap19 ital controls and trade restrictions of that 

20 country; and 

21 (iv) patterns in the reserve accumula22 tion of that country. 

23 (b) ENGAGEMENT ON EXCHANGE RATE AND ECO24 NOMIC POLICIES.— 


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1 (1) IN GENERAL.—Except as provided in para2 graph (2), the President, through the Secretary, 

3 shall commence enhanced bilateral engagement with 

4 each country for which an enhanced analysis of mac5 roeconomic and currency exchange rate policies is in6 cluded in the report submitted under subsection (a), 

7 in order to— 

8 (A) urge implementation of policies to ad9 dress the causes of the undervaluation of its 

10 currency, its bilateral trade surplus with the 

11 United States, and its material global current 

12 account surplus, including undervaluation and 

13 surpluses relating to exchange rate manage14 ment; 

15 (B) express the concern of the United 

16 States with respect to the adverse trade and 

17 economic effects of that undervaluation and 

18 those surpluses; 

19 (C) develop measureable objectives for ad20 dressing that undervaluation and those sur21 pluses; and 

22 (D) advise that country of the ability of 

23 the President to take action under subsection 

24 (c). 


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1 (2) EXCEPTION.—The Secretary may determine 

2 not to enhance bilateral engagement with a country 

3 under paragraph (1) for which an enhanced analysis 

4 of macroeconomic and exchange rate policies is in5 cluded in the report submitted under subsection (a) 

6 if the Secretary submits to the appropriate commit7 tees of Congress a report that describes how the cur8 rency and other macroeconomic policies of that 

9 country are addressing the undervaluation and sur10 pluses specified in paragraph (1)(A) with respect to 

11 that country, including undervaluation and surpluses 

12 relating to exchange rate management. 

13 (c) REMEDIAL ACTION.— 

14 (1) IN GENERAL.—If, on the date that is one 

15 year after the commencement of enhanced bilateral 

16 engagement by the President with respect to a coun17 try under subsection (b)(1), the country has failed to 

18 adopt appropriate policies to correct the undervalu19 ation and surpluses described in subsection 

20 (b)(1)(A) with respect to that country, the President 

21 may take one or more of the following actions: 

22 (A) Prohibit the Overseas Private Invest23 ment Corporation from approving any new fi24 nancing (including any insurance, reinsurance, 


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1 or guarantee) with respect to a project located 

2 in that country on and after such date. 

3 (B) Except as provided in paragraph (2), 

4 and pursuant to paragraph (3), prohibit the 

5 Federal Government from procuring, or enter6 ing into any contract for the procurement of, 

7 goods or services from that country on and 

8 after such date. 

9 (C) Instruct the United States Executive 

10 Director of the International Monetary Fund to 

11 use the voice and vote of the United States to 

12 call for additional rigorous surveillance of the 

13 macroeconomic and exchange rate policies of 

14 that country and, as appropriate, formal con15 sultations on findings of currency manipulation. 

16 (D) Instruct the United States Trade Rep17 resentative to take into account, in consultation 

18 with the Secretary, in assessing whether to 

19 enter into a bilateral or regional trade agree20 ment with that country or to initiate or partici21 pate in negotiations with respect to a bilateral 

22 or regional trade agreement with that country, 

23 the extent to which that country has failed to 

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1 valuation and surpluses described in subsection 

2 (b)(1)(A). 

3 (2) EXCEPTION.—The President may not apply 

4 a prohibition under paragraph (1)(B) with respect to 

5 a country that is a party to the Agreement on Gov6 ernment Procurement or a free trade agreement to 

7 which the United States is a party. 

8 (3) CONSULTATIONS.— 

9 (A) OFFICE OF MANAGEMENT AND BUDG10 ET.—Before applying a prohibition under para11 graph (1)(B), the President shall consult with 

12 the Director of the Office of Management and 

13 Budget to determine whether such prohibition 

14 would subject the taxpayers of the United 

15 States to unreasonable cost. 

16 (B) CONGRESS.—The President shall con17 sult with the appropriate committees of Con18 gress with respect to any action the President 

19 takes under paragraph (1)(B), including wheth20 er the President has consulted as required 

21 under subparagraph (A). 

22 (d) DEFINITIONS.—In this section: 

23 (1) AGREEMENT ON GOVERNMENT PROCURE24 MENT.—The term ‘‘Agreement on Government Pro25 curement’’ means the agreement referred to in secVerDate Sep 11 2014 23:07 May 11, 2015 Jkt 049200 PO 00000 Frm 00172 Fmt 6652 Sfmt 6201 E:\BILLS\S1269.PCS S1269

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1 tion 101(d)(17) of the Uruguay Round Agreements 

2 Act (19 U.S.C. 3511(d)(17)). 

3 (2) APPROPRIATE COMMITTEES OF CON4 GRESS.—The term ‘‘appropriate committees of Con5 gress’’ means— 

6 (A) the Committee on Banking, Housing, 

7 and Urban Affairs and the Committee on Fi8 nance of the Senate; and 

9 (B) the Committee on Financial Services 

10 and the Committee on Ways and Means of the 

11 House of Representatives. 

12 (3) COUNTRY.—The term ‘‘country’’ means a 

13 foreign country, dependent territory, or possession of 

14 a foreign country, and may include an association of 

15 2 or more foreign countries, dependent territories, or 

16 possessions of countries into a customs union out17 side the United States. 

18 (4) REAL EFFECTIVE EXCHANGE RATE.—The 

19 term ‘‘real effective exchange rate’’ means a weight20 ed average of bilateral exchange rates, expressed in 

21 price-adjusted terms. 

22 (5) SECRETARY.—The term ‘‘Secretary’’ means 

23 the Secretary of the Treasury. 


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1 SEC. 712. ADVISORY COMMITTEE ON INTERNATIONAL EX2 CHANGE RATE POLICY. 

3 (a) ESTABLISHMENT.— 

4 (1) IN GENERAL.—There is established an Ad5 visory Committee on International Exchange Rate 

6 Policy (in this section referred to as the ‘‘Com7 mittee’’). 

8 (2) DUTIES.—The Committee shall be respon9 sible for advising the Secretary of the Treasury with 

10 respect to the impact of international exchange rates 

11 and financial policies on the economy of the United 

12 States. 

13 (b) MEMBERSHIP.— 

14 (1) IN GENERAL.—The Committee shall be 

15 composed of 9 members as follows, none of whom 

16 shall be employees of the Federal Government: 

17 (A) Three members shall be appointed by 

18 the President pro tempore of the Senate, upon 

19 the recommendation of the chairmen and rank20 ing members of the Committee on Banking, 

21 Housing, and Urban Affairs and the Committee 

22 on Finance of the Senate. 

23 (B) Three members shall be appointed by 

24 the Speaker of the House of Representatives 

25 upon the recommendation of the chairmen and 

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1 cial Services and the Committee on Ways and 

2 Means of the House of Representatives. 

3 (C) Three members shall be appointed by 

4 the President. 

5 (2) QUALIFICATIONS.—Members shall be se6 lected under paragraph (1) on the basis of their ob7 jectivity and demonstrated expertise in finance, eco8 nomics, or currency exchange. 

9 (3) TERMS.— 

10 (A) IN GENERAL.—Members shall be ap11 pointed for a term of 2 years or until the Com12 mittee terminates. 

13 (B) REAPPOINTMENT.—A member may be 

14 reappointed to the Committee for additional 

15 terms. 

16 (4) VACANCIES.—Any vacancy in the Com17 mittee shall not affect its powers, but shall be filled 

18 in the same manner as the original appointment. 

19 (c) DURATION OF COMMITTEE.— 

20 (1) IN GENERAL.—The Committee shall termi21 nate on the date that is 2 years after the date of the 

22 enactment of this Act unless renewed by the Presi23 dent for a subsequent 2-year period. 

24 (2) CONTINUED RENEWAL.—The President 

25 may continue to renew the Committee for successive 


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1 2-year periods by taking appropriate action to renew 

2 the Committee prior to the date on which the Com3 mittee would otherwise terminate. 

4 (d) MEETINGS.—The Committee shall hold not less 

5 than 2 meetings each calendar year. 

6 (e) CHAIRPERSON.— 

7 (1) IN GENERAL.—The Committee shall elect 

8 from among its members a chairperson for a term 

9 of 2 years or until the Committee terminates. 

10 (2) REELECTION; SUBSEQUENT TERMS.—A 

11 chairperson of the Committee may be reelected 

12 chairperson but is ineligible to serve consecutive 

13 terms as chairperson. 

14 (f) STAFF.—The Secretary of the Treasury shall 

15 make available to the Committee such staff, information, 

16 personnel, administrative services, and assistance as the 

17 Committee may reasonably require to carry out the activi18 ties of the Committee. 

19 (g) APPLICATION OF THE FEDERAL ADVISORY COM20 MITTEE ACT.— 

21 (1) IN GENERAL.—Except as provided in para22 graph (2), the provisions of the Federal Advisory 

23 Committee Act (5 U.S.C. App.) shall apply to the 

24 Committee. 


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1 (2) EXCEPTION.—Meetings of the Committee 

2 shall be exempt from the requirements of sub3 sections (a) and (b) of section 10 and section 11 of 

4 the Federal Advisory Committee Act (relating to 

5 open meetings, public notice, public participation, 

6 and public availability of documents), whenever and 

7 to the extent it is determined by the President or the 

8 Secretary of the Treasury that such meetings will be 

9 concerned with matters the disclosure of which— 

10 (A) would seriously compromise the devel11 opment by the Government of the United States 

12 of monetary or financial policy; or 

13 (B) is likely to— 

14 (i) lead to significant financial specu15 lation in currencies, securities, or commod16 ities; or 

17 (ii) significantly endanger the stability 

18 of any financial institution. 

19 (h) AUTHORIZATION OF APPROPRIATIONS.—There 

20 are authorized to be appropriated to the Secretary of the 

21 Treasury for each fiscal year in which the Committee is 

22 in effect $1,000,000 to carry out this section. 


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1 TITLE VIII—PROCESS FOR CON2 SIDERATION OF TEMPORARY 

3 DUTY SUSPENSIONS AND RE4 DUCTIONS 

5 SEC. 801. SHORT TITLE. 

6 This title may be cited as the ‘‘American Manufac7 turing Competitiveness Act of 2015’’. 

8 SEC. 802. SENSE OF CONGRESS ON THE NEED FOR A MIS9 CELLANEOUS TARIFF BILL. 

10 (a) FINDINGS.—Congress makes the following find11 ings: 

12 (1) As of the date of the enactment of this Act, 

13 the Harmonized Tariff Schedule of the United 

14 States imposes duties on imported goods for which 

15 there is no domestic availability or insufficient do16 mestic availability. 

17 (2) The imposition of duties on such goods cre18 ates artificial distortions in the economy of the 

19 United States that negatively affect United States 

20 manufacturers and consumers. 

21 (3) It is in the interests of the United States 

22 to update the Harmonized Tariff Schedule every 3 

23 years to eliminate such artificial distortions by sus24 pending or reducing duties on such goods. 


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1 (4) The manufacturing competitiveness of the 

2 United States around the world will be enhanced if 

3 Congress regularly and predictably updates the Har4 monized Tariff Schedule to suspend or reduce duties 

5 on such goods. 

6 (b) SENSE OF CONGRESS.—It is the sense of Con7 gress that, to remove the competitive disadvantage to 

8 United States manufactures and consumers resulting from 

9 an outdated Harmonized Tariff Schedule and to promote 

10 the competitiveness of United States manufacturers, Con11 gress should consider a miscellaneous tariff bill not later 

12 than 180 days after the United States International Trade 

13 Commission and the Department of Commerce issue re14 ports on proposed duty suspensions and reductions under 

15 this title. 

16 SEC. 803. PROCESS FOR CONSIDERATION OF DUTY SUSPEN17 SIONS AND REDUCTIONS. 

18 (a) PURPOSE.—It is the purpose of this section to 

19 establish a process by the appropriate congressional com20 mittees, in conjunction with the Commission pursuant to 

21 its authorities under section 332 of the Tariff Act of 1930 

22 (19 U.S.C. 1332), for the submission and consideration 

23 of proposed duty suspensions and reductions. 

24 (b) ESTABLISHMENT.—Not later than October 15, 

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1 sional committees shall establish and, on the same day, 

2 publish on their respective publicly available Internet 

3 websites a process— 

4 (1) to provide for the submission and consider5 ation of legislation containing proposed duty suspen6 sions and reductions in a manner that, to the max7 imum extent practicable, is consistent with the re8 quirements described in subsection (c); and 

9 (2) to include in a miscellaneous tariff bill those 

10 duty suspensions and reductions that meet the re11 quirements of this title. 

12 (c) REQUIREMENTS OF COMMISSION.— 

13 (1) INITIATION.—Not later than October 15, 

14 2015, and October 15, 2018, the Commission shall 

15 publish in the Federal Register and on a publicly 

16 available Internet website of the Commission a no17 tice requesting members of the public to submit to 

18 the Commission during the 60-day period beginning 

19 on the date of such publication— 

20 (A) proposed duty suspensions and reduc21 tions; and 

22 (B) Commission disclosure forms with re23 spect to such duty suspensions and reductions. 

24 (2) REVIEW.— 


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1 (A) COMMISSION SUBMISSION TO CON2 GRESS.—As soon as practicable after the expi3 ration of the 60-day period specified in para4 graph (1), but not later than 15 days after the 

5 expiration of such 60-day period, the Commis6 sion shall submit to the appropriate congres7 sional committees the proposed duty suspen8 sions and reductions submitted under para9 graph (1)(A) and the Commission disclosure 

10 forms with respect to such duty suspensions 

11 and reductions submitted under paragraph 

12 (1)(B). 

13 (B) PUBLIC AVAILABILITY OF PROPOSED

14 DUTY SUSPENSIONS AND REDUCTIONS.—Not 

15 later than 15 days after the expiration of the 

16 60-day period specified in paragraph (1), the 

17 Commission shall publish on a publicly available 

18 Internet website of the Commission the pro19 posed duty suspensions and reductions sub20 mitted under paragraph (1)(A) and the Com21 mission disclosure forms with respect to such 

22 duty suspensions and reductions submitted 

23 under paragraph (1)(B). 

24 (C) COMMISSION REPORTS TO CON25 GRESS.—Not later than the end of the 90-day 


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1 period beginning on the date of publication of 

2 the proposed duty suspensions and reductions 

3 under subparagraph (B), the Commission shall 

4 submit to the appropriate congressional com5 mittees a report on each proposed duty suspen6 sion or reduction submitted pursuant to sub7 section (b)(1) or paragraph (1)(A) that con8 tains the following information: 

9 (i) A determination of whether or not 

10 domestic production of the article that is 

11 the subject of the proposed duty suspen12 sion or reduction exists and, if such pro13 duction exists, whether or not a domestic 

14 producer of the article objects to the pro15 posed duty suspension or reduction. 

16 (ii) Any technical changes to the arti17 cle description that are necessary for pur18 poses of administration when articles are 

19 presented for importation. 

20 (iii) The amount of tariff revenue that 

21 would no longer be collected if the pro22 posed duty suspension or reduction takes 

23 effect. 

24 (iv) A determination of whether or not 

25 the proposed duty suspension or reduction 


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1 is available to any person that imports the 

2 article that is the subject of the proposed 

3 duty suspension or reduction. 

4 (3) PROCEDURES.—The Commission shall pre5 scribe and publish on a publicly available Internet 

6 website of the Commission procedures for complying 

7 with the requirements of this subsection. 

8 (4) AUTHORITIES DESCRIBED.—The Commis9 sion shall carry out this subsection pursuant to its 

10 authorities under section 332 of the Tariff Act of 

11 1930 (19 U.S.C. 1332). 

12 (d) DEPARTMENT OF COMMERCE REPORT.—Not 

13 later than the end of the 90-day period beginning on the 

14 date of publication of the proposed duty suspensions and 

15 reductions under subsection (c)(2)(B), the Secretary of 

16 Commerce, in consultation with U.S. Customs and Border 

17 Protection and other relevant Federal agencies, shall sub18 mit to the appropriate congressional committees a report 

19 on each proposed duty suspension and reduction sub20 mitted pursuant to subsection (b)(1) or (c)(1)(A) that in21 cludes the following information: 

22 (1) A determination of whether or not domestic 

23 production of the article that is the subject of the 

24 proposed duty suspension or reduction exists and, if 

25 such production exists, whether or not a domestic 


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1 producer of the article objects to the proposed duty 

2 suspension or reduction. 

3 (2) Any technical changes to the article descrip4 tion that are necessary for purposes of administra5 tion when articles are presented for importation. 

6 (e) RULE OF CONSTRUCTION.—A proposed duty sus7 pension or reduction submitted under this section by a 

8 Member of Congress shall receive treatment no more fa9 vorable than the treatment received by a proposed duty 

10 suspension or reduction submitted under this section by 

11 a member of the public. 

12 SEC. 804. REPORT ON EFFECTS OF DUTY SUSPENSIONS 

13 AND REDUCTIONS ON UNITED STATES ECON14 OMY. 

15 (a) IN GENERAL.—Not later than May 1, 2018, and 

16 May 1, 2020, the Commission shall submit to the appro17 priate congressional committees a report on the effects on 

18 the United States economy of temporary duty suspensions 

19 and reductions enacted pursuant to this title, including a 

20 broad assessment of the economic effects of such duty sus21 pensions and reductions on producers, purchasers, and 

22 consumers in the United States, using case studies de23 scribing such effects on selected industries or by type of 

24 article as available data permit. 


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1 (b) RECOMMENDATIONS.—The Commission shall also 

2 solicit and append to the report required under subsection 

3 (a) recommendations with respect to those domestic indus4 try sectors or specific domestic industries that might ben5 efit from permanent duty suspensions and reductions or 

6 elimination of duties, either through a unilateral action of 

7 the United States or though negotiations for reciprocal 

8 tariff agreements, with a particular focus on inequities 

9 created by tariff inversions. 

10 (c) FORM OF REPORT.—Each report required by this 

11 section shall be submitted in unclassified form, but may 

12 include a classified annex. 

13 SEC. 805. JUDICIAL REVIEW PRECLUDED. 

14 The exercise of functions under this title shall not 

15 be subject to judicial review. 

16 SEC. 806. DEFINITIONS. 

17 In this title: 

18 (1) APPROPRIATE CONGRESSIONAL COMMIT19 TEES.—The term ‘‘appropriate congressional com20 mittees’’ means the Committee on Ways and Means 

21 of the House of Representatives and the Committee 

22 on Finance of the Senate. 

23 (2) COMMISSION.—The term ‘‘Commission’’ 

24 means the United States International Trade Com25 mission. 


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1 (3) COMMISSION DISCLOSURE FORM.—The 

2 term ‘‘Commission disclosure form’’ means, with re3 spect to a proposed duty suspension or reduction, a 

4 document submitted by a member of the public to 

5 the Commission that contains the following: 

6 (A) The contact information for any known 

7 importers of the article to which the proposed 

8 duty suspension or reduction would apply. 

9 (B) A certification by the member of the 

10 public that the proposed duty suspension or re11 duction is available to any person importing the 

12 article to which the proposed duty suspension 

13 or reduction would apply. 

14 (4) DOMESTIC PRODUCER.—The term ‘‘domes15 tic producer’’ means a person that demonstrates 

16 production, or imminent production, in the United 

17 States of an article that is identical to, or like or di18 rectly competitive with, an article to which a pro19 posed duty suspension or reduction would apply. 

20 (5) DUTY SUSPENSION OR REDUCTION.— 

21 (A) IN GENERAL.—The term ‘‘duty sus22 pension or reduction’’ means an amendment to 

23 subchapter II of chapter 99 of the Harmonized 

24 Tariff Schedule of the United States that— 


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1 (i)(I) extends an existing temporary 

2 duty suspension or reduction of duty on an 

3 article under that subchapter; or 

4 (II) provides for a new temporary 

5 duty suspension or reduction of duty on an 

6 article under that subchapter; and 

7 (ii) otherwise meets the requirements 

8 described in subparagraph (B). 

9 (B) REQUIREMENTS.—A duty suspension 

10 or reduction meets the requirements described 

11 in this subparagraph if— 

12 (i) the duty suspension or reduction 

13 can be administered by U.S. Customs and 

14 Border Protection; 

15 (ii) the estimated loss in revenue to 

16 the United States from the duty suspen17 sion or reduction does not exceed $500,000 

18 in a calendar year during which the duty 

19 suspension or reduction would be in effect, 

20 as determined by the Congressional Budg21 et Office; and 

22 (iii) the duty suspension or reduction 

23 is available to any person importing the ar24 ticle that is the subject of the duty suspen25 sion or reduction. 


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1 (6) MEMBER OF CONGRESS.—The term ‘‘Mem2 ber of Congress’’ means a Senator or a Representa3 tive in, or Delegate or Resident Commissioner to, 

4 Congress. 

5 (7) MISCELLANEOUS TARIFF BILL.—The term 

6 ‘‘miscellaneous tariff bill’’ means a bill of either 

7 House of Congress that contains only— 

8 (A) duty suspensions and reductions 

9 that— 

10 (i) meet the applicable requirements 

11 for— 

12 (I) consideration of duty suspen13 sions and reductions described in sec14 tion 803; or 

15 (II) any other process required 

16 under the Rules of the House of Rep17 resentatives or the Senate; and 

18 (ii) are not the subject of an objection 

19 because such duty suspensions and reduc20 tions do not comply with the requirements 

21 of this title from— 

22 (I) a Member of Congress; or 

23 (II) a domestic producer, as con24 tained in comments submitted to the 

25 appropriate congressional committees, 


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1 the Commission, or the Department of 

2 Commerce under section 803; and 

3 (B) provisions included in bills introduced 

4 in the House of Representatives or the Senate 

5 pursuant to a process described in subpara6 graph (A)(i)(II) that correct an error in the 

7 text or administration of a provision of the 

8 Harmonized Tariff Schedule of the United 

9 States. 

10 TITLE IX—MISCELLANEOUS 

11 PROVISIONS 

12 SEC. 901. DE MINIMIS VALUE. 

13 (a) FINDINGS.—Congress makes the following find14 ings: 

15 (1) Modernizing international customs is crit16 ical for United States businesses of all sizes, con17 sumers in the United States, and the economic 

18 growth of the United States. 

19 (2) Higher thresholds for the value of articles 

20 that may be entered informally and free of duty pro21 vide significant economic benefits to businesses and 

22 consumers in the United States and the economy of 

23 the United States through costs savings and reduc24 tions in trade transaction costs. 


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1 (b) SENSE OF CONGRESS.—It is the sense of Con2 gress that the United States Trade Representative should 

3 encourage other countries, through bilateral, regional, and 

4 multilateral fora, to establish commercially meaningful de 

5 minimis values for express and postal shipments that are 

6 exempt from customs duties and taxes and from certain 

7 entry documentation requirements, as appropriate. 

8 (c) DE MINIMIS VALUE.—Section 321(a)(2)(C) of 

9 the Tariff Act of 1930 (19 U.S.C. 1321(a)(2)(C)) is 

10 amended by striking ‘‘$200’’ and inserting ‘‘$800’’. 

11 (d) EFFECTIVE DATE.—The amendment made by 

12 subsection (c) shall apply with respect to articles entered, 

13 or withdrawn from warehouse for consumption, on or after 

14 the 15th day after the date of the enactment of this Act. 

15 SEC. 902. CONSULTATION ON TRADE AND CUSTOMS REV16 ENUE FUNCTIONS. 

17 Section 401(c) of the Safety and Accountability for 

18 Every Port Act (6 U.S.C. 115(c)) is amended— 

19 (1) in paragraph (1), by striking ‘‘on Depart20 ment policies and actions that have’’ and inserting 

21 ‘‘not later than 30 days after proposing, and not 

22 later than 30 days before finalizing, any Department 

23 policies, initiatives, or actions that will have’’; and 

24 (2) in paragraph (2)(A), by striking ‘‘not later 

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1 ing ‘‘not later than 60 days before proposing, and 

2 not later than 60 days before finalizing,’’. 

3 SEC. 903. PENALTIES FOR CUSTOMS BROKERS. 

4 (a) IN GENERAL.—Section 641(d)(1) of the Tariff 

5 Act of 1930 (19 U.S.C. 1641(d)(1)) is amended— 

6 (1) in subparagraph (E), by striking ‘‘; or’’ and 

7 inserting a semicolon; 

8 (2) in subparagraph (F), by striking the period 

9 and inserting ‘‘; or’’; and 

10 (3) by adding at the end the following: 

11 ‘‘(G) has been convicted of committing or 

12 conspiring to commit an act of terrorism de13 scribed in section 2332b of title 18, United 

14 States Code.’’. 

15 (b) TECHNICAL AMENDMENTS.—Section 641 of the 

16 Tariff Act of 1930 (19 U.S.C. 1641) is amended— 

17 (1) by striking ‘‘the Customs Service’’ each 

18 place it appears and inserting ‘‘U.S. Customs and 

19 Border Protection’’; 

20 (2) in subsection (d)(2)(B), by striking ‘‘The 

21 Customs Service’’ and inserting ‘‘U.S. Customs and 

22 Border Protection’’; and 

23 (3) in subsection (g)(2)(B), by striking ‘‘Sec24 retary’s notice’’ and inserting ‘‘notice under sub25 paragraph (A)’’. 


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1 SEC. 904. AMENDMENTS TO CHAPTER 98 OF THE HAR2 MONIZED TARIFF SCHEDULE OF THE UNITED 

3 STATES. 

4 (a) ARTICLES EXPORTED AND RETURNED, AD5 VANCED OR IMPROVED ABROAD.— 

6 (1) IN GENERAL.—U.S. Note 3 to subchapter 

7 II of chapter 98 of the Harmonized Tariff Schedule 

8 of the United States is amended by adding at the 

9 end the following: 

10 ‘‘(f)(1) For purposes of subheadings 9802.00.40 and 

11 9802.00.50, fungible articles exported from the United 

12 States for the purposes described in such subheadings— 

13 ‘‘(A) may be commingled; and 

14 ‘‘(B) the origin, value, and classification of such 

15 articles may be accounted for using an inventory 

16 management method. 

17 ‘‘(2) If a person chooses to use an inventory manage18 ment method under this paragraph with respect to fun19 gible articles, the person shall use the same inventory 

20 management method for any other articles with respect 

21 to which the person claims fungibility under this para22 graph. 

23 ‘‘(3) For the purposes of this paragraph— 

24 ‘‘(A) the term ‘fungible articles’ means mer25 chandise or articles that, for commercial purposes, 

26 are identical or interchangeable in all situations; and 


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1 ‘‘(B) the term ‘inventory management method’ 

2 means any method for managing inventory that is 

3 based on generally accepted accounting principles.’’. 

4 (2) EFFECTIVE DATE.—The amendment made 

5 by this subsection applies to articles classifiable 

6 under subheading 9802.00.40 or 9802.00.50 of the 

7 Harmonized Tariff Schedule of the United States 

8 that are entered, or withdrawn from warehouse for 

9 consumption, on or after the date that is 60 days 

10 after the date of the enactment of this Act. 

11 (b) MODIFICATION OF PROVISIONS RELATING TO

12 RETURNED PROPERTY.— 

13 (1) IN GENERAL.—The article description for 

14 heading 9801.00.10 of the Harmonized Tariff 

15 Schedule of the United States is amended by insert16 ing after ‘‘exported’’ the following: ‘‘, or any other 

17 products when returned within 3 years after having 

18 been exported’’. 

19 (2) EFFECTIVE DATE.—The amendment made 

20 by paragraph (1) applies to articles entered, or with21 drawn from warehouse for consumption, on or after 

22 the date that is 60 days after the date of the enact23 ment of this Act. 


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1 (c) DUTY-FREE TREATMENT FOR CERTAIN UNITED

2 STATES GOVERNMENT PROPERTY RETURNED TO THE

3 UNITED STATES.— 

4 (1) IN GENERAL.—Subchapter I of chapter 98 

5 of the Harmonized Tariff Schedule of the United 

6 States is amended by inserting in numerical se7 quence the following new heading: 

‘‘ 9801.00.11 United States Government 

property, returned to the 

United States without having 

been advanced in value or improved in condition by any 

means while abroad, entered 

by the United States Government or a contractor to the 

United States Government, 

and certified by the importer 

as United States Government 

property ................................. Free ’’. 

8 (2) EFFECTIVE DATE.—The amendment made 

9 by paragraph (1) applies to goods entered, or with10 drawn from warehouse for consumption, on or after 

11 the date that is 60 days after the date of the enact12 ment of this Act. 

13 SEC. 905. EXEMPTION FROM DUTY OF RESIDUE OF BULK 

14 CARGO CONTAINED IN INSTRUMENTS OF 

15 INTERNATIONAL TRAFFIC PREVIOUSLY EX16 PORTED FROM THE UNITED STATES. 

17 (a) IN GENERAL.—General Note 3(e) of the Har18 monized Tariff Schedule of the United States is amend19 ed— 


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1 (1) in subparagraph (v), by striking ‘‘and’’ at 

2 the end; 

3 (2) in subparagraph (vi), by adding ‘‘and’’ at 

4 the end; 

5 (3) by inserting after subparagraph (vi) (as so 

6 amended) the following new subparagraph: 

7 ‘‘(vii) residue of bulk cargo contained in 

8 instruments of international traffic previously 

9 exported from the United States,’’; and 

10 (4) by adding at the end of the flush text fol11 lowing subparagraph (vii) (as so added) the fol12 lowing: ‘‘For purposes of subparagraph (vii) of this 

13 paragraph: The term ‘residue’ means material of 

14 bulk cargo that remains in an instrument of inter15 national traffic after the bulk cargo is removed, with 

16 a quantity, by weight or volume, not exceeding 7 

17 percent of the bulk cargo, and with no or de minimis 

18 value. The term ‘bulk cargo’ means cargo that is 

19 unpackaged and is in either solid, liquid, or gaseous 

20 form. The term ‘instruments of international traffic’ 

21 means containers or holders, capable of and suitable 

22 for repeated use, such as lift vans, cargo vans, ship23 ping tanks, skids, pallets, caul boards, and cores for 

24 textile fabrics, arriving (whether loaded or empty) in 

25 use or to be used in the shipment of merchandise in 


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1 international traffic, and any additional articles or 

2 classes of articles that the Commissioner responsible 

3 for U.S. Customs and Border Protection designates 

4 as instruments of international traffic.’’. 

5 (b) EFFECTIVE DATE.—The amendments made by 

6 subsection (a) take effect on the date of the enactment 

7 of this Act and apply with respect to residue of bulk cargo 

8 contained in instruments of international traffic that are 

9 imported into the customs territory of the United States 

10 on or after such date of enactment and that previously 

11 have been exported from the United States. 

12 SEC. 906. DRAWBACK AND REFUNDS. 

13 (a) ARTICLES MADE FROM IMPORTED MERCHAN14 DISE.—Section 313(a) of the Tariff Act of 1930 (19 

15 U.S.C. 1313(a)) is amended by striking ‘‘the full amount 

16 of the duties paid upon the merchandise so used shall be 

17 refunded as drawback, less 1 per centum of such duties, 

18 except that such’’ and inserting ‘‘an amount calculated 

19 pursuant to regulations prescribed by the Secretary of the 

20 Treasury under subsection (l) shall be refunded as draw21 back, except that’’. 

22 (b) SUBSTITUTION FOR DRAWBACK PURPOSES.— 

23 Section 313(b) of the Tariff Act of 1930 (19 U.S.C. 

24 1313(b)) is amended— 


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1 (1) by striking ‘‘If imported’’ and inserting the 

2 following: 

3 ‘‘(1) IN GENERAL.—If imported’’; 

4 (2) by striking ‘‘and any other merchandise 

5 (whether imported or domestic) of the same kind 

6 and quality are’’ and inserting ‘‘or merchandise clas7 sifiable under the same 8-digit HTS subheading 

8 number as such imported merchandise is’’; 

9 (3) by striking ‘‘three years’’ and inserting ‘‘5 

10 years’’; 

11 (4) by striking ‘‘the receipt of such imported 

12 merchandise by the manufacturer or producer of 

13 such articles’’ and inserting ‘‘the date of importation 

14 of such imported merchandise’’; 

15 (5) by inserting ‘‘or articles classifiable under 

16 the same 8-digit HTS subheading number as such 

17 articles,’’ after ‘‘any such articles,’’; 

18 (6) by striking ‘‘an amount of drawback equal 

19 to’’ and all that follows through the end period and 

20 inserting ‘‘an amount calculated pursuant to regula21 tions prescribed by the Secretary of the Treasury 

22 under subsection (l), but only if those articles have 

23 not been used prior to such exportation or destruc24 tion.’’; and 

25 (7) by adding at the end the following: 


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1 ‘‘(2) REQUIREMENTS RELATING TO TRANSFER

2 OF MERCHANDISE.— 

3 ‘‘(A) MANUFACTURERS AND PRO4 DUCERS.—Drawback shall be allowed under 

5 paragraph (1) with respect to an article manu6 factured or produced using imported merchan7 dise or other merchandise classifiable under the 

8 same 8-digit HTS subheading number as such 

9 imported merchandise only if the manufacturer 

10 or producer of the article received such im11 ported merchandise or such other merchandise, 

12 directly or indirectly, from the importer. 

13 ‘‘(B) EXPORTERS AND DESTROYERS.— 

14 Drawback shall be allowed under paragraph (1) 

15 with respect to a manufactured or produced ar16 ticle that is exported or destroyed only if the 

17 exporter or destroyer received that article or an 

18 article classifiable under the same 8-digit HTS 

19 subheading number as that article, directly or 

20 indirectly, from the manufacturer or producer. 

21 ‘‘(C) EVIDENCE OF TRANSFER.—Transfers 

22 of merchandise under subparagraph (A) and 

23 transfers of articles under subparagraph (B) 

24 may be evidenced by business records kept in 

25 the normal course of business and no additional 


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1 certificates of transfer or manufacture shall be 

2 required. 

3 ‘‘(3) SUBMISSION OF BILL OF MATERIALS OR

4 FORMULA.— 

5 ‘‘(A) IN GENERAL.—Drawback shall be al6 lowed under paragraph (1) with respect to an 

7 article manufactured or produced using im8 ported merchandise or other merchandise classi9 fiable under the same 8-digit HTS subheading 

10 number as such imported merchandise only if 

11 the person making the drawback claim submits 

12 with the claim a bill of materials or formula 

13 identifying the merchandise and article by the 

14 8-digit HTS subheading number and the quan15 tity of the merchandise. 

16 ‘‘(B) BILL OF MATERIALS AND FORMULA

17 DEFINED.—In this paragraph, the terms ‘bill of 

18 materials’ and ‘formula’ mean records kept in 

19 the normal course of business that identify each 

20 component incorporated into a manufactured or 

21 produced article or that identify the quantity of 

22 each element, material, chemical, mixture, or 

23 other substance incorporated into a manufac24 tured article. 


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1 ‘‘(4) SPECIAL RULE FOR SOUGHT CHEMICAL

2 ELEMENTS.— 

3 ‘‘(A) IN GENERAL.—For purposes of para4 graph (1), a sought chemical element may be— 

5 ‘‘(i) considered imported merchandise, 

6 or merchandise classifiable under the same 

7 8-digit HTS subheading number as such 

8 imported merchandise, used in the manu9 facture or production of an article as de10 scribed in paragraph (1); and 

11 ‘‘(ii) substituted for source material 

12 containing that sought chemical element, 

13 without regard to whether the sought 

14 chemical element and the source material 

15 are classifiable under the same 8-digit 

16 HTS subheading number, and apportioned 

17 quantitatively, as appropriate. 

18 ‘‘(B) SOUGHT CHEMICAL ELEMENT DE19 FINED.—In this paragraph, the term ‘sought 

20 chemical element’ means an element listed in 

21 the Periodic Table of Elements that is imported 

22 into the United States or a chemical compound 

23 consisting of those elements, either separately 

24 in elemental form or contained in source mate25 rial.’’. 


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1 (c) MERCHANDISE NOT CONFORMING TO SAMPLE OR

2 SPECIFICATIONS.—Section 313(c) of the Tariff Act of 

3 1930 (19 U.S.C. 1313(c)) is amended— 

4 (1) in paragraph (1)— 

5 (A) in subparagraph (C)(ii), by striking 

6 ‘‘under a certificate of delivery’’ each place it 

7 appears; 

8 (B) in subparagraph (D)— 

9 (i) by striking ‘‘3’’ and inserting ‘‘5’’; 

10 and 

11 (ii) by striking ‘‘the Customs Service’’ 

12 and inserting ‘‘U.S. Customs and Border 

13 Protection’’; and 

14 (C) in the flush text at the end, by striking 

15 ‘‘the full amount of the duties paid upon such 

16 merchandise, less 1 percent,’’ and inserting ‘‘an 

17 amount calculated pursuant to regulations pre18 scribed by the Secretary of the Treasury under 

19 subsection (l)’’; 

20 (2) in paragraph (2), by striking ‘‘the Customs 

21 Service’’ and inserting ‘‘U.S. Customs and Border 

22 Protection’’; and 

23 (3) by amending paragraph (3) to read as fol24 lows: 


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1 ‘‘(3) EVIDENCE OF TRANSFERS.—Transfers of 

2 merchandise under paragraph (1) may be evidenced 

3 by business records kept in the normal course of 

4 business and no additional certificates of transfer 

5 shall be required.’’. 

6 (d) PROOF OF EXPORTATION.—Section 313(i) of the 

7 Tariff Act of 1930 (19 U.S.C. 1313(i)) is amended to read 

8 as follows: 

9 ‘‘(i) PROOF OF EXPORTATION.—A person claiming 

10 drawback under this section based on the exportation of 

11 an article shall provide proof of the exportation of the arti12 cle. Such proof of exportation— 

13 ‘‘(1) shall establish fully the date and fact of 

14 exportation and the identity of the exporter; and 

15 ‘‘(2) may be established through the use of 

16 records kept in the normal course of business or 

17 through an electronic export system of the United 

18 States Government, as determined by the Commis19 sioner responsible for U.S. Customs and Border 

20 Protection.’’. 

21 (e) UNUSED MERCHANDISE DRAWBACK.—Section 

22 313(j) of the Tariff Act of 1930 (19 U.S.C. 1313(j)) is 

23 amended— 

24 (1) in paragraph (1)— 


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1 (A) in subparagraph (A), in the matter 

2 preceding clause (i)— 

3 (i) by striking ‘‘3-year’’ and inserting 

4 ‘‘5-year’’; and 

5 (ii) by inserting ‘‘and before the draw6 back claim is filed’’ after ‘‘the date of im7 portation’’; and 

8 (B) in the flush text at the end, by striking 

9 ‘‘99 percent of the amount of each duty, tax, or 

10 fee so paid’’ and inserting ‘‘an amount cal11 culated pursuant to regulations prescribed by 

12 the Secretary of the Treasury under subsection 

13 (l)’’; 

14 (2) in paragraph (2)— 

15 (A) in the matter preceding subparagraph 

16 (A), by striking ‘‘paragraph (4)’’ and inserting 

17 ‘‘paragraphs (4), (5), and (6)’’; 

18 (B) in subparagraph (A), by striking 

19 ‘‘commercially interchangeable with’’ and in20 serting ‘‘classifiable under the same 8-digit 

21 HTS subheading number as’’; 

22 (C) in subparagraph (B)— 

23 (i) by striking ‘‘3-year’’ and inserting 

24 ‘‘5-year’’; and 


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1 (ii) by inserting ‘‘and before the draw2 back claim is filed’’ after ‘‘the imported 

3 merchandise’’; 

4 (D) in subparagraph (C)(ii), by striking 

5 subclause (II) and inserting the following: 

6 ‘‘(II) received the imported mer7 chandise, other merchandise classifi8 able under the same 8-digit HTS sub9 heading number as such imported 

10 merchandise, or any combination of 

11 such imported merchandise and such 

12 other merchandise, directly or indi13 rectly from the person who imported 

14 and paid any duties, taxes, and fees 

15 imposed under Federal law upon im16 portation or entry and due on the im17 ported merchandise (and any such 

18 transferred merchandise, regardless of 

19 its origin, will be treated as the im20 ported merchandise and any retained 

21 merchandise will be treated as domes22 tic merchandise);’’; and 

23 (E) in the flush text at the end— 

24 (i) by striking ‘‘the amount of each 

25 such duty, tax, and fee’’ and all that folVerDate Sep 11 2014 23:07 May 11, 2015 Jkt 049200 PO 00000 Frm 00204 Fmt 6652 Sfmt 6201 E:\BILLS\S1269.PCS S1269

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1 lows through ‘‘99 percent of that duty, tax, 

2 or fee’’ and inserting ‘‘an amount cal3 culated pursuant to regulations prescribed 

4 by the Secretary of the Treasury under 

5 subsection (l) shall be refunded as draw6 back’’; and 

7 (ii) by striking the last sentence and 

8 inserting the following: ‘‘Notwithstanding 

9 subparagraph (A), drawback shall be al10 lowed under this paragraph with respect to 

11 wine if the imported wine and the exported 

12 wine are of the same color and the price 

13 variation between the imported wine and 

14 the exported wine does not exceed 50 per15 cent. Transfers of merchandise may be evi16 denced by business records kept in the nor17 mal course of business and no additional 

18 certificates of transfer shall be required.’’; 

19 (3) in paragraph (3)(B), by striking ‘‘the com20 mercially interchangeable merchandise’’ and insert21 ing ‘‘merchandise classifiable under the same 8-digit 

22 HTS subheading number as such imported merchan23 dise’’; and 

24 (4) by adding at the end the following: 


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1 ‘‘(5)(A) For purposes of paragraph (2) and ex2 cept as provided in subparagraph (B), merchandise 

3 may not be substituted for imported merchandise for 

4 drawback purposes based on the 8-digit HTS sub5 heading number if the article description for the 8- 

6 digit HTS subheading number under which the im7 ported merchandise is classified begins with the term 

8 ‘other’. 

9 ‘‘(B) In cases described in subparagraph (A), 

10 merchandise may be substituted for imported mer11 chandise for drawback purposes if— 

12 ‘‘(i) the other merchandise and such im13 ported merchandise are classifiable under the 

14 same 10-digit HTS statistical reporting num15 ber; and 

16 ‘‘(ii) the article description for that 10- 

17 digit HTS statistical reporting number does not 

18 begin with the term ‘other’. 

19 ‘‘(6)(A) For purposes of paragraph (2), a draw20 back claimant may use the first 8 digits of the 10- 

21 digit Schedule B number for merchandise or an arti22 cle to determine if the merchandise or article is clas23 sifiable under the same 8-digit HTS subheading 

24 number as the imported merchandise, without reVerDate Sep 11 2014 23:07 May 11, 2015 Jkt 049200 PO 00000 Frm 00206 Fmt 6652 Sfmt 6201 E:\BILLS\S1269.PCS S1269

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1 gard to whether the Schedule B number corresponds 

2 to more than one 8-digit HTS subheading number. 

3 ‘‘(B) In this paragraph, the term ‘Schedule B’ 

4 means the Department of Commerce Schedule B, 

5 Statistical Classification of Domestic and Foreign 

6 Commodities Exported from the United States.’’. 

7 (f) LIABILITY FOR DRAWBACK CLAIMS.—Section 

8 313(k) of the Tariff Act of 1930 (19 U.S.C. 1313(k)) is 

9 amended to read as follows: 

10 ‘‘(k) LIABILITY FOR DRAWBACK CLAIMS.— 

11 ‘‘(1) IN GENERAL.—Any person making a claim 

12 for drawback under this section shall be liable for 

13 the full amount of the drawback claimed. 

14 ‘‘(2) LIABILITY OF IMPORTERS.—An importer 

15 shall be liable for any drawback claim made by an16 other person with respect to merchandise imported 

17 by the importer in an amount equal to the lesser 

18 of— 

19 ‘‘(A) the amount of duties, taxes, and fees 

20 that the person claimed with respect to the im21 ported merchandise; or 

22 ‘‘(B) the amount of duties, taxes, and fees 

23 that the importer authorized the other person 

24 to claim with respect to the imported merchan25 dise. 


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1 ‘‘(3) JOINT AND SEVERAL LIABILITY.—Persons 

2 described in paragraphs (1) and (2) shall be jointly 

3 and severally liable for the amount described in 

4 paragraph (2).’’. 

5 (g) REGULATIONS.—Section 313(l) of the Tariff Act 

6 of 1930 (19 U.S.C. 1313(l)) is amended to read as follows: 

7 ‘‘(l) REGULATIONS.— 

8 ‘‘(1) IN GENERAL.—Allowance of the privileges 

9 provided for in this section shall be subject to com10 pliance with such rules and regulations as the Sec11 retary of the Treasury shall prescribe. 

12 ‘‘(2) CALCULATION OF DRAWBACK.— 

13 ‘‘(A) IN GENERAL.—Not later than the 

14 date that is 2 years after the date of the enact15 ment of the Trade Facilitation and Trade En16 forcement Act of 2015 (or, if later, the effective 

17 date provided for in section 906(q)(2)(B) of 

18 that Act), the Secretary shall prescribe regula19 tions for determining the calculation of 

20 amounts refunded as drawback under this sec21 tion. 

22 ‘‘(B) REQUIREMENTS.—The regulations 

23 required by subparagraph (A) for determining 

24 the calculation of amounts refunded as draw25 back under this section shall provide for a reVerDate Sep 11 2014 23:07 May 11, 2015 Jkt 049200 PO 00000 Frm 00208 Fmt 6652 Sfmt 6201 E:\BILLS\S1269.PCS S1269

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1 fund of 99 percent of the duties, taxes, and fees 

2 paid with respect to the imported merchandise, 

3 except that where there is substitution of the 

4 merchandise or article, then— 

5 ‘‘(i) in the case of an article that is 

6 exported, the amount of the refund shall 

7 be equal to 99 percent of the lesser of— 

8 ‘‘(I) the amount of duties, taxes, 

9 and fees paid with respect to the im10 ported merchandise; or 

11 ‘‘(II) the amount of duties, taxes, 

12 and fees that would apply to the ex13 ported article if the exported article 

14 were imported; and 

15 ‘‘(ii) in the case of an article that is 

16 destroyed, the amount of the refund shall 

17 be an amount that is— 

18 ‘‘(I) equal to 99 percent of the 

19 lesser of— 

20 ‘‘(aa) the amount of duties, 

21 taxes, and fees paid with respect 

22 to the imported merchandise; and 

23 ‘‘(bb) the amount of duties, 

24 taxes, and fees that would apply 

25 to the destroyed article if the deVerDate Sep 11 2014 23:07 May 11, 2015 Jkt 049200 PO 00000 Frm 00209 Fmt 6652 Sfmt 6201 E:\BILLS\S1269.PCS S1269

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1 stroyed article were imported; 

2 and 

3 ‘‘(II) reduced by the value of ma4 terials recovered during destruction as 

5 provided in subsection (x). 

6 ‘‘(3) STATUS REPORTS ON REGULATIONS.—Not 

7 later than the date that is one year after the date 

8 of the enactment of the Trade Facilitation and 

9 Trade Enforcement Act of 2015, and annually there10 after until the regulations required by paragraph (2) 

11 are final, the Secretary shall submit to Congress a 

12 report on the status of those regulations.’’. 

13 (h) SUBSTITUTION OF FINISHED PETROLEUM DE14 RIVATIVES.—Section 313(p) of the Tariff Act of 1930 (19 

15 U.S.C. 1313(p)) is amended— 

16 (1) by striking ‘‘Harmonized Tariff Schedule of 

17 the United States’’ each place it appears and insert18 ing ‘‘HTS’’; and 

19 (2) in paragraph (3)(A)— 

20 (A) in clause (ii)(III), by striking ‘‘, as so 

21 certified in a certificate of delivery or certificate 

22 of manufacture and delivery’’; and 

23 (B) in the flush text at the end— 


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1 (i) by striking ‘‘, as so designated on 

2 the certificate of delivery or certificate of 

3 manufacture and delivery’’; and 

4 (ii) by striking the last sentence and 

5 inserting the following: ‘‘The party trans6 ferring the merchandise shall maintain 

7 records kept in the normal course of busi8 ness to demonstrate the transfer.’’. 

9 (i) PACKAGING MATERIAL.—Section 313(q) of the 

10 Tariff Act of 1930 (19 U.S.C. 1313(q)) is amended— 

11 (1) in paragraph (1), by striking ‘‘of 99 percent 

12 of any duty, tax, or fee imposed under Federal law 

13 on such imported material’’ and inserting ‘‘in an 

14 amount calculated pursuant to regulations pre15 scribed by the Secretary of the Treasury under sub16 section (l)’’; 

17 (2) in paragraph (2), by striking ‘‘of 99 percent 

18 of any duty, tax, or fee imposed under Federal law 

19 on the imported or substituted merchandise used to 

20 manufacture or produce such material’’ and insert21 ing ‘‘in an amount calculated pursuant to regula22 tions prescribed by the Secretary of the Treasury 

23 under subsection (l)’’; and 

24 (3) in paragraph (3), by striking ‘‘they contain’’ 

25 and inserting ‘‘it contains’’. 


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1 (j) FILING OF DRAWBACK CLAIMS.—Section 313(r) 

2 of the Tariff Act of 1930 (19 U.S.C. 1313(r)) is amend3 ed— 

4 (1) in paragraph (1)— 

5 (A) by striking the first sentence and in6 serting the following: ‘‘A drawback entry shall 

7 be filed or applied for, as applicable, not later 

8 than 5 years after the date on which merchan9 dise on which drawback is claimed was im10 ported.’’; 

11 (B) in the second sentence, by striking ‘‘3- 

12 year’’ and inserting ‘‘5-year’’; and 

13 (C) in the third sentence, by striking ‘‘the 

14 Customs Service’’ and inserting ‘‘U.S. Customs 

15 and Border Protection’’; 

16 (2) in paragraph (3)— 

17 (A) in subparagraph (A)— 

18 (i) in the matter preceding clause (i), 

19 by striking ‘‘The Customs Service’’ and in20 serting ‘‘U.S. Customs and Border Protec21 tion’’; 

22 (ii) in clauses (i) and (ii), by striking 

23 ‘‘the Customs Service’’ each place it ap24 pears and inserting ‘‘U.S. Customs and 

25 Border Protection’’; and 


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1 (iii) in clause (ii)(I), by striking ‘‘3- 

2 year’’ and inserting ‘‘5-year’’; and 

3 (B) in subparagraph (B), by striking ‘‘the 

4 periods of time for retaining records set forth 

5 in subsection (t) of this section and’’ and in6 serting ‘‘the period of time for retaining records 

7 set forth in’’; and 

8 (3) by adding at the end the following: 

9 ‘‘(4) All drawback claims filed on and after the 

10 date that is 2 years after the date of the enactment 

11 of the Trade Facilitation and Trade Enforcement 

12 Act of 2015 (or, if later, the effective date provided 

13 for in section 906(q)(2)(B) of that Act) shall be filed 

14 electronically.’’. 

15 (k) DESIGNATION OF MERCHANDISE BY SUC16 CESSOR.—Section 313(s) of the Tariff Act of 1930 (19 

17 U.S.C. 1313(s)) is amended— 

18 (1) in paragraph (2), by striking subparagraph 

19 (B) and inserting the following: 

20 ‘‘(B) subject to paragraphs (5) and (6) of 

21 subsection (j), imported merchandise, other 

22 merchandise classifiable under the same 8-digit 

23 HTS subheading number as such imported 

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1 dise, that the predecessor received, before the 

2 date of succession, from the person who im3 ported and paid any duties, taxes, and fees due 

4 on the imported merchandise;’’; and 

5 (2) in paragraph (4), by striking ‘‘certifies 

6 that’’ and all that follows and inserting ‘‘certifies 

7 that the transferred merchandise was not and will 

8 not be claimed by the predecessor.’’. 

9 (l) DRAWBACK CERTIFICATES.—Section 313 of the 

10 Tariff Act of 1930 (19 U.S.C. 1313) is amended by strik11 ing subsection (t). 

12 (m) DRAWBACK FOR RECOVERED MATERIALS.—Sec13 tion 313(x) of the Tariff Act of 1930 (19 U.S.C. 1313(x)) 

14 is amended by striking ‘‘and (c)’’ and inserting ‘‘(c), and 

15 (j)’’. 

16 (n) DEFINITIONS.—Section 313 of the Tariff Act of 

17 1930 (19 U.S.C. 1313) is amended by adding at the end 

18 the following: 

19 ‘‘(z) DEFINITIONS.—In this section: 

20 ‘‘(1) DIRECTLY.—The term ‘directly’ means a 

21 transfer of merchandise or an article from one per22 son to another person without any intermediate 

23 transfer. 

24 ‘‘(2) HTS.—The term ‘HTS’ means the Har25 monized Tariff Schedule of the United States. 


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1 ‘‘(3) INDIRECTLY.—The term ‘indirectly’ means 

2 a transfer of merchandise or an article from one per3 son to another person with one or more intermediate 

4 transfers.’’. 

5 (o) RECORDKEEPING.—Section 508(c)(3) of the Tar6 iff Act of 1930 (19 U.S.C. 1508(c)(3)) is amended— 

7 (1) by striking ‘‘3rd’’ and inserting ‘‘5th’’; and 

8 (2) by striking ‘‘payment’’ and inserting ‘‘liq9 uidation’’. 

10 (p) GOVERNMENT ACCOUNTABILITY OFFICE RE11 PORT.— 

12 (1) IN GENERAL.—Not later than one year 

13 after the issuance of the regulations required by sub14 section (l)(2) of section 313 of the Tariff Act of 

15 1930, as added by subsection (g), the Comptroller 

16 General of the United States shall submit to the 

17 Committee on Finance of the Senate and the Com18 mittee on Ways and Means of the House of Rep19 resentatives a report on the modernization of draw20 back and refunds under section 313 of the Tariff 

21 Act of 1930, as amended by this section. 

22 (2) CONTENTS.—The report required by para23 graph (1) include the following: 


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1 (A) An assessment of the modernization of 

2 drawback and refunds under section 313 of the 

3 Tariff Act of 1930, as amended by this section. 

4 (B) A description of drawback claims that 

5 were permissible before the effective date pro6 vided for in subsection (q) that are not permis7 sible after that effective date and an identifica8 tion of industries most affected. 

9 (C) A description of drawback claims that 

10 were not permissible before the effective date 

11 provided for in subsection (q) that are permis12 sible after that effective date and an identifica13 tion of industries most affected. 

14 (q) EFFECTIVE DATE.— 

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

16 this section shall— 

17 (A) take effect on the date of the enact18 ment of this Act; and 

19 (B) except as provided in paragraphs 

20 (2)(B) and (3), apply to drawback claims filed 

21 on or after the date that is 2 years after such 

22 date of enactment. 

23 (2) REPORTING OF OPERABILITY OF AUTO24 MATED COMMERCIAL ENVIRONMENT COMPUTER SYS25 TEM.— 


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1 (A) IN GENERAL.—Not later than one year 

2 after the date of the enactment of this Act, and 

3 not later than 2 years after such date of enact4 ment, the Secretary of the Treasury shall sub5 mit to Congress a report on— 

6 (i) the date on which the Automated 

7 Commercial Environment will be ready to 

8 process drawback claims; and 

9 (ii) the date on which the Automated 

10 Export System will be ready to accept 

11 proof of exportation under subsection (i) of 

12 section 313 of the Tariff Act of 1930, as 

13 amended by subsection (d). 

14 (B) DELAY OF EFFECTIVE DATE.—If the 

15 Secretary indicates in the report required by 

16 subparagraph (A) that the Automated Commer17 cial Environment will not be ready to process 

18 drawback claims by the date that is 2 years 

19 after the date of the enactment of this Act, the 

20 amendments made by this section shall apply to 

21 drawback claims filed on and after the date on 

22 which the Secretary certifies that the Auto23 mated Commercial Environment is ready to 

24 process drawback claims. 


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1 (3) TRANSITION RULE.—During the one-year 

2 period beginning on the date that is 2 years after 

3 the date of the enactment of this Act (or, if later, 

4 the effective date provided for in paragraph (2)(B)), 

5 a person may elect to file a claim for drawback 

6 under— 

7 (A) section 313 of the Tariff Act of 1930, 

8 as amended by this section; or 

9 (B) section 313 of the Tariff Act of 1930, 

10 as in effect on the day before the date of the 

11 enactment of this Act. 

12 SEC. 907. INCLUSION OF CERTAIN INFORMATION IN SUB13 MISSION OF NOMINATION FOR APPOINT14 MENT AS DEPUTY UNITED STATES TRADE 

15 REPRESENTATIVE. 

16 Section 141(b) of the Trade Act of 1974 (19 U.S.C. 

17 2171(b)) is amended by adding at the end the following: 

18 ‘‘(5) When the President submits to the Senate for 

19 its advice and consent a nomination of an individual for 

20 appointment as a Deputy United States Trade Represent21 ative under paragraph (2), the President shall include in 

22 that submission information on the country, regional of23 fices, and functions of the Office of the United States 

24 Trade Representative with respect to which that individual 

25 will have responsibility.’’. 


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1 SEC. 908. BIENNIAL REPORTS REGARDING COMPETITIVE2 NESS ISSUES FACING THE UNITED STATES 

3 ECONOMY AND COMPETITIVE CONDITIONS 

4 FOR CERTAIN KEY UNITED STATES INDUS5 TRIES. 

6 (a) IN GENERAL.—The United States International 

7 Trade Commission shall conduct a series of investigations, 

8 and submit a report on each such investigation in accord9 ance with subsection (c), regarding competitiveness issues 

10 facing the economy of the United States and competitive 

11 conditions for certain key United States industries. 

12 (b) CONTENTS OF REPORT.— 

13 (1) IN GENERAL.—Each report required by 

14 subsection (a) shall include, to the extent prac15 ticable, the following: 

16 (A) A detailed assessment of competitive17 ness issues facing the economy of the United 

18 States, over the 10-year period beginning on 

19 the date on which the report is submitted, that 

20 includes— 

21 (i) projections, over that 10-year pe22 riod, of economic measures, such as meas23 ures relating to production in the United 

24 States and United States trade, for the 

25 economy of the United States and for key 

26 United States industries, based on ongoing 


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1 trends in the economy of the United States 

2 and global economies and incorporating es3 timates from prominent United States, for4 eign, multinational, and private sector or5 ganizations; and 

6 (ii) a description of factors that drive 

7 economic growth, such as domestic produc8 tivity, the United States workforce, foreign 

9 demand for United States goods and serv10 ices, and industry-specific developments. 

11 (B) A detailed assessment of a key United 

12 States industry or key United States industries 

13 that, to the extent practicable— 

14 (i) identifies with respect to each such 

15 industry the principal factors driving com16 petitiveness as of the date on which the re17 port is submitted; and 

18 (ii) describes, with respect to each 

19 such industry, the structure of the global 

20 industry, its market characteristics, cur21 rent industry trends, relevant policies and 

22 programs of foreign governments, and 

23 principal factors affecting future competi24 tiveness. 


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1 (2) SELECTION OF KEY UNITED STATES INDUS2 TRIES.— 

3 (A) IN GENERAL.—In conducting assess4 ments required under paragraph (1)(B), the 

5 Commission shall, to the extent practicable, se6 lect a different key United States industry or 

7 different key United States industries for pur8 poses of each report required by subsection (a). 

9 (B) CONSULTATIONS WITH CONGRESS.— 

10 The Commission shall consult with the Com11 mittee on Finance of the Senate and the Com12 mittee on Ways and Means of the House of 

13 Representatives before selecting the key United 

14 States industry or key United States industries 

15 for purposes of each report required by sub16 section (a). 

17 (c) SUBMISSION OF REPORTS.— 

18 (1) IN GENERAL.—Not later than May 15, 

19 2017, and every 2 years thereafter through 2025, 

20 the Commission shall submit to the Committee on 

21 Finance of the Senate and the Committee on Ways 

22 and Means of the House of Representatives a report 

23 on the most recent investigation conducted under 

24 subsection (a). 


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1 (2) EXTENSION OF DEADLINE.—The Commis2 sion may, after consultation with the Committee on 

3 Finance of the Senate and the Committee on Ways 

4 and Means of the House of Representatives, submit 

5 a report under paragraph (1) later than the date re6 quired by that paragraph. 

7 (3) CONFIDENTIAL BUSINESS INFORMATION.— 

8 A report submitted under paragraph (1) shall not 

9 include any confidential business information un10 less— 

11 (A) the party that submitted the confiden12 tial business information to the Commission 

13 had notice, at the time of submission, that the 

14 information would be released by the Commis15 sion; or 

16 (B) that party consents to the release of 

17 the information. 

18 (d) KEY UNITED STATES INDUSTRY DEFINED.—In 

19 this section, the term ‘‘key United States industry’’ means 

20 a goods or services industry that— 

21 (1) contributes significantly to United States 

22 economic activity and trade; or 

23 (2) is a potential growth area for the United 

24 States and global markets. 


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1 SEC. 909. REPORT ON CERTAIN U.S. CUSTOMS AND BORDER 

2 PROTECTION AGREEMENTS. 

3 (a) IN GENERAL.—Not later than one year after en4 tering into an agreement under a program specified in 

5 subsection (b), and annually thereafter until the termi6 nation of the program, the Commissioner shall submit to 

7 the Committee on Finance of the Senate and the Com8 mittee on Ways and Means of the House of Representa9 tives a report that includes the following: 

10 (1) A description of the development of the pro11 gram. 

12 (2) A description of the type of entity with 

13 which U.S. Customs and Border Protection entered 

14 into the agreement and the amount that entity reim15 bursed U.S. Customs and Border Protection under 

16 the agreement. 

17 (3) An identification of the type of port of entry 

18 to which the agreement relates and an assessment of 

19 how the agreement provides economic benefits at the 

20 port of entry. 

21 (4) A description of the services provided by 

22 U.S. Customs and Border Protection under the 

23 agreement during the year preceding the submission 

24 of the report. 

25 (5) The amount of fees collected under the 

26 agreement during that year. 


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1 (6) A detailed accounting of how the fees col2 lected under the agreement have been spent during 

3 that year. 

4 (7) A summary of any complaints or criticism 

5 received by U.S. Customs and Border Protection 

6 during that year regarding the agreement. 

7 (8) An assessment of the compliance of the en8 tity described in paragraph (2) with the terms of the 

9 agreement. 

10 (9) Recommendations with respect to how ac11 tivities conducted pursuant to the agreement could 

12 function more effectively or better produce economic 

13 benefits. 

14 (10) A summary of the benefits to and chal15 lenges faced by U.S. Customs and Border Protection 

16 and the entity described in paragraph (2) under the 

17 agreement. 

18 (b) PROGRAM SPECIFIED.—A program specified in 

19 this subsection is— 

20 (1) the program for entering into reimbursable 

21 fee agreements for the provision of U.S. Customs 

22 and Border Protection services established by section 

23 560 of the Department of Homeland Security Ap24 propriations Act, 2013 (division D of Public Law 

25 113–6; 127 Stat. 378); or 


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1 (2) the pilot program authorizing U.S. Customs 

2 and Border Protection to enter into partnerships 

3 with private sector and government entities at ports 

4 of entry established by section 559 of the Depart5 ment of Homeland Security Appropriations Act, 

6 2014 (division F of Public Law 113–76; 6 U.S.C. 

7 211 note). 

8 SEC. 910. CHARTER FLIGHTS. 

9 Section 13031(e)(1) of the Consolidated Omnibus 

10 Budget Reconciliation Act of 1985 (19 U.S.C. 58c(e)(1)) 

11 is amended— 

12 (1) by striking ‘‘(1) Notwithstanding section 

13 451 of the Tariff Act of 1930 (19 U.S.C. 1451) or 

14 any other provision of law (other than paragraph 

15 (2))’’ and inserting the following: 

16 ‘‘(1)(A) Notwithstanding section 451 of the Tariff 

17 Act of 1930 (19 U.S.C. 1451) or any other provision of 

18 law (other than subparagraph (B) and paragraph (2))’’; 

19 and 

20 (2) by adding at the end the following: 

21 ‘‘(B)(i) An appropriate officer of U.S. Customs and 

22 Border Protection may assign a sufficient number of em23 ployees of U.S. Customs and Border Protection (if avail24 able) to perform services described in clause (ii) for a 

25 charter air carrier (as defined in section 40102 of title 


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1 49, United States Code) for a charter flight arriving after 

2 normal operating hours at an airport that is an established 

3 port of entry serviced by U.S. Customs and Border Pro4 tection, notwithstanding that overtime funds for those 

5 services are not available, if the charter air carrier— 

6 ‘‘(I) not later than 4 hours before the flight ar7 rives, specifically requests that such services be pro8 vided; and 

9 ‘‘(II) pays any overtime fees incurred in connec10 tion with such services. 

11 ‘‘(ii) Services described in this clause are customs 

12 services for passengers and their baggage or any other 

13 such service that could lawfully be performed during reg14 ular hours of operation.’’. 

15 SEC. 911. AMENDMENT TO TARIFF ACT OF 1930 TO REQUIRE 

16 COUNTRY OF ORIGIN MARKING OF CERTAIN 

17 CASTINGS. 

18 (a) IN GENERAL.—Section 304(e) of the Tariff Act 

19 of 1930 (19 U.S.C. 1304(e)) is amended— 

20 (1) in the subsection heading, by striking 

21 ‘‘MANHOLE RINGS OR FRAMES, COVERS, AND AS22 SEMBLIES THEREOF’’ and inserting ‘‘CASTINGS’’; 

23 (2) by inserting ‘‘inlet frames, tree and trench 

24 grates, lampposts, lamppost bases, cast utility poles, 


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1 bollards, hydrants, utility boxes,’’ before ‘‘manhole 

2 rings,’’; and 

3 (3) by adding at the end before the period the 

4 following: ‘‘in a location such that it will remain visi5 ble after installation’’. 

6 (b) EFFECTIVE DATE.—The amendments made by 

7 subsection (a) take effect on the date of the enactment 

8 of this Act and apply with respect to the importation of 

9 castings described in such amendments on or after the 

10 date that is 180 days after such date of enactment. 

11 SEC. 912. ELIMINATION OF CONSUMPTIVE DEMAND EXCEP12 TION TO PROHIBITION ON IMPORTATION OF 

13 GOODS MADE WITH CONVICT LABOR, 

14 FORCED LABOR, OR INDENTURED LABOR; RE15 PORT. 

16 (a) ELIMINATION OF CONSUMPTIVE DEMAND EX17 CEPTION.— 

18 (1) IN GENERAL.—Section 307 of the Tariff 

19 Act of 1930 (19 U.S.C. 1307) is amended by strik20 ing ‘‘The provisions of this section’’ and all that fol21 lows through ‘‘of the United States.’’. 

22 (2) EFFECTIVE DATE.—The amendment made 

23 by paragraph (1) shall take effect on the date that 

24 is 15 days after the date of the enactment of this 

25 Act. 


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1 (b) REPORT REQUIRED.—Not later than 180 days 

2 after the date of the enactment of this Act, and annually 

3 thereafter, the Commissioner shall submit to the Com4 mittee on Finance of the Senate and the Committee on 

5 Ways and Means of the House of Representatives a report 

6 on compliance with section 307 of the Tariff Act of 1930 

7 (19 U.S.C. 1307) that includes the following: 

8 (1) The number of instances in which merchan9 dise was denied entry pursuant to that section dur10 ing the 1-year period preceding the submission of 

11 the report. 

12 (2) A description of the merchandise denied 

13 entry pursuant to that section. 

14 (3) Such other information as the Commis15 sioner considers appropriate with respect to moni16 toring and enforcing compliance with that section. 

17 SEC. 913. IMPROVED COLLECTION AND USE OF LABOR 

18 MARKET INFORMATION. 

19 Section 1137 of the Social Security Act (42 U.S.C. 

20 1320b–7) is amended— 

21 (1) in subsection (a)— 

22 (A) in paragraph (2), by inserting ‘‘(in23 cluding the occupational information under sub24 section (g))’’ after ‘‘paragraph (3) of this sub25 section’’; and 


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1 (B) in paragraph (3), by striking ‘‘employ2 ers (as defined’’ and inserting ‘‘subject to sub3 section (g), employers (as defined’’; and 

4 (2) by adding at the end the following new sub5 section: 

6 ‘‘(g)(1) Beginning January 1, 2017, each quarterly 

7 wage report required to be submitted by an employer 

8 under subsection (a)(3) shall include such occupational in9 formation with respect to each employee of the employer 

10 that permits the classification of such employees into occu11 pational categories as found in the Standard Occupational 

12 Classification (SOC) system. 

13 ‘‘(2) The State agency receiving the occupational in14 formation described in paragraph (1) shall make such in15 formation available to the Secretary of Labor pursuant to 

16 procedures established by the Secretary of Labor. 

17 ‘‘(3)(A) The Secretary of Labor shall make occupa18 tional information submitted under paragraph (2) avail19 able to other State and Federal agencies, including the 

20 United States Census Bureau, the Bureau of Labor Sta21 tistics, and other State and Federal research agencies. 

22 ‘‘(B) Disclosure of occupational information under 

23 subparagraph (A) shall be subject to the agency having 

24 safeguards in place that meet the requirements under 

25 paragraph (4). 


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1 ‘‘(4) The Secretary of Labor shall establish and im2 plement safeguards for the dissemination and, subject to 

3 paragraph (5), the use of occupational information re4 ceived under this subsection. 

5 ‘‘(5) Occupational information received under this 

6 subsection shall only be used to classify employees into 

7 occupational categories as found in the Standard Occupa8 tional Classification (SOC) system and to analyze and 

9 evaluate occupations in order to improve the labor market 

10 for workers and industries. 

11 ‘‘(6) The Secretary of Labor shall establish proce12 dures to verify the accuracy of information received under 

13 paragraph (2).’’. 

14 SEC. 914. STATEMENTS OF POLICY WITH RESPECT TO 

15 ISRAEL. 

16 Congress— 

17 (1) supports the strengthening of United 

18 States-Israel economic cooperation and recognizes 

19 the tremendous strategic, economic, and techno20 logical value of cooperation with Israel; 

21 (2) recognizes the benefit of cooperation with 

22 Israel to United States companies, including by im23 proving United States competitiveness in global mar24 kets; 


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1 (3) recognizes the importance of trade and com2 mercial relations to the pursuit and sustainability of 

3 peace, and supports efforts to bring together the 

4 United States, Israel, the Palestinian territories, and 

5 others in enhanced commerce; 

6 (4) opposes politically motivated actions that 

7 penalize or otherwise limit commercial relations spe8 cifically with Israel such as boycotts, divestment or 

9 sanctions; 

10 (5) notes that the boycott, divestment, and 

11 sanctioning of Israel by governments, governmental 

12 bodies, quasi-governmental bodies, international or13 ganizations, and other such entities is contrary to 

14 the General Agreement on Tariffs and Trade 

15 (GATT) principle of nondiscrimination; 

16 (6) encourages the inclusion of politically moti17 vated actions that penalize or otherwise limit com18 mercial relations specifically with Israel such as boy19 cotts, divestment from, or sanctions against Israel as 

20 a topic of discussion at the U.S.-Israel Joint Eco21 nomic Development Group (JEDG) and other areas 

22 to support the strengthening of the United States– 

23 Israel commercial relationship and combat any com24 mercial discrimination against Israel; 


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1 (7) supports efforts to prevent investigations or 

2 prosecutions by governments or international organi3 zations of United States persons on the sole basis of 

4 such persons doing business with Israel, with Israeli 

5 entities, or in territories controlled by Israel; and 

6 (8) supports States of the United States exam7 ining a company’s promotion or compliance with 

8 unsanctioned boycotts, divestment from, or sanctions 

9 against Israel as part of its consideration in award10 ing grants and contracts and supports the divest11 ment of State assets from companies that support or 

12 promote actions to boycott, divest from, or sanction 

13 Israel. 

14 TITLE X—OFFSETS 

15 SEC. 1001. REVOCATION OR DENIAL OF PASSPORT IN CASE 

16 OF CERTAIN UNPAID TAXES. 

17 (a) IN GENERAL.—Subchapter D of chapter 75 of the 

18 Internal Revenue Code of 1986 is amended by adding at 

19 the end the following new section: 

20 ‘‘SEC. 7345. REVOCATION OR DENIAL OF PASSPORT IN CASE 

21 OF CERTAIN TAX DELINQUENCIES. 

22 ‘‘(a) IN GENERAL.—If the Secretary receives certifi23 cation by the Commissioner of Internal Revenue that any 

24 individual has a seriously delinquent tax debt in an 

25 amount in excess of $50,000, the Secretary shall transmit 


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1 such certification to the Secretary of State for action with 

2 respect to denial, revocation, or limitation of a passport 

3 pursuant to section 1001(d) of the Trade Facilitation and 

4 Trade Enforcement Act of 2015. 

5 ‘‘(b) SERIOUSLY DELINQUENT TAX DEBT.—For pur6 poses of this section, the term ‘seriously delinquent tax 

7 debt’ means an outstanding debt under this title for which 

8 a notice of lien has been filed in public records pursuant 

9 to section 6323 or a notice of levy has been filed pursuant 

10 to section 6331, except that such term does not include— 

11 ‘‘(1) a debt that is being paid in a timely man12 ner pursuant to an agreement under section 6159 or 

13 7122, and 

14 ‘‘(2) a debt with respect to which collection is 

15 suspended because a collection due process hearing 

16 under section 6330, or relief under subsection (b), 

17 (c), or (f) of section 6015, is requested or pending. 

18 ‘‘(c) ADJUSTMENT FOR INFLATION.—In the case of 

19 a calendar year beginning after 2016, the dollar amount 

20 in subsection (a) shall be increased by an amount equal 

21 to— 

22 ‘‘(1) such dollar amount, multiplied by 

23 ‘‘(2) the cost-of-living adjustment determined 

24 under section 1(f)(3) for the calendar year, deterVerDate Sep 11 2014 23:07 May 11, 2015 Jkt 049200 PO 00000 Frm 00233 Fmt 6652 Sfmt 6201 E:\BILLS\S1269.PCS S1269

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1 mined by substituting ‘calendar year 2015’ for ‘cal2 endar year 1992’ in subparagraph (B) thereof. 

3 If any amount as adjusted under the preceding sentence 

4 is not a multiple of $1,000, such amount shall be rounded 

5 to the next highest multiple of $1,000.’’. 

6 (b) CLERICAL AMENDMENT.—The table of sections 

7 for subchapter D of chapter 75 of the Internal Revenue 

8 Code of 1986 is amended by adding at the end the fol9 lowing new item: 

‘‘Sec. 7345. Revocation or denial of passport in case of certain tax delinquencies.’’. 

10 (c) AUTHORITY FOR INFORMATION SHARING.— 

11 (1) IN GENERAL.—Subsection (l) of section 

12 6103 of the Internal Revenue Code of 1986 is 

13 amended by adding at the end the following new 

14 paragraph: 

15 ‘‘(23) DISCLOSURE OF RETURN INFORMATION

16 TO DEPARTMENT OF STATE FOR PURPOSES OF PASS17 PORT REVOCATION UNDER SECTION 7345.— 

18 ‘‘(A) IN GENERAL.—The Secretary shall, 

19 upon receiving a certification described in sec20 tion 7345, disclose to the Secretary of State re21 turn information with respect to a taxpayer who 

22 has a seriously delinquent tax debt described in 

23 such section. Such return information shall be 

24 limited to— 


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1 ‘‘(i) the taxpayer identity information 

2 with respect to such taxpayer, and 

3 ‘‘(ii) the amount of such seriously de4 linquent tax debt. 

5 ‘‘(B) RESTRICTION ON DISCLOSURE.—Re6 turn information disclosed under subparagraph 

7 (A) may be used by officers and employees of 

8 the Department of State for the purposes of, 

9 and to the extent necessary in, carrying out the 

10 requirements of section 1001(d) of the Trade 

11 Facilitation and Trade Enforcement Act of 

12 2015.’’. 

13 (2) CONFORMING AMENDMENT.—Paragraph (4) 

14 of section 6103(p) of such Code is amended by strik15 ing ‘‘or (22)’’ each place it appears in subparagraph 

16 (F)(ii) and in the matter preceding subparagraph 

17 (A) and inserting ‘‘(22), or (23)’’. 

18 (d) AUTHORITY TO DENY OR REVOKE PASSPORT.— 

19 (1) DENIAL.— 

20 (A) IN GENERAL.—Except as provided 

21 under subparagraph (B), upon receiving a cer22 tification described in section 7345 of the Inter23 nal Revenue Code of 1986 from the Secretary 

24 of the Treasury, the Secretary of State shall 

25 not issue a passport to any individual who has 


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1 a seriously delinquent tax debt described in 

2 such section. 

3 (B) EMERGENCY AND HUMANITARIAN SIT4 UATIONS.—Notwithstanding subparagraph (A), 

5 the Secretary of State may issue a passport, in 

6 emergency circumstances or for humanitarian 

7 reasons, to an individual described in such sub8 paragraph. 

9 (2) REVOCATION.— 

10 (A) IN GENERAL.—The Secretary of State 

11 may revoke a passport previously issued to any 

12 individual described in paragraph (1)(A). 

13 (B) LIMITATION FOR RETURN TO UNITED

14 STATES.—If the Secretary of State decides to 

15 revoke a passport under subparagraph (A), the 

16 Secretary of State, before revocation, may— 

17 (i) limit a previously issued passport 

18 only for return travel to the United States; 

19 or 

20 (ii) issue a limited passport that only 

21 permits return travel to the United States. 

22 (3) HOLD HARMLESS.—The Secretary of the 

23 Treasury and the Secretary of State shall not be lia24 ble to an individual for any action with respect to a 

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1 enue under section 7345 of the Internal Revenue 

2 Code of 1986. 

3 (e) REVOCATION OR DENIAL OF PASSPORT IN CASE

4 OF INDIVIDUAL WITHOUT SOCIAL SECURITY ACCOUNT

5 NUMBER.— 

6 (1) DENIAL.— 

7 (A) IN GENERAL.—Except as provided 

8 under subparagraph (B), upon receiving an ap9 plication for a passport from an individual that 

10 either— 

11 (i) does not include the social security 

12 account number issued to that individual, 

13 or 

14 (ii) includes an incorrect or invalid so15 cial security number willfully, intentionally, 

16 negligently, or recklessly provided by such 

17 individual, 

18 the Secretary of State is authorized to deny 

19 such application and is authorized to not issue 

20 a passport to the individual. 

21 (B) EMERGENCY AND HUMANITARIAN SIT22 UATIONS.—Notwithstanding subparagraph (A), 

23 the Secretary of State may issue a passport, in 

24 emergency circumstances or for humanitarian 


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1 reasons, to an individual described in subpara2 graph (A). 

3 (2) REVOCATION.— 

4 (A) IN GENERAL.—The Secretary of State 

5 may revoke a passport previously issued to any 

6 individual described in paragraph (1)(A). 

7 (B) LIMITATION FOR RETURN TO UNITED

8 STATES.—If the Secretary of State decides to 

9 revoke a passport under subparagraph (A), the 

10 Secretary of State, before revocation, may— 

11 (i) limit a previously issued passport 

12 only for return travel to the United States; 

13 or 

14 (ii) issue a limited passport that only 

15 permits return travel to the United States. 

16 (f) EFFECTIVE DATE.—The provisions of, and 

17 amendments made by, this section shall take effect on 

18 January 1, 2016. 

19 SEC. 1002. CUSTOMS USER FEES. 

20 (a) IN GENERAL.—Section 13031(j)(3) of the Con21 solidated Omnibus Budget Reconciliation Act of 1985 (19 

22 U.S.C. 58c(j)(3)) is amended by adding at the end the 

23 following: 


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1 ‘‘(C) Fees may be charged under paragraphs (9) and 

2 (10) of subsection (a) during the period beginning on July 

3 8, 2025, and ending on July 28, 2025.’’. 

4 (b) RATE FOR MERCHANDISE PROCESSING FEES.— 

5 Section 503 of the United States–Korea Free Trade 

6 Agreement Implementation Act (Public Law 112–41; 125 

7 Stat. 460) is amended— 

8 (1) by striking ‘‘For the period’’ and inserting 

9 ‘‘(a) IN GENERAL.—For the period’’; and 

10 (2) by adding at the end the following: 

11 ‘‘(b) ADDITIONAL PERIOD.—For the period begin12 ning on July 1, 2025, and ending on July 14, 2025, sec13 tion 13031(a)(9) of the Consolidated Omnibus Budget 

14 Reconciliation Act of 1985 (19 U.S.C. 58c(a)(9)) shall be 

15 applied and administered— 

16 ‘‘(1) in subparagraph (A), by substituting 

17 ‘0.3464’ for ‘0.21’; and 

18 ‘‘(2) in subparagraph (B)(i), by substituting 

19 ‘0.3464’ for ‘0.21’.’’. 


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Calendar No. 76 

114TH CONGRESS 

1ST SESSION S. 1269 

A BILL 

To reauthorize trade facilitation and trade enforceposes. ment functions and activities, and for other purMAY 11, 2015 

Read twice and placed on the calendar 


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