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[Congressional Bills 105th Congress]
[From the U.S. Government Publishing Office]
[S. 1327 Introduced in Senate (IS)]

105th CONGRESS
  1st Session
                                S. 1327

  To grant normal trade relations status to the People's Republic of 
China on a permanent basis upon the accession of the People's Republic 
               of China to the World Trade Organization.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                            October 28, 1997

Mr. Roth (for himself, Mr. Hagel, Mr. Thomas, Mr. Kerry, and Mr. Akaka) 
introduced the following bill; which was read twice and referred to the 
                          Committee on Finance

_______________________________________________________________________

                                 A BILL

 
  To grant normal trade relations status to the People's Republic of 
China on a permanent basis upon the accession of the People's Republic 
               of China to the World Trade Organization.

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

SECTION 1. FINDINGS.

    Congress makes the following findings:
            (1) The People's Republic of China is currently engaged in 
        negotiations to accede to the World Trade Organization 
        (referred to in this Act as the ``WTO'').
            (2) In order to accede to the WTO, the People's Republic of 
        China must agree, within the context of a Working Party 
        composed of all interested WTO members, including the United 
        States, to abide by the terms of existing WTO agreements. The 
        People's Republic of China must separately commit, in the 
        context of bilateral negotiations with individual WTO members, 
        to opening its market to the goods, services, and investment of 
        its prospective WTO trading partners, including the United 
        States.
            (3) In the course of negotiations with the People's 
        Republic of China regarding WTO accession, the United States 
        will have the opportunity to ensure that the People's Republic 
        of China assumes the obligations of all other WTO members and 
        makes specific commitments to ensure that United States goods 
        and services and investment are afforded market access in the 
        People's Republic of China substantially equivalent to the 
        access that the People's Republic of China's goods and services 
        and investment are afforded in the United States market.
            (4) The People's Republic of China is the world's 10th 
        largest trading country. It is the fastest growing major 
        economy not currently subject to the obligations, disciplines, 
        and market access commitments of the WTO.
            (5) It is in the interest of the United States to secure 
        the People's Republic of China's membership in the WTO in order 
        to ensure that--
                    (A) the markets of the People's Republic of China 
                are significantly opened to United States trade and 
                investment;
                    (B) the People's Republic of China assumes the 
                market-oriented disciplines of the WTO; and
                    (C) trade disputes with the People's Republic of 
                China will be resolved within the multilateral 
                resolution mechanisms provided by the WTO.
            (6) Opening the markets of the People's Republic of China 
        also represents the surest means of reducing the current 
        imbalance in United States trade with the People's Republic of 
        China.
            (7) Because the People's Republic of China is a nonmarket 
        economy, it is subject to title IV of the Trade Act of 1974, 
        which permits the extension of normal trade relations status 
        for 1-year periods. Unless the People's Republic of China is 
        specifically removed from the limitations of title IV of the 
        Trade Act of 1974, the People's Republic of China will not 
        receive unconditional most-favored-nation trade treatment from 
        the United States.
            (8) In the absence of any reservation or derogation, the 
        United States is obligated, under the agreement establishing 
        the WTO and agreements concluded under the auspices of the WTO, 
        to confer unconditional most-favored-nation trade treatment to 
        every other WTO member.

SEC. 2. TERMINATION OF APPLICATION OF TITLE IV OF THE TRADE ACT OF 1974 
              TO THE PEOPLE'S REPUBLIC OF CHINA UPON THE PEOPLE'S 
              REPUBLIC OF CHINA'S ACCESSION TO THE WTO.

    On the date on which the People's Republic of China becomes a 
member of the WTO, to the extent consistent with the United States' 
consent to the protocol of accession, the provisions of title IV of the 
Trade Act of 1974 shall cease to apply to that country and products of 
the People's Republic of China shall be afforded nondiscriminatory 
treatment.
                                 <all>
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