I

106TH CONGRESS

1ST SESSION H. R. 1570

To create incentives for the People’s Republic of China and India to adopt

a policy of restraint with respect to their nuclear activities, and for

other purposes.

IN THE HOUSE OF REPRESENTATIVES

APRIL 27, 1999

Mr. ANDREWS introduced the following bill; which was referred to the Committee on International Relations, and in addition to the Committee on

Banking and Financial Services, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions

as fall within the jurisdiction of the committee concerned

A BILL

To create incentives for the People’s Republic of China and

India to adopt a policy of restraint with respect to their

nuclear 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.

4 This Act may be cited as the ‘‘The Incentives for Nu5 clear Nonproliferation in India and China Act of 1999’’.

6 SEC. 2. CONDITIONS FOR SUSPENSION OF SANCTIONS.

7 (a) SUSPENSION OF SANCTIONS WITH RESPECT TO

8 CHINA.—
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1 (1) AUTHORITY TO SUSPEND SANCTIONS.—

2 Subject to section 3 of this Act, in addition to the

3 requirements set forth in section 902(a) of the For4 eign Relations Authorization Act, Fiscal Years 1990

5 and 1991 (22 U.S.C. 2151 note), for lifting the

6 sanctions imposed on the People’s Republic of China

7 under that section, the President may suspend, for

8 periods of 1 year each, any of the sanctions imposed

9 under that section only if that country has met the

10 requirements of paragraph (2) and the President

11 certifies to the Congress that the People’s Republic

12 of China is making progress in achieving the goals

13 set forth in paragraph (3).

14 (2) REQUIREMENTS.—The requirements re15 ferred to in paragraph (1) are the following:

16 (A) Becoming a participant in, and con17 trolling missile equipment and technology in ac18 cordance with the criteria and standards set

19 forth in, the Missile Technology Control Re20 gime.

21 (B) Refraining from exporting any nuclear

22 weapons or technology or any biological or

23 chemical weapons.

24 (C) Becoming a member of the Nuclear

25 Suppliers’ Group.
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1 (3) GOALS.—The goals referred to in paragraph

2 (1) are the following:

3 (A) Providing for comprehensive cultural

4 and educational exchange between among India

5 and the People’s Republic of China.

6 (B) Developing and institutionalizing a

7 framework for talks to end disputes between

8 India and the People’s Republic of China.

9 (C) Reinforcing actions to increase trade

10 relations between India and the People’s Re11 public of China.

12 (b) SUSPENSION OF SANCTIONS WITH RESPECT TO

13 INDIA.—

14 (1) AUTHORITY TO SUSPEND SANCTIONS.—The

15 President may suspend, for periods of 1 year each,

16 any of the sanctions imposed under section 102(b)

17 of the Arms Export Control Act (22 U.S.C. 2799–

18 1(b)(A) on India if India has met the requirements

19 of paragraph (2) and the President certifies to the

20 Congress that India is making progress in achieving

21 the goals set forth in paragraph (3). The authority

22 under this paragraph to suspend sanctions shall take

23 effect upon the expiration of the suspension by the

24 President, under section 902 of the India-Pakistan
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1 Relief Act of 1998, of sanctions with respect to

2 India.

3 (2) REQUIREMENTS.—The requirements re4 ferred to in paragraph (1) are the following:

5 (A) Signing the Comprehensive Test Ban

6 Treaty.

7 (B) Reducing the development of nuclear

8 weapons by—

9 (i) freezing stockpiles of nuclear weap10 ons;

11 (ii) halting production of fissile mate12 rial (highly enriched uranium and pluto13 nium processed for use in weapons) and

14 participating in talks to conclude the

15 Fissile Material Cut-off Treaty; and

16 (iii) agreeing not to place nuclear war17 heads and weapons of mass destruction on

18 missile systems, and agreeing not to have

19 nuclear warheads on alert status or deploy

20 or test ballistic missiles.

21 (C) Refraining from exporting any nuclear

22 weapons or technology.

23 (D) Becoming a member of the Nuclear

24 Suppliers’ Group.
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1 (3) GOALS.—The goals referred to in paragraph

2 (1) are the following:

3 (A) Signing the Treaty on the Non-Pro4 liferation on Nuclear Weapons.

5 (B) Cooperating fully with the United

6 States on activities to fight international ter7 rorism and narcotics trafficking.

8 (C) Providing for comprehensive cultural

9 and educational exchange between India and

10 the People’s Republic of China.

11 (D) Developing and institutionalizing a

12 framework for talks to end disputes between

13 India and the People’s Republic of China.

14 (E) Reinforcing actions to increase trade

15 relations between India and the People’s Re16 public of China.

17 (c) ADDITIONAL INCENTIVES.—In addition to sus18 pending sanctions under subsection (a), the President may

19 take the following actions with respect to India if that

20 country has met the requirements of subsection (b)(2):

21 (1) Taking actions to encourage United States

22 businesses to increase investment in that country as

23 long as economic reforms undertaken in that country

24 continue, including—
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1 (A) encouraging the Export-Import Bank

2 of the United States to offer financing at low

3 interest rates to United States businesses seek4 ing to make investments in that country;

5 (B) providing political risk insurance

6 through the Overseas Private Investment Cor7 poration for United States businesses seeking to

8 invest in that country; and

9 (C) making assistance available through

10 the Trade and Development Agency to United

11 States businesses seeking to invest in that

12 country.

13 (2) Supporting financial assistance to that

14 country by international financial institutions.

15 (3) Authorizing the transfer of technology to

16 that country for civilian uses that will provide

17 United States businesses access to markets in India

18 to provide the necessary knowledge, processes, mate19 rials, and equipment to further economic develop20 ment in that country. Nothing in this paragraph au21 thorizes the transfer of technology that would assist

22 in the development of nuclear, chemical, or biological

23 weapons, or the transfer of missile or other military

24 technology that would contribute to regional insta25 bility.
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1 SEC. 3. REMOVAL OF NATIONAL INTEREST WAIVER.

2 Upon the enactment of this Act, the President may

3 not waive or terminate any of the sanctions imposed on

4 the People’s Republic of China under section 902(a) of

5 the Foreign Relations Authorization Act, Fiscal Years

6 1990 and 1991 on the basis of the national interest of

7 the United States as set forth in section 902(b)(2) of that

8 Act.

9 SEC. 4. TERMINATION OF SANCTIONS.

10 (a) WITH RESPECT TO CHINA.—If the President cer11 tifies to the Congress that the People’s Republic of China

12 has met the requirements of section 2(a)(2) and has

13 achieved the goals set forth in section 2(a)(3), then the

14 President may terminate the sanctions imposed on that

15 country under section 902(a) of the Foreign Relations Au16 thorization Act, fiscal Years 1990 and 1991.

17 (b) WITH RESPECT TO INDIA.—If the President cer18 tifies to the Congress that India has signed the Treaty

19 on the Non-Proliferation on Nuclear Weapons, has met

20 the rquirements of section 2(b)(2), and has achieved the

21 goals set forth in section 2(b)(3), then the President may

22 terminate the sanctions imposed on that country under

23 section 102(b) of the Arms Export Control Act.

24 (c) REINSTATEMENT OF SANCTIONS.—If at any time

25 after sanctions are suspended or terminated under this

26 Act with respect to People’s Republic of China or India,
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1 that country ceases to meet the criteria under this Act

2 for such suspension or termination, then the President

3 shall reinstate the sanctions waived or terminated, as the

4 case may be, with respect to that country.

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