I 

111TH CONGRESS 

1ST SESSION H. R. 499 

To amend title VII of the Tariff Act of 1930 to provide that the provisions 

relating to countervailing duties apply to nonmarket economy countries, 

and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

JANUARY 14, 2009 

Mr. DAVIS of Alabama (for himself and Ms. GINNY BROWN-WAITE of Florida) 

introduced the following bill; which was referred to the Committee on 

Ways and Means, and in addition to the Committee on Rules, 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 amend title VII of the Tariff Act of 1930 to provide 

that the provisions relating to countervailing duties apply 

to nonmarket economy countries, 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 ‘‘Nonmarket Economy 

5 Trade Remedy Act of 2009’’. 


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1 SEC. 2. APPLICATION OF COUNTERVAILING DUTIES TO 

2 NONMARKET ECONOMIES AND STRENGTH3 ENING APPLICATION OF THE LAW. 

4 (a) IN GENERAL.—Section 701(a)(1) of the Tariff 

5 Act of 1930 (19 U.S.C. 1671(a)(1)) is amended by insert6 ing ‘‘(including a nonmarket economy country)’’ after 

7 ‘‘country’’ each place it appears. 

8 (b) RECOGNITION OF COUNTERVAILABLE SUBSIDIES

9 IN NONMARKET ECONOMY COUNTRIES.—Section 

10 771(5)(C) of the Tariff Act of 1930 (19 U.S.C. 

11 1677(5)(E)) is amended to read as follows: 

12 ‘‘(C) OTHER FACTORS.—(i) The deter13 mination of whether a subsidy exists shall be 

14 made without regard to— 

15 ‘‘(I) whether the recipient of the 

16 subsidy is publicly or privately owned; 

17 ‘‘(II) whether the subsidy is pro18 vided directly or indirectly on the 

19 manufacture, production, or export of 

20 merchandise; and 

21 ‘‘(III)(aa) whether the country is 

22 a nonmarket economy country, or 

23 ‘‘(bb) the level of economic re24 forms in a country that is a non25 market economy country, 

26 at the time the subsidy is provided. 


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1 ‘‘(ii) The administering authority is 

2 not required to consider the effect of the 

3 subsidy in determining whether a subsidy 

4 exists under this paragraph.’’. 

5 (c) USE OF ALTERNATE METHODOLOGIES INVOLV6 ING CHINA.—Section 771(5)(E) of the Tariff Act of 1930 

7 (19 U.S.C. 1677(5)(E)) is amended by adding at the end 

8 the following: ‘‘If the administering authority encounters 

9 special difficulties in identifying and calculating the 

10 amount of a benefit under clauses (i) through (iv) with 

11 respect to an investigation or review involving the People’s 

12 Republic of China, irrespective of whether the admin13 istering authority determines that China is a nonmarket 

14 economy country under paragraph (18) of this section, the 

15 administering authority shall use methodologies to identify 

16 and calculate the amount of the benefit that take into ac17 count the possibility that terms and conditions prevailing 

18 in China may not always be available as appropriate 

19 benchmarks. In applying such methodologies, where prac20 ticable, the administering authority should take into ac21 count and adjust terms and conditions prevailing in China 

22 before using terms and conditions prevailing outside of 

23 China. When the administering authority has determined 

24 that China is a nonmarket economy country under para25 graph (18) of this section, the administering authority 


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1 shall presume that special difficulties exist in calculating 

2 the amount of a benefit under clauses (i) through (iv) with 

3 respect to an investigation or review involving China and 

4 that it is not practicable to take into account and adjust 

5 terms and conditions prevailing in China, and the admin6 istering authority shall use terms and conditions pre7 vailing outside of China.’’. 

8 (d) SUBSIDIES PROVIDED TO STATE-OWNED ENTER9 PRISES IN THE PEOPLE’S REPUBLIC OF CHINA.—Section 

10 771(5A) of the Tariff Act of 1930 (19 U.S.C. 1677(5A)) 

11 is amended by adding at the end the following: 

12 ‘‘For purposes of this paragraph, subsidies provided 

13 to state-owned enterprises in the People’s Republic 

14 of China shall be deemed to be specific if, inter alia, 

15 state-owned enterprises are the predominant recipi16 ents of such subsidies or state-owned enterprises re17 ceive disproportionately large amounts of such sub18 sidies.’’. 

19 (e) ANTIDUMPING PROVISIONS NOT AFFECTED.— 

20 The amendments made by this section shall not affect the 

21 status of a country as a nonmarket economy country for 

22 the purposes of any matter relating to antidumping duties 

23 under subtitle B of title VII of the Tariff Act of 1930 

24 (19 U.S.C. 1673 et seq.). 


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1 (f) RULE OF CONSTRUCTION.—The amendments 

2 made by this section shall not be construed to affect the 

3 interpretation of any provision of law as in effect on the 

4 day before the date of the enactment of this Act with re5 spect to the application of countervailing duties to non6 market economy countries. 

7 (g) EFFECTIVE DATE.—The amendments made by 

8 this section apply to petitions filed under section 702 of 

9 the Tariff Act of 1930 (19 U.S.C. 1671a) on or after Oc10 tober 1, 2006. 

11 SEC. 3. TREATMENT OF INDIVIDUAL BUSINESS ENTER12 PRISES IN NONMARKET ECONOMY COUN13 TRIES. 

14 Section 771(18) of the Tariff Act of 1930 (19 U.S.C. 

15 1677(18)) is amended— 

16 (1) by redesignating subparagraphs (D) and 

17 (E) as subparagraph (E) and (F), respectively; and 

18 (2) by inserting after subparagraph (C) the fol19 lowing: 

20 ‘‘(D) TREATMENT OF INDIVIDUAL BUSI21 NESS ENTERPRISES.—The administering au22 thority shall not consider requests for market 

23 economy treatment at the individual business 

24 enterprise level in an antidumping proceeding 


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1 involving a foreign country determined to be a 

2 nonmarket economy country.’’. 

3 SEC. 4. REVOCATION OF NONMARKET ECONOMY COUNTRY 

4 STATUS. 

5 (a) AMENDMENT OF DEFINITION OF ‘‘NONMARKET

6 ECONOMY COUNTRY’’.—Section 771(18)(C)(i) of the Tar7 iff Act of 1930 (19 U.S.C. 1677(18)(C)(i)) is amended 

8 to read as follows: 

9 ‘‘(i) Any determination that a foreign 

10 country is a nonmarket economy country 

11 shall remain in effect until— 

12 ‘‘(I) the administering authority 

13 makes a final determination to revoke 

14 the determination under subparagraph 

15 (A); and 

16 ‘‘(II) a joint resolution is enacted 

17 into law pursuant to subsections (b) 

18 through (i) of section 4 of the Non19 market Economy Trade Remedy Act 

20 of 2009.’’. 

21 (b) NOTIFICATION BY PRESIDENT; JOINT RESOLU22 TION.—Whenever the administering authority makes a 

23 final determination under section 771(18)(C)(i)(I) of the 

24 Tariff Act of 1930 (19 U.S.C. 1677(18)(C)(i)(I)) to reVerDate Nov 24 2008 02:47 Jan 16, 2009 Jkt 079200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:\BILLS\H499.IH H499

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1 voke the determination that a foreign country is a non2 market economy country— 

3 (1) the President shall notify the Committee on 

4 Finance of the Senate and the Committee on Ways 

5 and Means of the House of Representatives of that 

6 determination not later than 10 days after the publi7 cation of the administering authority’s final deter8 mination in the Federal Register; 

9 (2) the President shall transmit to the Congress 

10 a request that a joint resolution be introduced pur11 suant to this section; and 

12 (3) a joint resolution shall be introduced in the 

13 Congress pursuant to this section. 

14 (c) DEFINITION.—For purposes of this section, the 

15 term ‘‘joint resolution’’ means only a joint resolution of 

16 the 2 Houses of the Congress, the matter after the resolv17 ing clause of which is as follows: ‘‘That the Congress ap18 proves the change of nonmarket economy status with re19 spect to the products of lllll transmitted by the 

20 President to the Congress on lllll.’’, the first 

21 blank space being filled in with the name of the country 

22 with respect to which a determination has been made 

23 under section 771(18)(C)(i) of the Tariff Act of 1930 (19 

24 U.S.C. 1677(18)(C)(i)), and the second blank space being 

25 filled with the date on which the President notified the 


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1 Committee on Finance of the Senate and the Committee 

2 on Ways and Means of the House of Representatives 

3 under subsection (b)(1). 

4 (d) INTRODUCTION.—A joint resolution shall be in5 troduced (by request) in the House of Representatives by 

6 the majority leader of the House, for himself, or by Mem7 bers of the House designated by the majority leader of 

8 the House, and shall be introduced (by request) in the 

9 Senate by the majority leader of the Senate, for himself, 

10 or by Members of the Senate designated by the majority 

11 leader of the Senate. 

12 (e) AMENDMENTS PROHIBITED.—No amendment to 

13 a joint resolution shall be in order in either the House 

14 of Representatives or the Senate, and no motion to sus15 pend the application of this subsection shall be in order 

16 in either House, nor shall it be in order in either House 

17 for the presiding officer to entertain a request to suspend 

18 the application of this subsection by unanimous consent. 

19 (f) PERIOD FOR COMMITTEE AND FLOOR CONSIDER20 ATION.— 

21 (1) IN GENERAL.—If the committee or commit22 tees of either House to which a joint resolution has 

23 been referred have not reported the joint resolution 

24 at the close of the 45th day after its introduction, 

25 such committee or committees shall be automatically 


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1 discharged from further consideration of the joint 

2 resolution and it shall be placed on the appropriate 

3 calendar. A vote on final passage of the joint resolu4 tion shall be taken in each House on or before the 

5 close of the 15th day after the joint resolution is re6 ported by the committee or committees of that 

7 House to which it was referred, or after such com8 mittee or committees have been discharged from fur9 ther consideration of the joint resolution. If, prior to 

10 the passage by one House of a joint resolution of 

11 that House, that House receives the same joint reso12 lution from the other House, then— 

13 (A) the procedure in that House shall be 

14 the same as if no joint resolution had been re15 ceived from the other House, but 

16 (B) the vote on final passage shall be on 

17 the joint resolution of the other House. 

18 (2) COMPUTATION OF DAYS.—For purposes of 

19 paragraph (1), in computing a number of days in ei20 ther House, there shall be excluded any day on 

21 which that House is not in session. 

22 (g) FLOOR CONSIDERATION IN THE HOUSE.— 

23 (1) MOTION PRIVILEGED.—A motion in the 

24 House of Representatives to proceed to the consider25 ation of a joint resolution shall be highly privileged 


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1 and not debatable. An amendment to the motion 

2 shall not be in order, nor shall it be in order to move 

3 to reconsider the vote by which the motion is agreed 

4 to or disagreed to. 

5 (2) DEBATE LIMITED.—Debate in the House of 

6 Representatives on a joint resolution shall be limited 

7 to not more than 20 hours, which shall be divided 

8 equally between those favoring and those opposing 

9 the joint resolution. A motion further to limit debate 

10 shall not be debatable. It shall not be in order to 

11 move to recommit a joint resolution or to move to 

12 reconsider the vote by which a joint resolution is 

13 agreed to or disagreed to. 

14 (3) MOTIONS TO POSTPONE.—Motions to post15 pone, made in the House of Representatives with re16 spect to the consideration of a joint resolution, and 

17 motions to proceed to the consideration of other 

18 business, shall be decided without debate. 

19 (4) APPEALS.—All appeals from the decisions 

20 of the Chair relating to the application of the Rules 

21 of the House of Representatives to the procedure re22 lating to a joint resolution shall be decided without 

23 debate. 

24 (5) OTHER RULES.—Except to the extent spe25 cifically provided in the preceding provisions of this 


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1 subsection, consideration of a joint resolution shall 

2 be governed by the Rules of the House of Represent3 atives applicable to other bills and resolutions in 

4 similar circumstances. 

5 (h) FLOOR CONSIDERATION IN THE SENATE.— 

6 (1) MOTION PRIVILEGED.—A motion in the 

7 Senate to proceed to the consideration of a joint res8 olution shall be privileged and not debatable. An 

9 amendment to the motion shall not be in order, nor 

10 shall it be in order to move to reconsider the vote 

11 by which the motion is agreed to or disagreed to. 

12 (2) DEBATE LIMITED.—Debate in the Senate 

13 on a joint resolution, and all debatable motions and 

14 appeals in connection therewith, shall be limited to 

15 not more than 20 hours. The time shall be equally 

16 divided between, and controlled by, the majority 

17 leader and the minority leader or their designees. 

18 (3) CONTROL OF DEBATE.—Debate in the Sen19 ate on any debatable motion or appeal in connection 

20 with a joint resolution shall be limited to not more 

21 than 1 hour, to be equally divided between, and con22 trolled by, the mover and the manager of the joint 

23 resolution, except that in the event the manager of 

24 the joint resolution is in favor of any such motion 

25 or appeal, the time in opposition thereto shall be 


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1 controlled by the minority leader or his designee. 

2 Such leaders, or either of them, may, from time 

3 under their control on the passage of a joint resolu4 tion, allot additional time to any Senator during the 

5 consideration of any debatable motion or appeal. 

6 (4) OTHER MOTIONS.—A motion in the Senate 

7 to further limit debate is not debatable. A motion to 

8 recommit a joint resolution is not in order. 

9 (i) RULES OF HOUSE OF REPRESENTATIVES AND

10 SENATE.—Subsections (c) through (h) are enacted by the 

11 Congress— 

12 (1) as an exercise of the rulemaking power of 

13 the House of Representatives and the Senate, re14 spectively, and as such subsections (c) through (h) 

15 are deemed a part of the rules of each House, re16 spectively, but applicable only with respect to the 

17 procedure to be followed in that House in the case 

18 of joint resolutions described in subsection (c), and 

19 subsections (c) through (h) supersede other rules 

20 only to the extent that they are inconsistent there21 with; and 

22 (2) with full recognition of the constitutional 

23 right of either House to change the rules (so far as 

24 relating to the procedure of that House) at any time, 


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1 in the same manner and to the same extent as in 

2 the case of any other rule of that House. 

Æ 


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