Non-Discrimination of Israel in Labeling Act

To clarify the application of section 304 of the Tariff Act of 1930 as it relates to articles from areas of the West Bank and Gaza that are not administered by Israel. 1. Short title This Act may be cited as the Non-Discrimination of Israel in Labeling Act 2. Findings Congress finds the following: (1) Prior to the issuance of Trade Directive (T.D.) 95–25 and T.D. 97–16, the Customs Service had taken the position that, in order for the country of origin marking of a good which was produced in the West Bank or Gaza Strip to be considered acceptable, the word Israel (2) The Department of State advised the Department of Treasury that, in view of certain developments, principally the Israeli-PLO Declaration of Principles on Interim Self-Government Arrangements (signed on September 13, 1993), also known as the Oslo Accords, the primary purpose of section 304 of the Tariff Act of 1930 ( 19 U.S.C. 1304 West Bank Gaza Strip (3) The Oslo Accords created a new self-rule entity, an interim self-governing Palestinian council, granting it the authority to independently conduct its affairs, including financial matters such as import and export. (4) On March 17, 1995, President Clinton signed Presidential Proclamation 6788 designating the West Bank and Gaza Strip as a beneficiary of the generalized system of preferences program. (5) The United States Customs Border Protection Cargo Systems Messaging Service guidance dated March 28, 1995, stated: The extension of the generalized system of preferences program to the West Bank and Gaza Strip pursuant to this Presidential Proclamation applies only to goods produced in the areas for which arrangements are being established for Palestinian interim self-government, as set forth in Articles I, III, and IV of the Declaration of Principles on Interim Self-Government arrangements. (6) The March 28, 1995, guidance further articulated Articles IV and V of the Declaration of Principles on Interim Self-Government arrangements, stating: It is understood that: Jurisdiction of the Council will cover West Bank and Gaza Strip territory, except for issues that will be negotiated in the permanent status negotiations: Jerusalem, settlements, military location, and Israelis. (7) It is the longstanding policy of the United States to oppose any effort to delegitimize Israel. (8) The first free trade agreement by the United States was between the United States and Israel, effective September 1, 1985. (9) The United States-Israel Strategic Partnership is a vital asset to United States national, economic, and security interests and any boycott, or sanctions effort, or policy that serves to delegitimize or discriminate against Israel will ultimately harm United States economic interests. 3. Additional markings of imported articles and containers from the West Bank and Gaza Strip (a) Articles of West Bank For purposes of section 304 of the Tariff Act of 1930 ( 19 U.S.C. 1304 (1) in the case of an article of an area not administered by Israel in the West Bank, shall include the words West Bank (2) in the case of an article of an area administered by Israel in the West Bank, shall include the words Israel Made in Israel Product of Israel (b) Articles of Gaza Strip For purposes of section 304 of the Tariff Act of 1930 ( 19 U.S.C. 1304 Gaza Gaza Strip (c) Additional requirement The Secretary of the Treasury or any other competent Federal official (or the official’s designee) may not prohibit the use of any of the markings specified in subsections (a) and (b) for purposes of satisfying the applicable requirements under section 304 of the Tariff Act of 1930 with respect to articles of the West Bank or the Gaza Strip. (d) Effective date This section shall take effect on the date of the enactment of this Act and shall apply with respect to articles imported into the United States on or after such date of enactment.

Summary: Non-Discrimination of Israel in Labeling Act This bill requires that, for purposes of marking imported articles and containers under the Tariff Act of 1930, every article of origin from the geographical area known as the West Bank (or its container) imported into the United States shall include the words: "West Bank" in the case of an article of an area in the West Bank not administered by Israel; and "Israel," "Made in Israel," or "Product of Israel" in the case of an article of an area in the West Bank administered by Israel. Every article of origin from the geographical area known as the Gaza Strip (or its container) imported into the United States shall include the words "Gaza" or "Gaza Strip." Neither the Department of the Treasury nor any other federal department or agency may prohibit the use of any of such markings for purposes of satisfying the Tariff Act of 1930.