I 
114TH CONGRESS 
1ST SESSION 
H. R. 681 
To make certain luggage and travel articles eligible for duty-free treatment 
under the Generalized System of Preferences, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
FEBRUARY 3, 2015 
Mr. CRENSHAW (for himself, Mr. SMITH of Nebraska, Mr. PAULSEN, Mr. 
HUFFMAN, Ms. BORDALLO, Ms. KUSTER, Mr. ROSKAM, Mr. POLIS, Mr. 
RENACCI, and Ms. DUCKWORTH) introduced the following bill; which was 
referred to the Committee on Ways and Means 
A BILL 
To make certain luggage and travel articles eligible for duty- 
free treatment under the Generalized System of Pref-
erences, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘GSP Update for Pro-
duction Diversification and Trade Enhancement Act’’ or 
‘‘GSP UPDATE Act’’. 
SEC. 2. FINDINGS. 
Congress makes the following findings: 
VerDate Sep 11 2014 
04:27 Feb 10, 2015
Jkt 049200
PO 00000
Frm 00001
Fmt 6652
Sfmt 6201
E:\BILLS\H681.IH
H681
SSpencer on DSK4SPTVN1PROD with BILLS
(1) The Generalized System of Preferences 
under title V of the Trade Act of 1974 (19 U.S.C. 
2461 et seq.) was enacted to promote economic de-
velopment in developing and least-developed coun-
tries. 
(2) Many articles referred to as luggage or 
travel articles and classified under chapter 42 of the 
Harmonized Tariff Schedule of the United States 
may not be designated as eligible articles for pur-
poses of the Generalized System of Preferences. 
(3) Global trade and manufacturing dynamics 
have changed since the enactment of the Generalized 
System of Preferences in 1974, and many luggage 
and travel articles may no longer be import-sensitive 
to industries in the United States. 
(4) By removing certain luggage and travel ar-
ticles from the list of articles excluded from eligi-
bility under the Generalized System of Preferences, 
Congress is not changing rates in the Harmonized 
Tariff Schedule of the United States, but instead is 
allowing those articles access to the annual review 
process under the Generalized System of Pref-
erences, which relies on investigations and rec-
ommendations from the independent United States 
VerDate Sep 11 2014 
04:27 Feb 10, 2015
Jkt 049200
PO 00000
Frm 00002
Fmt 6652
Sfmt 6201
E:\BILLS\H681.IH
H681
SSpencer on DSK4SPTVN1PROD with BILLS
International Trade Commission, among other agen-
cies of the United States Government. 
(5) As of 2013, 61 of the 122 countries des-
ignated as beneficiary developing countries under the 
Generalized System of Preferences export articles 
classified under heading 4202 of the Harmonized 
Tariff Schedule of the United States to the United 
States. Sixteen of those countries have been des-
ignated as least-developed beneficiary developing 
countries for purposes of the Generalized System of 
Preferences. 
(6) As of 2013, the People’s Republic of China 
has a nearly 70 percent share of the market for cer-
tain luggage and travel articles being imported into 
the United States. This dominance leaves little room 
for competition from smaller developing countries. 
For example, countries designated as beneficiary de-
veloping countries under the Generalized System of 
Preferences account for only 5 percent of imports of 
those articles into the United States. 
(7) The provision of duty-free treatment under 
the Generalized System of Preferences for certain 
luggage and travel articles imported into the United 
States may result in a shift in the production of 
those articles from China to countries designated as 
VerDate Sep 11 2014 
04:27 Feb 10, 2015
Jkt 049200
PO 00000
Frm 00003
Fmt 6652
Sfmt 6201
E:\BILLS\H681.IH
H681
SSpencer on DSK4SPTVN1PROD with BILLS
beneficiary developing countries or least-developed 
beneficiary developing countries under the General-
ized System of Preferences. 
SEC. 3. ELIGIBILITY OF CERTAIN LUGGAGE AND TRAVEL 
ARTICLES 
FOR 
DUTY-FREE 
TREATMENT 
UNDER THE GENERALIZED SYSTEM OF PREF-
ERENCES. 
Section 503(b)(1) of the Trade Act of 1974 (19 
U.S.C. 2463(b)(1)) is amended— 
(1) in subparagraph (A), by striking ‘‘para-
graph (4)’’ and inserting ‘‘paragraphs (4) and (5)’’; 
(2) in subparagraph (E), by striking ‘‘Foot-
wear’’ and inserting ‘‘Except as provided in para-
graph (5), footwear’’; and 
(3) by adding at the end the following: 
‘‘(5) CERTAIN
LUGGAGE
AND
TRAVEL
ARTI-
CLES.—Notwithstanding subparagraph (A) or (E) of 
paragraph (1), the President may designate the fol-
lowing as eligible articles under subsection (a): 
‘‘(A) Articles classifiable under subheading 
4202.11.00, 
4202.12.40, 
4202.21.60, 
4202.21.90, 
4202.22.15, 
4202.22.45, 
4202.31.60, 
4202.32.40, 
4202.32.80, 
4202.92.15, 
4202.92.20, 
4202.92.45, 
or 
VerDate Sep 11 2014 
04:27 Feb 10, 2015
Jkt 049200
PO 00000
Frm 00004
Fmt 6652
Sfmt 6201
E:\BILLS\H681.IH
H681
SSpencer on DSK4SPTVN1PROD with BILLS
4202.99.90 of the Harmonized Tariff Schedule 
of the United States. 
‘‘(B) Articles classifiable under statistical 
reporting number 4202.12.2020, 4202.12.2050, 
4202.12.8030, 4202.12.8070, 4202.22.8050, 
4202.32.9550, 4202.32.9560, 4202.91.0030, 
4202.91.0090, 4202.92.3020, 4202.92.3031, 
4202.92.3091, 4202.92.9026, or 4202.92.9060 
of the Harmonized Tariff Schedule of the 
United States.’’. 
Æ 
VerDate Sep 11 2014 
04:27 Feb 10, 2015
Jkt 049200
PO 00000
Frm 00005
Fmt 6652
Sfmt 6301
E:\BILLS\H681.IH
H681
SSpencer on DSK4SPTVN1PROD with BILLS