179 
‘‘(C) COUNTRIES DESCRIBED.—The coun-
tries referred to in subparagraph (A) are the 
following: 
‘‘(i) The United States. 
‘‘(ii) Any country that is a party to a 
free trade agreement with the United 
States that is in effect on the date of the 
enactment of the Haitian Hemispheric Op-
portunity through Partnership Encourage-
ment Act of 2006, or that enters into force 
under the Bipartisan Trade Promotion Au-
thority Act of 2002 (19 U.S.C. 3801 et 
seq.). 
‘‘(iii) Any country designated as a 
beneficiary 
country 
under 
section 
213(b)(5)(B) of this Act. 
‘‘(iv) Any country designated as a 
beneficiary 
country 
under 
section 
506A(a)(1) of the Trade Act of 1974 (19 
U.S.C. 2466a(a)(1)), if a finding has been 
made by the President or the President’s 
designee, and published in the Federal 
Register, that the country has satisfied the 
requirements of section 113 of the African 
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180 
Growth and Opportunity Act (19 U.S.C. 
3722). 
‘‘(v) Any country designated as a ben-
eficiary 
country 
under 
section 
204(b)(6)(B) of the Andean Trade Pref-
erence Act (19 U.S.C. 3203(b)(6)(B)). 
‘‘(D) ANNUAL AGGREGATION.— 
‘‘(i) INITIAL APPLICABLE 1-YEAR PE-
RIOD.—In the initial applicable 1-year pe-
riod, the requirements under subparagraph 
(A) relating to applicable percentage may 
also be met for articles of a producer or an 
entity controlling production that enter 
during the initial applicable 1-year period 
by aggregating— 
‘‘(I) the cost or value of mate-
rials under clause (i) of subparagraph 
(A), and 
‘‘(II) the direct costs of proc-
essing operations under clause (ii) of 
subparagraph (A), 
of all apparel articles of that producer or 
entity controlling production that are whol-
ly assembled, or are knit-to-shape, in Haiti 
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181 
and are entered during the initial applica-
ble 1-year period. 
‘‘(ii) OTHER APPLICABLE 1-YEAR PE-
RIODS.—In each of the second, third, 
fourth, and fifth applicable 1-year periods, 
the requirements under subparagraph (A) 
relating to applicable percentage may also 
be met for articles of a producer or an en-
tity controlling production that enter dur-
ing the applicable 1-year period by aggre-
gating— 
‘‘(I) the cost or value of mate-
rials under clause (i) of subparagraph 
(A), and 
‘‘(II) the direct costs of proc-
essing operations under clause (ii) of 
subparagraph (A), 
of all apparel articles of that producer or 
entity controlling production that are whol-
ly assembled, or are knit-to-shape, in Haiti 
and are entered during the preceding ap-
plicable 1-year period. 
‘‘(iii) DEDUCTIONS.—In calculating 
cost or value under clause (i)(I) or (ii)(I), 
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182 
there shall be deducted the cost or value 
of— 
‘‘(I) any foreign materials that 
are used in the production of the ap-
parel articles in Haiti; and 
‘‘(II) any foreign materials that 
are used in the production of the ma-
terials described in clause (i)(I) or 
(ii)(I) (as the case may be). 
‘‘(iv) INCLUSION IN CALCULATION OF 
OTHER
ARTICLES
RECEIVING
PREF-
ERENTIAL TREATMENT.—(I) The entry of 
a woven apparel article receiving pref-
erential treatment under paragraph (4) is 
not included in an annual aggregation 
under clause (i) or (ii). 
‘‘(II) Entries of articles receiving pref-
erential treatment under paragraph (5) are 
not included in an annual aggregation 
under clause (i) or (ii) unless the producer 
or entity controlling production elects, at 
the time the annual aggregation calcula-
tion is made, to include such entries in 
such aggregation. 
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183 
‘‘(III) Entries of apparel articles that 
receive preferential treatment under any 
provision of law other than this subsection 
or are subject to the ‘General’ column 1 
rate of duty under the HTS are not in-
cluded in an annual aggregation under 
clause (i) or (ii) unless the producer or en-
tity controlling production elects, at the 
time the annual aggregation calculation is 
made, to include such entries in such ag-
gregation. 
‘‘(E) DEFINITIONS.—In this paragraph: 
‘‘(i) APPLICABLE PERCENTAGE.—The 
term ‘‘applicable percentage’’ means— 
‘‘(I) 50 percent or more during 
the initial applicable 1-year period, 
the second applicable 1-year period, 
and the third applicable 1-year period; 
‘‘(II) 55 percent or more during 
the fourth applicable 1-year period; 
and 
‘‘(III) 60 percent or more during 
the fifth applicable 1-year period. 
‘‘(ii) FOREIGN MATERIAL.—The term 
‘foreign material’ means a material pro-
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184 
duced in a country other than Haiti or any 
country described in subparagraph (C). 
‘‘(F) DEVELOPMENT
OF
PROCEDURE
TO 
ENSURE COMPLIANCE.— 
‘‘(i) IN
GENERAL.—The Bureau of 
Customs and Border Protection of the De-
partment of Homeland Security shall de-
velop and implement methods and proce-
dures to ensure ongoing compliance with 
the requirements set forth in subpara-
graphs (A) and (D). 
‘‘(ii) NONCOMPLIANCE.—If the Bu-
reau of Customs and Border Protection 
finds that a producer or an entity control-
ling production has not satisfied such re-
quirements in any applicable 1-year period, 
either for individual entries entered pursu-
ant to subparagraph (A) or for entries en-
tered in aggregate pursuant to subpara-
graph (D), then apparel articles described 
in subparagraph (A) of that producer or 
entity shall be ineligible for preferential 
treatment under paragraph (1) during any 
succeeding applicable 1-year period until— 
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185 
‘‘(I) the cost or value of mate-
rials under clause (i) of subparagraph 
(A), plus 
‘‘(II) the direct costs of proc-
essing operations under clause (ii) of 
subparagraph (A), 
of that producer or entity controlling pro-
duction, is not less than the applicable per-
centage under subparagraph (E)(i), plus 
10 percent, of the aggregate declared cus-
toms value of all apparel articles of that 
producer or entity controlling production 
that are wholly assembled, or are knit-to- 
shape, in Haiti and are entered during the 
preceding applicable 1-year period. 
‘‘(iii) RETROACTIVE APPLICATION OF 
DUTY-FREE TREATMENT.—If— 
‘‘(I) a producer or an entity con-
trolling production is ineligible for 
preferential treatment under para-
graph (1) in an applicable 1-year pe-
riod because that producer or entity 
controlling production did not satisfy 
the requirements of subparagraph (A) 
or (D), and 
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186 
‘‘(II) that producer or entity con-
trolling production satisfies the re-
quirements of clause (ii) of this sub-
paragraph in that applicable 1-year 
period, 
then, notwithstanding section 514 of the 
Tariff Act of 1930 (19 U.S.C. 1514) or 
any other provision of law, upon proper re-
quest filed with the Bureau of Customs 
and Border Protection before the 90th day 
after the Bureau of Customs and Border 
Protection determines that subclause (II) 
applies, the entry of any articles— 
‘‘(aa) that was made during that 
applicable 1-year period, and 
‘‘(bb) with respect to which there 
would have been preferential treat-
ment under paragraph (1) if the pro-
ducer or entity controlling production 
had satisfied the requirements in sub-
paragraph (A) or (D) (as the case 
may be), 
shall be liquidated or reliquidated as 
though such preferential treatment under 
paragraph (1) applied to such entry. 
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187 
‘‘(G) FABRICS
NOT
AVAILABLE
IN
COM-
MERCIAL QUANTITIES.— 
‘‘(i) IN
GENERAL.—For purposes of 
determining 
the 
applicable 
percentage 
under subparagraph (A) or (D), there may 
be included in that percentage— 
‘‘(I) the cost of fabrics or yarns 
to the extent that apparel articles of 
such fabrics or yarns would be eligible 
for preferential treatment, without re-
gard to the source of the fabrics or 
yarns, under Annex 401 of the 
NAFTA; and 
‘‘(II) the cost of fabrics or yarns 
that are designated as not being avail-
able in commercial quantities for pur-
poses of— 
‘‘(aa) 
section 
213(b)(2)(A)(v) of this Act, 
‘‘(bb) section 112(b)(5) of 
the African Growth and Oppor-
tunity Act, 
‘‘(cc) 
section 
204(b)(3)(B)(i)(III) or (ii) of the 
Andean Trade Preference Act, or 
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188 
‘‘(dd) any other provision, 
relating to determining whether a 
textile or apparel article is an 
originating good eligible for pref-
erential treatment, of a law that 
implements a free trade agree-
ment that enters into force under 
the Bipartisan Trade Promotion 
Authority Act of 2002, 
without regard to the source of the 
fabrics or yarns. 
‘‘(ii) REMOVAL OF DESIGNATION OF 
FABRICS
OR
YARNS
NOT
AVAILABLE
IN 
COMMERCIAL
QUANTITIES.—If the Presi-
dent determines that— 
‘‘(I) any fabric or yarn described 
in clause (i)(I) was determined to be 
eligible for preferential treatment, or 
‘‘(II) any fabric or yarn described 
in clause (i)(II) was designated as not 
being available in commercial quan-
tities, 
on the basis of fraud, the President is au-
thorized to remove the eligibility or des-
ignation (as the case may be) of that fab-
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189 
ric or yarn with respect to articles entered 
after such removal. 
‘‘(3) QUANTITATIVE
LIMITATIONS.—The pref-
erential treatment described in paragraph (1) shall 
be extended, during each of the applicable 1-year pe-
riods set forth in the following table, to not more 
than the corresponding percentage of the aggregate 
square meter equivalents of all apparel articles im-
ported into the United States in the most recent 12- 
month period for which data are available: 
‘‘During the: 
the corresponding percent-
age is: 
‘‘initial applicable 1-year period .......................
1 percent. 
‘‘second applicable 1-year period ......................
1.25 percent. 
‘‘third applicable 1-year period .........................
1.5 percent. 
‘‘fourth applicable 1-year period .......................
1.75 percent. 
‘‘fifth applicable 1-year period ..........................
2 percent. 
No preferential treatment shall be provided under 
paragraph (1) after the last day of the fifth applica-
ble 1-year period. 
‘‘(4) SPECIAL RULE FOR WOVEN APPAREL.—In 
the case of apparel articles classifiable under chapter 
62 of the HTS (other than articles classifiable under 
subheading 6212.10 of the HTS), as in effect on the 
date of the enactment of the Haitian Hemispheric 
Opportunity through Partnership Encouragement 
Act of 2006, that do not qualify for preferential 
treatment under paragraph (1) because they do not 
meet the percentage requirements under paragraph 
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190 
(2)(A), (2)(B), or (2)(D), the preferential treatment 
under paragraph (1)— 
‘‘(A) shall be extended, in addition to the 
quantities permitted under paragraph (3) to— 
‘‘(i) not more than 50,000,000 square 
meter equivalents of such apparel articles 
for the initial applicable 1-year period; 
‘‘(ii) 
not 
more 
than 
50,000,000 
square meter equivalents of such apparel 
articles for the second applicable 1-year pe-
riod; and 
‘‘(iii) not more than 33,500,000 
square meter equivalents for the third ap-
plicable 1-year period; and 
‘‘(B) may not be extended to such apparel 
articles after the last day of the third applicable 
1-year period. 
‘‘(5) SPECIAL
RULE
FOR
BRASSIERES.—The 
preferential treatment under paragraph (1) shall, 
subject to the limitations under paragraph (3), be 
extended to any article classifiable under heading 
6212.10 of the HTS, if the article is both cut and 
sewn or otherwise assembled in Haiti or the United 
States, or both, without regard to the source of the 
fabric or components from which the article is made, 
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