H. R. 434—14
(1) IN GENERAL.—The preferential treatment under section
112(a) shall not be provided to textile and apparel articles
that are imported from a beneficiary sub-Saharan African
country unless that country—
(A) has adopted an effective visa system, domestic laws,
and enforcement procedures applicable to covered articles
to prevent unlawful transshipment of the articles and the
use of counterfeit documents relating to the importation
of the articles into the United States;
(B) has enacted legislation or promulgated regulations
that would permit United States Customs Service
verification teams to have the access necessary to inves-
tigate thoroughly allegations of transshipment through
such country;
(C) agrees to report, on a timely basis, at the request
of the United States Customs Service, on the total exports
from and imports into that country of covered articles,
consistent with the manner in which the records are kept
by that country;
(D) will cooperate fully with the United States to
address and take action necessary to prevent circumvention
as provided in Article 5 of the Agreement on Textiles
and Clothing;
(E) agrees to require all producers and exporters of
covered articles in that country to maintain complete
records of the production and the export of covered articles,
including materials used in the production, for at least
2 years after the production or export (as the case may
be); and
(F) agrees to report, on a timely basis, at the request
of the United States Customs Service, documentation estab-
lishing the country of origin of covered articles as used
by that country in implementing an effective visa system.
(2) COUNTRY
OF
ORIGIN
DOCUMENTATION.—For purposes
of paragraph (1)(F), documentation regarding the country of
origin of the covered articles includes documentation such as
production records, information relating to the place of produc-
tion, the number and identification of the types of machinery
used in production, the number of workers employed in produc-
tion, and certification from both the manufacturer and the
exporter.
(b) CUSTOMS PROCEDURES AND ENFORCEMENT.—
(1) IN GENERAL.—
(A) REGULATIONS.—Any importer that claims pref-
erential treatment under section 112 shall comply with
customs procedures similar in all material respects to the
requirements of Article 502(1) of the NAFTA as imple-
mented pursuant to United States law, in accordance with
regulations promulgated by the Secretary of the Treasury.
(B) DETERMINATION.—
(i) IN GENERAL.—In order to qualify for the pref-
erential treatment under section 112 and for a Certifi-
cate of Origin to be valid with respect to any article
for which such treatment is claimed, there shall be
in effect a determination by the President that each
country described in clause (ii)—
(I) has implemented and follows; or
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(II) is making substantial progress toward
implementing and following,
procedures and requirements similar in all material
respects to the relevant procedures and requirements
under chapter 5 of the NAFTA.
(ii) COUNTRY DESCRIBED.—A country is described
in this clause if it is a beneficiary sub-Saharan African
country—
(I) from which the article is exported; or
(II) in which materials used in the production
of the article originate or in which the article
or such materials, undergo production that contrib-
utes to a claim that the article is eligible for pref-
erential treatment.
(2) CERTIFICATE OF ORIGIN.—The Certificate of Origin that
otherwise would be required pursuant to the provisions of para-
graph (1) shall not be required in the case of an article imported
under section 112 if such Certificate of Origin would not be
required under Article 503 of the NAFTA (as implemented
pursuant to United States law), if the article were imported
from Mexico.
(3) PENALTIES
FOR
EXPORTERS.—If the President deter-
mines, based on sufficient evidence, that an exporter has
engaged in transshipment as defined in paragraph (4), then
the President shall deny for a period of 5 years all benefits
under section 112 to such exporter, any successor of such
exporter, and any other entity owned or operated by the prin-
cipal of the exporter.
(4) TRANSSHIPMENT DESCRIBED.—Transshipment within the
meaning of this subsection has occurred when preferential
treatment for a textile or apparel article under this Act has
been claimed on the basis of material false information con-
cerning the country of origin, manufacture, processing, or
assembly of the article or any of its components. For purposes
of this paragraph, false information is material if disclosure
of the true information would mean or would have meant
that the article is or was ineligible for preferential treatment
under section 112.
(5) MONITORING AND REPORTS TO CONGRESS.—The Customs
Service shall monitor and the Commissioner of Customs shall
submit to Congress, not later than March 31 of each year,
a report on the effectiveness of the visa systems and the
implementation of legislation and regulations described in sub-
section (a) and on measures taken by countries in sub-Saharan
Africa which export textiles or apparel to the United States
to prevent circumvention as described in Article 5 of the Agree-
ment on Textiles and Clothing.
(c) CUSTOMS SERVICE ENFORCEMENT.—The Customs Service
shall—
(1) make available technical assistance to the beneficiary
sub-Saharan African countries—
(A) in the development and implementation of visa
systems, legislation, and regulations described in sub-
section (a)(1)(A); and
(B) to train their officials in anti-transshipment
enforcement;
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(2) send production verification teams to at least four bene-
ficiary sub-Saharan African countries each year; and
(3) to the extent feasible, place beneficiary sub-Saharan
African countries on the Electronic Visa (ELVIS) program.
(d) AUTHORIZATION OF APPROPRIATIONS.—There is authorized
to be appropriated to carry out subsection (c) the sum of $5,894,913.
SEC. 114. TERMINATION.
Title V of the Trade Act of 1974 is amended by inserting
after section 506A the following new section:
‘‘SEC. 506B. TERMINATION OF BENEFITS FOR SUB-SAHARAN AFRICAN
COUNTRIES.
‘‘In the case of a beneficiary sub-Saharan African country,
as defined in section 506A(c), duty-free treatment provided under
this title shall remain in effect through September 30, 2008.’’.
SEC. 115. CLERICAL AMENDMENTS.
The table of contents for title V of the Trade Act of 1974
is amended by inserting after the item relating to section 506
the following new items:
‘‘Sec. 506A. Designation of sub-Saharan African countries for certain benefits.
‘‘Sec. 506B. Termination of benefits for sub-Saharan African countries.’’.
SEC. 116. FREE TRADE AGREEMENTS WITH SUB-SAHARAN AFRICAN
COUNTRIES.
(a) DECLARATION OF POLICY.—Congress declares that free trade
agreements should be negotiated, where feasible, with interested
countries in sub-Saharan Africa, in order to serve as the catalyst
for increasing trade between the United States and sub-Saharan
Africa and increasing private sector investment in sub-Saharan
Africa.
(b) PLAN REQUIREMENT.—
(1) IN GENERAL.—The President, taking into account the
provisions of the treaty establishing the African Economic
Community and the willingness of the governments of sub-
Saharan African countries to engage in negotiations to enter
into free trade agreements, shall develop a plan for the purpose
of negotiating and entering into one or more trade agreements
with interested beneficiary sub-Saharan African countries.
(2) ELEMENTS OF PLAN.—The plan shall include the fol-
lowing:
(A) The specific objectives of the United States with
respect to negotiations described in paragraph (1) and a
suggested timetable for achieving those objectives.
(B) The benefits to both the United States and the
relevant sub-Saharan African countries with respect to the
applicable free trade agreement or agreements.
(C) A mutually agreed-upon timetable for the negotia-
tions.
(D) The implications for and the role of regional and
sub-regional organizations in sub-Saharan Africa with
respect to such free trade agreement or agreements.
(E) Subject matter anticipated to be covered by the
negotiations and United States laws, programs, and poli-
cies, as well as the laws of participating eligible African
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countries and existing bilateral and multilateral and eco-
nomic cooperation and trade agreements, that may be
affected by the agreement or agreements.
(F) Procedures to ensure the following:
(i) Adequate consultation with the Congress and
the private sector during the negotiations.
(ii) Consultation with the Congress regarding all
matters relating to implementation of the agreement
or agreements.
(iii) Approval by the Congress of the agreement
or agreements.
(iv) Adequate consultations with the relevant Afri-
can governments and African regional and subregional
intergovernmental organizations during the negotia-
tion of the agreement or agreements.
(c) REPORTING REQUIREMENT.—Not later than 12 months after
the date of the enactment of this Act, the President shall prepare
and transmit to the Congress a report containing the plan developed
pursuant to subsection (b).
SEC. 117. ASSISTANT UNITED STATES TRADE REPRESENTATIVE FOR
AFRICAN AFFAIRS.
It is the sense of the Congress that—
(1) the position of Assistant United States Trade Represent-
ative for African Affairs is integral to the United States commit-
ment to increasing United States-sub-Saharan African trade
and investment;
(2) the position of Assistant United States Trade Represent-
ative for African Affairs should be maintained within the Office
of the United States Trade Representative to direct and coordi-
nate interagency activities on United States-Africa trade policy
and investment matters and serve as—
(A) a primary point of contact in the executive branch
for those persons engaged in trade between the United
States and sub-Saharan Africa; and
(B) the chief advisor to the United States Trade Rep-
resentative on issues of trade and investment with Africa;
and
(3) the United States Trade Representative should have
adequate funding and staff to carry out the duties of the Assist-
ant United States Trade Representative for African Affairs
described in paragraph (2), subject to the availability of appro-
priations.
Subtitle C—Economic Development
Related Issues
SEC. 121. SENSE OF THE CONGRESS REGARDING COMPREHENSIVE
DEBT RELIEF FOR THE WORLD’S POOREST COUNTRIES.
(a) FINDINGS.—Congress makes the following findings:
(1) The burden of external debt has become a major impedi-
ment to economic growth and poverty reduction in many of
the world’s poorest countries.
(2) Until recently, the United States Government and other
official creditors sought to address this problem by rescheduling
loans and in some cases providing limited debt reduction.