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TITLE 
I—TARIFF 
MODIFICA-
TIONS; RULES OF ORIGIN
SEC. 101. TARIFF MODIFICATIONS.
(a) TARIFF MODIFICATIONS PROVIDED FOR IN THE
AGREEMENT.—The President may proclaim—
(1) such modifications or continuation of any
duty,
(2) such continuation of duty-free or excise
treatment, or
(3) such additional duties,
as the President determines to be necessary or appropriate
to carry out article 2.1 of the Agreement and the schedule
of duty reductions with respect to Jordan set out in Annex
2.1 of the Agreement.
(b) OTHER TARIFF MODIFICATIONS.—The President
may proclaim—
(1) such modifications or continuation of any
duty,
(2) such continuation of duty-free or excise
treatment, or
(3) such additional duties,
as the President determines to be necessary or appropriate
to maintain the general level of reciprocal and mutually
advantageous concessions with respect to Jordan provided
for by the Agreement.
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SEC. 102. RULES OF ORIGIN.
(a) IN GENERAL.—
(1) ELIGIBLE ARTICLES.—
(A) IN GENERAL.—The reduction or elimi-
nation of any duty imposed on any article by
the United States provided for in the Agree-
ment shall apply only if—
(i) that article is imported directly
from Jordan into the customs territory of
the United States; and
(ii) that article—
(I) is wholly the growth, product,
or manufacture of Jordan; or
(II) is a new or different article
of commerce that has been grown,
produced, or manufactured in Jordan
and meets the requirements of sub-
paragraph (B).
(B) REQUIREMENTS.—
(i) GENERAL
RULE.—The require-
ments of this subparagraph are that with
respect to an article described in subpara-
graph (A)(ii)(II), the sum of—
(I) the cost or value of the mate-
rials produced in Jordan, plus
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(II) the direct costs of processing
operations performed in Jordan,
is not less than 35 percent of the ap-
praised value of such article at the time it
is entered.
(ii) MATERIALS PRODUCED IN UNITED
STATES.—If the cost or value of materials
produced in the customs territory of the
United States is included with respect to
an article to which this paragraph applies,
an amount not to exceed 15 percent of the
appraised value of the article at the time
it is entered that is attributable to such
United States cost or value may be applied
toward determining the percentage re-
ferred to in clause (i).
(2) EXCLUSIONS.—No article may be consid-
ered to meet the requirements of paragraph (1)(A)
by virtue of having merely undergone—
(A) simple combining or packaging oper-
ations; or
(B) mere dilution with water or mere dilu-
tion with another substance that does not mate-
rially alter the characteristics of the article.
(b) DIRECT COSTS OF PROCESSING OPERATIONS.—
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(1) IN GENERAL.—As used in this section, the
term ‘‘direct costs of processing operations’’ in-
cludes, but is not limited to—
(A) all actual labor costs involved in the
growth, production, manufacture, or assembly
of the specific merchandise, including fringe
benefits, on-the-job training, and the cost of en-
gineering, supervisory, quality control, and
similar personnel; and
(B) dies, molds, tooling, and depreciation
on machinery and equipment which are allo-
cable to the specific merchandise.
(2) EXCLUDED COSTS.—The term ‘‘direct costs
of processing operations’’ does not include costs
which are not directly attributable to the merchan-
dise concerned, or are not costs of manufacturing
the product, such as—
(A) profit; and
(B) general expenses of doing business
which are either not allocable to the specific
merchandise or are not related to the growth,
production, manufacture, or assembly of the
merchandise, such as administrative salaries,
casualty and liability insurance, advertising,
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and salesmen’s salaries, commissions, or ex-
penses.
(c) TEXTILE AND APPAREL ARTICLES.—
(1) IN GENERAL.—A textile or apparel article
imported directly from Jordan into the customs ter-
ritory of the United States shall be considered to
meet the requirements of paragraph (1)(A) of sub-
section (a) only if—
(A) the article is wholly obtained or pro-
duced in Jordan;
(B) the article is a yarn, thread, twine,
cordage, rope, cable, or braiding, and—
(i) the constituent staple fibers are
spun in Jordan, or
(ii) the continuous filament is ex-
truded in Jordan;
(C) the article is a fabric, including a fab-
ric classified under chapter 59 of the HTS, and
the constituent fibers, filaments, or yarns are
woven, knitted, needled, tufted, felted, entan-
gled, or transformed by any other fabric-making
process in Jordan; or
(D) the article is any other textile or ap-
parel article that is wholly assembled in Jordan
from its component pieces.