formed in Israel under section 1(c)(ii) of Annex 3 of the
Agreement.
‘‘(e) QUALIFYING INDUSTRIAL ZONE DEFINED.—For
purposes of this section, a ‘qualifying industrial zone’
means any area that—
‘‘(1) encompasses portions of the territory of Is-
rael and Jordan or Israel and Egypt;
‘‘(2) has been designated by local authorities as
an enclave where merchandise may enter without
payment of duty or excise taxes; and
‘‘(3) has been specified by the President as a
qualifying industrial zone.’’.
TITLE II—APPROVAL AND IMPLE-
MENTATION OF OECD SHIP-
BUILDING AGREEMENT
Subtitle A—General Provisions
SEC. 201. SHORT TITLE.
This title may be cited as the ‘‘OECD Shipbuilding
Agreement Act’’.
SEC. 202. APPROVAL OF THE SHIPBUILDING AGREEMENT.
The Congress approves The Agreement Respecting Nor-
mal Competitive Conditions in the Commercial Shipbuild-
ing and Repair Industry (hereafter in this title referred to
as the ‘‘Shipbuilding Agreement’’), a reciprocal trade agree-
ment which resulted from negotiations under the auspices
of the Organization for Economic Cooperation and Develop-
ment, and was entered into on December 21, 1994.
SEC. 203. INJURIOUS PRICING AND COUNTERMEASURES
RELATING TO SHIPBUILDING.
The Tariff Act of 1930 is amended by adding at the
end the following new title:
‘‘TITLE 
VIII—INJURIOUS 
PRIC-
ING AND COUNTERMEASURES
RELATING TO SHIPBUILDING
‘‘Subtitle A—Imposition of Injurious Pricing Charge and Countermeasures
‘‘Sec. 801. Injurious pricing charge.
‘‘Sec. 802. Procedures for initiating an injurious pricing investigation.
‘‘Sec. 803. Preliminary determinations.
‘‘Sec. 804. Termination or suspension of investigation.
‘‘Sec. 805. Final determinations.
‘‘Sec. 806. Imposition and collection of injurious pricing charge.
‘‘Sec. 807. Imposition of countermeasures.
‘‘Sec. 808. Injurious pricing petitions by third countries.
‘‘Subtitle B—Special Rules
‘‘Sec. 821. Export price.
‘‘Sec. 822. Normal value.
‘‘Sec. 823. Currency conversion.
‘‘Subtitle C—Procedures
‘‘Sec. 841. Hearings.
‘‘Sec. 842. Determinations on the basis of the facts available.
‘‘Sec. 843. Access to information.
‘‘Sec. 844. Conduct of investigations.
‘‘Sec. 845. Administrative action following shipbuilding agreement panel re-
ports.
‘‘Subtitle D—Definitions
‘‘Sec. 861. Definitions.
‘‘Subtitle A—Imposition of Injuri-
ous Pricing Charge and Coun-
termeasures
‘‘SEC. 801. INJURIOUS PRICING CHARGE.
‘‘(a) BASIS FOR CHARGE.—If—
‘‘(1) the administering authority determines that
a foreign vessel has been sold directly or indirectly to
one or more United States buyers at less than its fair
value, and
‘‘(2) the Commission determines that—
‘‘(A) an industry in the United States—
‘‘(i) is or has been materially injured,
or
‘‘(ii) is threatened with material in-
jury, or
‘‘(B) the establishment of an industry in the
United States is or has been materially retarded,
by reason of the sale of such vessel, then there shall
be imposed upon the foreign producer of the subject
vessel an injurious pricing charge, in an amount
equal to the amount by which the normal value ex-
ceeds the export price for the vessel. For purposes of
this subsection and section 805(b)(1), a reference to
the sale of a foreign vessel includes the creation or
transfer of an ownership interest in the vessel, except
for an ownership interest created or acquired solely
for the purpose of providing security for a normal
commercial loan.
‘‘(b) FOREIGN VESSELS NOT MERCHANDISE.—No for-
eign vessel may be considered to be, or to be part of, a class
or kind of merchandise for purposes of subtitle B of title
VII.
‘‘SEC. 802. PROCEDURES FOR INITIATING AN INJURIOUS
PRICING INVESTIGATION.
‘‘(a) INITIATION BY ADMINISTERING AUTHORITY.—
‘‘(1) GENERAL
RULE.—Except in the case in
which subsection (d)(6) applies, an injurious pricing
investigation shall be initiated whenever the admin-
istering authority determines, from information
available to it, that a formal investigation is war-
ranted into the question of whether the elements nec-
essary for the imposition of a charge under section
801(a) exist, and whether a producer described in sec-
tion 861(17)(C) would meet the criteria of subsection
(b)(1)(B) for a petitioner.
‘‘(2) TIME FOR INITIATION BY ADMINISTERING
AUTHORITY.—An investigation may only be initiated
under paragraph (1) within 6 months after the time
the administering authority first knew or should have
known of the sale of the vessel. Any period during
which an investigation is initiated and pending as
described in subsection (d)(6)(A) shall not be included
in calculating that 6-month period.
‘‘(b) INITIATION BY PETITION.—
‘‘(1) PETITION REQUIREMENTS.—
‘‘(A) IN
GENERAL.—Except in a case in
which subsection (d)(6) applies, an injurious
pricing proceeding shall be initiated whenever
an interested party, as defined in subparagraph
(C), (D), (E), or (F) of section 861(17), files a
petition with the administering authority, on be-
half of an industry, which alleges the elements
necessary for the imposition of an injurious pric-
ing charge under section 801(a) and the elements
required under subparagraph (B), (C), (D), or
(E) of this paragraph, and which is accom-
panied by information reasonably available to
the petitioner supporting those allegations and
identifying the transaction concerned.
‘‘(B) PETITIONERS DESCRIBED IN SECTION
861(17)(C).—
‘‘(i) IN GENERAL.—If the petitioner is
a producer described in section 861(17)(C),
and—
‘‘(I) if the vessel was sold through
a broad multiple bid, the petition shall
include information indicating that
the petitioner was invited to tender a
bid on the contract at issue, the peti-
tioner actually did so, and the bid of
the petitioner substantially met the de-
livery date and technical requirements
of the bid,
‘‘(II) if the vessel was sold through
any bidding process other than a broad
multiple bid and the petitioner was in-
vited to tender a bid on the contract at
issue, the petition shall include infor-
mation indicating that the petitioner
actually did so and the bid of the peti-
tioner substantially met the delivery
date and technical requirements of the
bid, or
‘‘(III) except in a case in which
the vessel was sold through a broad
multiple bid, if there is no invitation
to tender a bid, the petition shall in-
clude information indicating that the
petitioner was capable of building the
petitioner had regular contacts or deal-
ings.
‘‘(C) PETITIONERS DESCRIBED IN SECTION
861(17)(D).—If the petitioner is an interested
party described in section 861(17)(D), the peti-
tion shall include information indicating that
members of the union or group of workers de-
scribed in that section are employed by a pro-
ducer that meets the requirements of subpara-
graph (B) of this paragraph.
‘‘(D) PETITIONERS DESCRIBED IN SECTION
861(17)(E).—If the petitioner is an interested
party described in section 861(17)(E), the peti-
tion shall include information indicating that a
member of the association described in that sec-
tion is a producer that meets the requirements of
subparagraph (B) of this paragraph.
‘‘(E) PETITIONERS DESCRIBED IN SECTION
861(17)(F).—If the petitioner is an interested
party described in section 861(17)(F), the peti-
tion shall include information indicating that a
member of the association described in that sec-
tion meets the requirements of subparagraph (C)
or (D) of this paragraph.
‘‘(F) AMENDMENTS.—The petition may be
amended at such time, and upon such condi-
tions, as the administering authority and the
Commission may permit.
‘‘(2) SIMULTANEOUS
FILING
WITH
COMMIS-
SION.—The petitioner shall file a copy of the petition
with the Commission on the same day as it is filed
with the administering authority.
‘‘(3) DEADLINE FOR FILING PETITION.—
‘‘(A) DEADLINE.—(i) A petitioner to which
paragraph (1)(B)(i) (I) or (II) applies shall file
the petition no later than the earlier of—
‘‘(I) 6 months after the time that the
petitioner first knew or should have known
of the sale of the subject vessel, or
‘‘(II) 6 months after delivery of the
subject vessel.
‘‘(ii) A petitioner to which paragraph
(1)(B)(i)(III) applies shall—
‘‘(I) file the petition no later than the
earlier of 9 months after the time that the
petitioner first knew or should have known
of the sale of the subject vessel, or 6 months
after delivery of the subject vessel, and
‘‘(II) submit to the administering au-
thority a notice of intent to file a petition
no later than 6 months after the time that
the petitioner first knew or should have
known of the sale (unless the petition itself
is filed within that 6-month period).
‘‘(B) PRESUMPTION OF KNOWLEDGE.—For
purposes of this paragraph, if the existence of the
sale, together with general information concern-
ing the vessel, is published in the international
trade press, there is a rebuttable presumption
that the petitioner knew or should have known of
the sale of the vessel from the date of that publi-
cation.
‘‘(c) ACTIONS BEFORE INITIATING INVESTIGATIONS.—
‘‘(1) NOTIFICATION
OF
GOVERNMENTS.—Before
initiating an investigation under either subsection (a)
or (b), the administering authority shall notify the
government of the exporting country of the investiga-
tion. In the case of the initiation of an investigation
under subsection (b), such notification shall include a
public version of the petition.
‘‘(2) ACCEPTANCE
OF
COMMUNICATIONS.—The
administering authority shall not accept any unsolic-
ited oral or written communication from any person
other than an interested party described in section
861(17) (C), (D), (E), or (F) before the administering
authority makes its decision whether to initiate an
investigation pursuant to a petition, except for in-
quiries regarding the status of the administering
authority’s consideration of the petition or a request
for consultation by the government of the exporting
country.
‘‘(3) NONDISCLOSURE
OF
CERTAIN
INFORMA-
TION.—The administering authority and the Commis-
sion shall not disclose information with regard to any
draft petition submitted for review and comment be-
fore it is filed under subsection (b)(1).
‘‘(d) PETITION DETERMINATION.—
‘‘(1) TIME FOR INITIAL DETERMINATION.—
‘‘(A) IN GENERAL.—Within 45 days after
the date on which a petition is filed under sub-
section (b), the administering authority shall,
after examining, on the basis of sources readily
available to the administering authority, the ac-
curacy and adequacy of the evidence provided in
the petition, determine whether the petition—
‘‘(i) alleges the elements necessary for
the imposition of an injurious pricing
charge under section 801(a) and the ele-
ments required under subsection (b)(1) (B),
(C), (D), or (E), and contains information
reasonably available to the petitioner sup-
porting the allegations; and
‘‘(ii) determine if the petition has been
filed by or on behalf of the industry.
‘‘(B) CALCULATION
OF
45-DAY
PERIOD.—
Any period in which paragraph (6)(A) applies
shall not be included in calculating the 45-day
period described in subparagraph (A).
‘‘(2) AFFIRMATIVE DETERMINATIONS.—If the de-
terminations under clauses (i) and (ii) of paragraph
(1)(A) are affirmative, the administering authority
shall initiate an investigation to determine whether
the vessel was sold at less than fair value, unless
paragraph (6) applies.
‘‘(3) NEGATIVE DETERMINATIONS.—If—
‘‘(A) the determination under clause (i) or
(ii) of paragraph (1)(A) is negative, or
‘‘(B) paragraph (6)(B) applies,
the administering authority shall dismiss the petition,
terminate the proceeding, and notify the petitioner in
writing of the reasons for the determination.
‘‘(4) DETERMINATION OF INDUSTRY SUPPORT.—
‘‘(A) GENERAL RULE.—For purposes of this
subsection, the administering authority shall de-
termine that the petition has been filed by or on
behalf of the domestic industry, if—
‘‘(i) the domestic producers or workers
who support the petition collectively account
for at least 25 percent of the total capacity
of domestic producers capable of producing
a like vessel, and
‘‘(ii) the domestic producers or workers
who support the petition collectively account
for more than 50 percent of the total capac-
ity to produce a like vessel of that portion
of the domestic industry expressing support
for or opposition to the petition.
‘‘(B) CERTAIN POSITIONS DISREGARDED.—
In determining industry support under subpara-
graph (A), the administering authority shall dis-
regard the position of domestic producers who
oppose the petition, if such producers are related
to the foreign producer or United States buyer of
the subject vessel, or the domestic producer is it-
self the United States buyer, unless such domestic
producers demonstrate that their interests as do-
mestic producers would be adversely affected by
the imposition of an injurious pricing charge.
‘‘(C) POLLING THE INDUSTRY.—If the peti-
tion does not establish support of domestic pro-
ducers or workers accounting for more than 50
percent of the total capacity to produce a like
vessel—
‘‘(i) the administering authority shall
poll the industry or rely on other informa-
tion in order to determine if there is sup-
port for the petition as required by sub-
paragraph (A), or
‘‘(ii) if there is a large number of pro-
ducers in the industry, the administering
authority may determine industry support
for the petition by using any statistically
valid sampling method to poll the industry.
‘‘(D) COMMENTS
BY
INTERESTED
PAR-
TIES.—Before the administering authority makes
a determination with respect to initiating an in-
vestigation, any person who would qualify as an
interested party under section 861(17) if an in-
vestigation were initiated, may submit comments
or information on the issue of industry support.
After the administering authority makes a deter-
mination with respect to initiating an investiga-
tion, the determination regarding industry sup-
port shall not be reconsidered.
‘‘(5) DEFINITION OF DOMESTIC PRODUCERS OR
WORKERS.—For purposes of this subsection, the term
‘domestic producers or workers’ means interested par-
ties as defined in section 861(17) (C), (D), (E), or
(F).
‘‘(6) PROCEEDINGS BY WTO MEMBERS.—The ad-
ministering authority shall not initiate an investiga-
tion under this section if, with respect to the vessel
sale at issue, an antidumping proceeding conducted
by a WTO member who is not a Shipbuilding Agree-
ment Party—
‘‘(A) has been initiated and has been pend-
ing for not more than one year, or
‘‘(B) has been completed and resulted in the
imposition of antidumping measures or a nega-
tive determination with respect to whether the
sale was at less than fair value or with respect
to injury.
‘‘(e) NOTIFICATION TO COMMISSION OF DETERMINA-
TION.—The administering authority shall—
‘‘(1) notify the Commission immediately of any
determination it makes under subsection (a) or (d),
and
‘‘(2) if the determination is affirmative, make
available to the Commission such information as it
may have relating to the matter under investigation,
under such procedures as the administering authority
and the Commission may establish to prevent disclo-
sure, other than with the consent of the party provid-
ing it or under protective order, of any information
to which confidential treatment has been given by the
administering authority.
‘‘SEC. 803. PRELIMINARY DETERMINATIONS.
‘‘(a) DETERMINATION BY COMMISSION OF REASON-
ABLE INDICATION OF INJURY.—
‘‘(1) GENERAL RULE.—Except in the case of a
petition dismissed by the administering authority
under section 802(d)(3), the Commission, within the
time specified in paragraph (2), shall determine,
based on the information available to it at the time
of the determination, whether there is a reasonable in-
dication that—
‘‘(A) an industry in the United States—
‘‘(i) is or has been materially injured,
or
‘‘(ii) is threatened with material in-
jury, or
‘‘(B) the establishment of an industry in the
United States is or has been materially retarded,
by reason of the sale of the subject vessel. If the Com-
mission makes a negative determination under this
paragraph, the investigation shall be terminated.
‘‘(2) TIME FOR COMMISSION DETERMINATION.—
The Commission shall make the determination de-
scribed in paragraph (1) within 90 days after the
date on which the petition is filed or, in the case of
an investigation initiated under section 802(a), with-
in 90 days after the date on which the Commission
receives notice from the administering authority that
the investigation has been initiated under such sec-
tion.
‘‘(b) PRELIMINARY DETERMINATION BY ADMINISTER-
ING AUTHORITY.—
‘‘(1) PERIOD OF INJURIOUS PRICING INVESTIGA-
TION.—
‘‘(A) IN GENERAL.—The administering au-
thority shall make a determination, based upon
the information available to it at the time of the
determination, of whether there is a reasonable
basis to believe or suspect that the subject vessel
was sold at less than fair value.
‘‘(B) COST
DATA
USED
FOR
NORMAL
VALUE.—If cost data is required to determine
normal value on the basis of a sale of a foreign
like vessel that has not been delivered on or be-
fore the date on which the administering author-
ity initiates the investigation, the administering
authority shall make its determination within
160 days after the date of delivery of the foreign
like vessel.
‘‘(C) NORMAL
VALUE
BASED
ON
CON-
STRUCTED VALUE.—If normal value is to be de-
termined on the basis of constructed value, the
administering authority shall make its deter-
mination within 160 days after the date of deliv-
ery of the subject vessel.
‘‘(D) OTHER
CASES.—In cases in which
subparagraph (B) or (C) does not apply, the ad-
ministering authority shall make its determina-
tion within 160 days after the date on which the
administering authority initiates the investiga-
tion under section 802.
‘‘(E) 
AFFIRMATIVE
DETERMINATION
BY
COMMISSION REQUIRED.—In no event shall the
administering authority make its determination
before an affirmative determination is made by
the Commission under subsection (a).
‘‘(2) DE MINIMIS INJURIOUS PRICING MARGIN.—
In making a determination under this subsection, the
administering authority shall disregard any injurious
pricing margin that is de minimis. For purposes of
the preceding sentence, an injurious pricing margin
is de minimis if the administering authority deter-
mines that the injurious pricing margin is less than
2 percent of the export price.
‘‘(c) EXTENSION
OF PERIOD
IN EXTRAORDINARILY
COMPLICATED CASES OR FOR GOOD CAUSE.—
‘‘(1) IN GENERAL.—If—
‘‘(A) the administering authority concludes
that the parties concerned are cooperating and
determines that—
‘‘(i) the case is extraordinarily com-
plicated by reason of—
‘‘(I) the novelty of the issues pre-
sented, or
‘‘(II) the nature and extent of the
information required, and
‘‘(ii) additional time is necessary to
make the preliminary determination, or
‘‘(B) a party to the investigation requests
an extension and demonstrates good cause for the
extension,
then the administering authority may postpone the
time for making its preliminary determination.
‘‘(2) LENGTH OF POSTPONEMENT.—The prelimi-
nary determination may be postponed under para-
graph (1)(A) or (B) until not later than the 190th
day after—
‘‘(A) the date of delivery of the foreign like
vessel, if subsection (b)(1)(B) applies,
‘‘(B) the date of delivery of the subject ves-
sel, if subsection (b)(1)(C) applies, or
‘‘(C) the date on which the administering
authority initiates an investigation under sec-
tion 802, in a case in which subsection (b)(1)(D)
applies.
‘‘(3) NOTICE OF POSTPONEMENT.—The admin-
istering authority shall notify the parties to the inves-
tigation, not later than 20 days before the date on
which the preliminary determination would otherwise
be required under subsection (b)(1), if it intends to
postpone making the preliminary determination
under paragraph (1). The notification shall include
an explanation of the reasons for the postponement,
and notice of the postponement shall be published in
the Federal Register.
‘‘(d) EFFECT OF DETERMINATION BY THE ADMIN-
ISTERING AUTHORITY.—If the preliminary determination
of the administering authority under subsection (b) is af-
firmative, the administering authority shall—
‘‘(1) determine an estimated injurious pricing
margin, and
‘‘(2) make available to the Commission all infor-
mation upon which its determination was based and
which the Commission considers relevant to its injury
determination, under such procedures as the admin-
istering authority and the Commission may establish
to prevent disclosure, other than with the consent of
the party providing it or under protective order, of
any information to which confidential treatment has
been given by the administering authority.
‘‘(e) NOTICE
OF
DETERMINATION.—Whenever the
Commission or the administering authority makes a deter-
mination under this section, the Commission or the admin-
istering authority, as the case may be, shall notify the peti-
tioner, and other parties to the investigation, and the Com-
mission or the administering authority (whichever is ap-
propriate) of its determination. The administering author-
ity shall include with such notification the facts and conclu-
sions on which its determination is based. Not later than
5 days after the date on which the determination is required
to be made under subsection (a)(2), the Commission shall
transmit to the administering authority the facts and con-
clusions on which its determination is based.
‘‘SEC. 804. TERMINATION OR SUSPENSION OF INVESTIGA-
TION.
‘‘(a) TERMINATION OF INVESTIGATION UPON WITH-
DRAWAL OF PETITION.—
‘‘(1) IN GENERAL.—Except as provided in para-
graph (2), an investigation under this subtitle may be
terminated by either the administering authority or
the Commission, after notice to all parties to the in-
vestigation, upon withdrawal of the petition by the
petitioner.
‘‘(2) LIMITATION ON TERMINATION BY COMMIS-
SION.—The Commission may not terminate an inves-
tigation under paragraph (1) before a preliminary
determination is made by the administering author-
ity under section 803(b).
‘‘(b) TERMINATION OF INVESTIGATIONS INITIATED BY
ADMINISTERING AUTHORITY.—The administering author-
ity may terminate any investigation initiated by the ad-
ministering authority under section 802(a) after providing
notice of such termination to all parties to the investigation.
‘‘(A) GENERAL RULE.—The administering
authority may postpone making the final deter-
mination under paragraph (1) until not later
than 290 days after—
‘‘(i) the date of delivery of the foreign
like vessel, in an investigation to which sec-
tion 803(b)(1)(B) applies,
‘‘(ii) the date of delivery of the subject
vessel, in an investigation to which section
803(b)(1)(C) applies, or
‘‘(iii) the date on which the admin-
istering authority initiates the investigation
under section 802, in an investigation to
which section 803(b)(1)(D) applies.
‘‘(B) REQUEST
REQUIRED.—The admin-
istering authority may apply subparagraph (A)
if a request in writing is made by—
‘‘(i) the producer of the subject vessel,
in a proceeding in which the preliminary
determination by the administering author-
ity under section 803(b) was affirmative, or
‘‘(ii) the petitioner, in a proceeding in
which the preliminary determination by the
administering 
authority 
under 
section
803(b) was negative.
‘‘(3) DE MINIMIS INJURIOUS PRICING MARGIN.—
In making a determination under this subsection, the
administering authority shall disregard any injurious
pricing margin that is de minimis as defined in sec-
tion 803(b)(2).
‘‘(b) FINAL DETERMINATION BY COMMISSION.—
‘‘(1) IN GENERAL.—The Commission shall make
a final determination of whether—
‘‘(A) an industry in the United States—
‘‘(i) is or has been materially injured,
or
‘‘(ii) is threatened with material in-
jury, or
‘‘(B) the establishment of an industry in the
United States is or has been materially retarded,
by reason of the sale of the vessel with respect to
which the administering authority has made an af-
firmative determination under subsection (a)(1).
‘‘(2) PERIOD FOR INJURY DETERMINATION FOL-
LOWING AFFIRMATIVE PRELIMINARY DETERMINATION
BY ADMINISTERING AUTHORITY.—If the preliminary
determination by the administering authority under
section 803(b) is affirmative, then the Commission
shall make the determination required by paragraph
(1) before the later of—
‘‘(A) the 120th day after the day on which
the administering authority makes its affirma-
tive preliminary determination under section
803(b), or
‘‘(B) the 45th day after the day on which
the administering authority makes its affirma-
tive final determination under subsection (a).
‘‘(3) PERIOD FOR INJURY DETERMINATION FOL-
LOWING NEGATIVE PRELIMINARY DETERMINATION BY
ADMINISTERING AUTHORITY.—If the preliminary de-
termination by the administering authority under
section 803(b) is negative, and its final determination
under subsection (a) is affirmative, then the final de-
termination by the Commission under this subsection
shall be made within 75 days after the date of that
affirmative final determination.
‘‘(c) EFFECT OF FINAL DETERMINATIONS.—
‘‘(1) EFFECT OF AFFIRMATIVE DETERMINATION
BY THE ADMINISTERING AUTHORITY.—If the deter-
mination of the administering authority under sub-
section (a) is affirmative, then the administering au-
thority shall—
‘‘(A) make available to the Commission all
information upon which such determination was
based and which the Commission considers rel-
evant to its determination, under such proce-
dures as the administering authority and the
Commission may establish to prevent disclosure,
other than with the consent of the party provid-
ing it or under protective order, of any informa-
tion as to which confidential treatment has been
given by the administering authority, and
‘‘(B) calculate an injurious pricing charge
in an amount equal to the amount by which the
normal value exceeds the export price of the sub-
ject vessel.
‘‘(2) ISSUANCE OF ORDER; EFFECT OF NEGATIVE
DETERMINATION.—If the determinations of the ad-
ministering authority and the Commission under sub-
sections (a)(1) and (b)(1) are affirmative, then the
administering authority shall issue an injurious pric-
ing order under section 806. If either of such deter-
minations is negative, the investigation shall be ter-
minated upon the publication of notice of that nega-
tive determination.
‘‘(d) PUBLICATION OF NOTICE OF DETERMINATIONS.—
Whenever the administering authority or the Commission
makes a determination under this section, it shall notify
the petitioner, other parties to the investigation, and the
other agency of its determination and of the facts and con-
clusions of law upon which the determination is based, and
it shall publish notice of its determination in the Federal
Register.
‘‘(e) CORRECTION OF MINISTERIAL ERRORS.—The ad-
ministering authority shall establish procedures for the cor-
rection of ministerial errors in final determinations within
a reasonable time after the determinations are issued under
this section. Such procedures shall ensure opportunity for
interested parties to present their views regarding any such
errors. As used in this subsection, the term ‘ministerial
error’ includes errors in addition, subtraction, or other
arithmetic function, clerical errors resulting from inac-
curate copying, duplication, or the like, and any other type
of unintentional error which the administering authority
considers ministerial.
‘‘SEC. 806. IMPOSITION AND COLLECTION OF INJURIOUS
PRICING CHARGE.
‘‘(a) IN GENERAL.—Within 7 days after being notified
by the Commission of an affirmative determination under
section 805(b), the administering authority shall publish an
order imposing an injurious pricing charge on the foreign
producer of the subject vessel which—
‘‘(1) directs the foreign producer of the subject
vessel to pay to the Secretary of the Treasury, or the
designee of the Secretary, within 180 days from the
date of publication of the order, an injurious pricing
charge in an amount equal to the amount by which
the normal value exceeds the export price of the sub-
ject vessel,
‘‘(2) includes the identity and location of the for-
eign producer and a description of the subject vessel,
in such detail as the administering authority deems
necessary, and
‘‘(3) informs the foreign producer that—
‘‘(A) failure to pay the injurious pricing
charge in a timely fashion may result in the im-
position of countermeasures with respect to that
producer under section 807,
‘‘(B) payment made after the deadline de-
scribed in paragraph (1) shall be subject to inter-
est charges at the Commercial Interest Reference
Rate (CIRR), and
‘‘(C) the foreign producer may request an
extension of the due date for payment under sub-
section (b).
‘‘(b) EXTENSION OF DUE DATE FOR PAYMENT IN EX-
TRAORDINARY CIRCUMSTANCES.—
‘‘(1) EXTENSION.—Upon request, the administer-
ing authority may amend the order under subsection
(a) to set a due date for payment or payments later
than the date that is 180 days from the date of publi-
cation of the order, if the administering authority de-
termines that full payment in 180 days would render
the producer insolvent or would be incompatible with
a judicially supervised reorganization. When an ex-
tended payment schedule provides for a series of par-
tial payments, the administering authority shall
specify the circumstances under which default on one
or more payments will result in the imposition of
countermeasures.
‘‘(2) INTEREST CHARGES.—If a request is grant-
ed under paragraph (1), payments made after the
date that is 180 days from the publication of the
order shall be subject to interest charges at the CIRR.
‘‘(c) NOTIFICATION OF ORDER.—The administering
authority shall deliver a copy of the order requesting pay-
ment to the foreign producer of the subject vessel and to
an appropriate representative of the government of the ex-
porting country.
‘‘(d) REVOCATION OF ORDER.—The administering au-
thority—
‘‘(1) may revoke an injurious pricing order if the
administering authority determines that producers
accounting for substantially all of the capacity to
produce a domestic like vessel have expressed a lack
of interest in the order, and
‘‘(2) shall revoke an injurious pricing order—
‘‘(A) if the sale of the vessel that was the
subject of the injurious pricing determination is
voided,
‘‘(B) if the injurious pricing charge is paid
in full, including any interest accrued for late
payment,
‘‘(C) upon full implementation of an alter-
native equivalent remedy described in subsection
(e), or
‘‘(D) if, with respect to the vessel sale that
was at issue in the investigation that resulted in
the injurious pricing order, an antidumping
proceeding conducted by a WTO member who is
not a Shipbuilding Agreement Party has been
completed and resulted in the imposition of anti-
dumping measures.
‘‘(e) ALTERNATIVE EQUIVALENT REMEDY.—
‘‘(1) AGREEMENT
FOR
ALTERNATE
REMEDY.—
The administering authority may suspend an injuri-
ous pricing order if the administering authority en-
ters into an agreement with the foreign producer sub-
ject to the order on an alternative equivalent remedy,
that the administering authority determines—
‘‘(A) is at least as effective a remedy as the
injurious pricing charge,
‘‘(B) is in the public interest,
‘‘(C) can be effectively monitored and en-
forced, and
‘‘(D) is otherwise consistent with the domes-
tic law and international obligations of the
United States.
‘‘(2) PRIOR CONSULTATIONS AND SUBMISSION OF
COMMENTS.—Before entering into an agreement
under paragraph (1), the administering authority
shall consult with the industry, and provide for the
submission of comments by interested parties, with re-
spect to the agreement.
‘‘(3) MATERIAL VIOLATIONS OF AGREEMENT.—If
the injurious pricing order has been suspended under
paragraph (1), and the administering authority de-
termines that the foreign producer concerned has ma-
terially violated the terms of the agreement under
paragraph (1), the administering authority shall ter-
minate the suspension.
‘‘SEC. 807. IMPOSITION OF COUNTERMEASURES.
‘‘(a) GENERAL RULE.—
‘‘(1) ISSUANCE OF ORDER IMPOSING COUNTER-
MEASURES.—Unless an injurious pricing order is re-
voked or suspended under section 806 (d) or (e), the
administering authority shall issue an order impos-
ing countermeasures.
‘‘(2) CONTENTS OF ORDER.—The countermeasure
order shall—
‘‘(A) state that, as provided in section 468,
a permit to lade or unlade passengers or mer-
chandise may not be issued with respect to ves-
sels contracted to be built by the foreign producer
of the vessel with respect to which an injurious
pricing order was issued under section 806, and
‘‘(B) specify the scope and duration of the
prohibition on the issuance of a permit to lade
or unlade passengers or merchandise.
‘‘(b) NOTICE
OF
INTENT
TO
IMPOSE
COUNTER-
MEASURES.—
‘‘(1) GENERAL
RULE.—The administering au-
thority shall issue a notice of intent to impose coun-
termeasures not later than 30 days before the expira-
tion of the time for payment specified in the injurious
pricing order (or extended payment provided for
under section 806(b)), and shall publish the notice in
the Federal Register within 7 days after issuing the
notice.
‘‘(2) ELEMENTS OF THE NOTICE OF INTENT.—
The notice of intent shall contain at least the follow-
ing elements:
‘‘(A) SCOPE.—A permit to lade or unlade
passengers or merchandise may not be issued
with respect to any vessel—
‘‘(i) built by the foreign producer sub-
ject to the proposed countermeasures, and
‘‘(ii) with respect to which the material
terms of sale are established within a period
of 4 consecutive years beginning on the date
that is 30 days after publication in the Fed-
eral Register of the notice of intent de-
scribed in paragraph (1).
‘‘(B) DURATION.—For each vessel described
in subparagraph (A), a permit to lade or unlade
passengers or merchandise may not be issued for
a period of 4 years after the date of delivery of
the vessel.
‘‘(c) DETERMINATION TO IMPOSE COUNTERMEASURES;
ORDER.—
‘‘(1) GENERAL
RULE.—The administering au-
thority shall, within the time specified in paragraph
(2), issue a determination and order imposing coun-
termeasures.
‘‘(2) TIME
FOR
DETERMINATION.—The deter-
mination shall be issued within 90 days after the date
on which the notice of intent to impose counter-
measures under subsection (b) is published in the
Federal Register. The administering authority shall
publish the determination, and the order described in
paragraph (4), in the Federal Register within 7 days
after issuing the final determination, and shall pro-
vide a copy of the determination and order to the
Customs Service.
‘‘(3) CONTENT OF THE DETERMINATION.—In the
determination imposing countermeasures, the admin-
istering authority shall determine whether, in light of
all of the circumstances, an interested party has dem-
onstrated that the scope or duration of the counter-
measures described in subsection (b)(2) should be nar-
rower or shorter than the scope or duration set forth
in the notice of intent to impose countermeasures.
‘‘(4) ORDER.—At the same time it issues its de-
termination, the administering authority shall issue
an order imposing countermeasures, consistent with
its determination under paragraph (1).
‘‘(d) ADMINISTRATIVE REVIEW OF DETERMINATION TO
IMPOSE COUNTERMEASURES.—
‘‘(1) REQUEST FOR REVIEW.—Each year, in the
anniversary month of the issuance of the order impos-
ing countermeasures under subsection (c), the admin-
istering authority shall publish in the Federal Reg-
ister a notice providing that interested parties may
request—
‘‘(A) a review of the scope or duration of the
countermeasures determined under subsection
(c)(3), and
‘‘(B) a hearing in connection with such a
review.
‘‘(2) REVIEW.—If a proper request has been re-
ceived under paragraph (1), the administering au-
thority shall—
‘‘(A) publish notice of initiation of a review
in the Federal Register not later than 15 days
after the end of the anniversary month of the is-
suance of the order imposing countermeasures,
and
‘‘(B) review and determine whether the re-
questing party has demonstrated that the scope
or duration of the countermeasures is excessive
in light of all of the circumstances.
‘‘(3) TIME FOR REVIEW.—The administering au-
thority shall make its determination under paragraph
(2)(B) within 90 days after the date on which the no-
tice of initiation of the review is published. If the de-
termination under paragraph (2)(B) is affirmative,
the administering authority shall amend the order ac-
cordingly. The administering authority shall prompt-
ly publish the determination and any amendment to
the order in the Federal Register, and shall provide
a copy of any amended order to the Customs Service.
In extraordinary circumstances, the administering
authority may extend the time for its determination
under paragraph (2)(B) to not later than 150 days
after the date on which the notice of initiation of the
review is published.
‘‘(e) EXTENSION OF COUNTERMEASURES.—
‘‘(1) REQUEST
FOR
EXTENSION.—Within the
time described in paragraph (2), an interested party
may file with the administering authority a request
that the scope or duration of countermeasures be ex-
tended.
‘‘(2) DEADLINE
FOR
REQUEST
FOR
EXTEN-
SION.—
‘‘(A) REQUEST FOR EXTENSION BEYOND 4
YEARS.—If the request seeks an extension that
would cause the scope or duration of counter-
measures to exceed 4 years, including any prior
extensions, the request for extension under para-
graph (1) shall be filed not earlier than the date
that is 15 months, and not later than the date
that is 12 months, before the date that marks the
end of the period that specifies the vessels that
fall within the scope of the order by virtue of the
establishment of material terms of sale within
that period.
‘‘(B) OTHER
REQUESTS.—If the request
seeks an extension under paragraph (1) other
than one described in subparagraph (A), the re-
quest shall be filed not earlier than the date that
is 6 months, and not later than a date that is
3 months, before the date that marks the end of
the period referred to in subparagraph (A).
‘‘(3) DETERMINATION.—
‘‘(A) NOTICE
OF
REQUEST
FOR
EXTEN-
SION.—If a proper request has been received
under paragraph (1), the administering author-
ity shall publish notice of initiation of an exten-
sion proceeding in the Federal Register not later
than 15 days after the applicable deadline in
paragraph (2) for requesting the extension.
‘‘(B) PROCEDURES.—
‘‘(i) REQUESTS
FOR
EXTENSION
BE-
YOND 4 YEARS.—If paragraph (2)(A) ap-
plies to the request, the administering au-
thority shall consult with the Trade Rep-
resentative under paragraph (4).
‘‘(ii) OTHER
REQUESTS.—If para-
graph (2)(B) applies to the request, the ad-
ministering authority shall determine, with-
in 90 days after the date on which the no-
tice of initiation of the proceeding is pub-
lished, whether the requesting party has
demonstrated that the scope or duration of
the countermeasures is inadequate in light
of all of the circumstances. If the admin-
istering authority determines that an exten-
sion is warranted, it shall amend the coun-
termeasure order accordingly. The admin-
istering authority shall promptly publish
the determination and any amendment to
the order in the Federal Register, and shall
provide a copy of any amended order to the
Customs Service.
‘‘(4) CONSULTATION WITH TRADE REPRESENTA-
TIVE.—If paragraph (3)(B)(i) applies, the admin-
istering authority shall consult with the Trade Rep-
resentative concerning whether it would be appro-
priate to request establishment of a dispute settlement
panel under the Shipbuilding Agreement for the pur-
pose of seeking authorization to extend the scope or
duration of countermeasures for a period in excess of
4 years.
‘‘(5) DECISION
NOT
TO
REQUEST
PANEL.—If,
based on consultations under paragraph (4), the
Trade Representative decides not to request establish-
ment of a panel, the Trade Representative shall in-
form the party requesting the extension of the counter-
measures of the reasons for its decision in writing.
The decision shall not be subject to judicial review.
‘‘(6) PANEL
PROCEEDINGS.—If, based on con-
sultations under paragraph (4), the Trade Represent-
ative requests the establishment of a panel under the
Shipbuilding Agreement to authorize an extension of
the period of countermeasures, and the panel author-
izes such an extension, the administering authority
shall promptly amend the countermeasure order. The
administering authority shall publish notice of the
amendment in the Federal Register.
‘‘(f) LIST
OF
VESSELS
SUBJECT
TO
COUNTER-
MEASURES.—
‘‘(1) GENERAL RULE.—At least once during each
12-month period beginning on the anniversary date of
a determination to impose countermeasures under
this section, the administering authority shall publish
in the Federal Register a list of all delivered vessels
subject to countermeasures under the determination.
‘‘(2) CONTENT OF LIST.—The list under para-
graph (1) shall include the following information for
each vessel, to the extent the information is available:
‘‘(A) The name and general description of
the vessel.
‘‘(B) The vessel identification number.
‘‘(C) The shipyard where the vessel was con-
structed.
‘‘(D) The last-known registry of the vessel.
‘‘(E) The name and address of the last-
known owner of the vessel.
‘‘(F) The delivery date of the vessel.
‘‘(G) The remaining duration of counter-
measures on the vessel.
‘‘(H) Any other identifying information
available.
‘‘(3) AMENDMENT OF LIST.—-The administering
authority may amend the list from time to time to re-
flect new information that comes to its attention and
shall publish any amendments in the Federal Reg-
ister.
‘‘(4) SERVICE OF LIST AND AMENDMENTS.—
‘‘(A) SERVICE OF LIST.—The administering
authority shall serve a copy of the list described
in paragraph (1) on—
‘‘(i) 
the 
petitioner 
under 
section
802(b),
‘‘(ii) the United States Customs Serv-
ice,
‘‘(iii) the Secretariat of the Organiza-
tion for Economic Cooperation and Devel-
opment,
‘‘(iv) the owners of vessels on the list,
‘‘(v) the shipyards on the list, and
‘‘(vi) the government of the country in
which a shipyard on the list is located.
‘‘(B) SERVICE OF AMENDMENTS.—The ad-
ministering authority shall serve a copy of any
amendments to the list under paragraph (3) or
subsection (g)(3) on—
‘‘(i) the parties listed in clauses (i),
(ii), and (iii) of subparagraph (A), and
‘‘(ii) if the amendment affects their in-
terests, the parties listed in clauses (iv), (v),
and (vi) of subparagraph (A).
‘‘(g) ADMINISTRATIVE REVIEW OF LIST OF VESSELS
SUBJECT TO COUNTERMEASURES.—
‘‘(1) REQUEST FOR REVIEW.—
‘‘(A) IN
GENERAL.—An interested party
may request in writing a review of the list de-
scribed in subsection (f)(1), including any
amendments thereto, to determine whether—
‘‘(i) a vessel included in the list does
not fall within the scope of the applicable
countermeasure order and should be deleted,
or
‘‘(ii) a vessel not included in the list
falls within the scope of the applicable coun-
termeasure order and should be added.
‘‘(B) TIME FOR MAKING REQUEST.—Any re-
quest seeking a determination described in sub-
paragraph (A)(i) shall be made within 90 days
after the date of publication of the applicable
list.
‘‘(2) REVIEW.—If a proper request for review has
been received, the administering authority shall—
‘‘(A) publish notice of initiation of a review
in the Federal Register—
‘‘(i) not later than 15 days after the re-
quest is received, or
‘‘(ii) if the request seeks a determina-
tion described in paragraph (1)(A)(i), not
later than 15 days after the deadline de-
scribed in paragraph (1)(B), and
‘‘(B) review and determine whether the re-
questing party has demonstrated that—
‘‘(i) a vessel included in the list does
not qualify for such inclusion, or
‘‘(ii) a vessel not included in the list
qualifies for inclusion.
‘‘(3) TIME FOR DETERMINATION.—The admin-
istering authority shall make its determination under
paragraph (2)(B) within 90 days after the date on
which the notice of initiation of such review is pub-
lished. If the administering authority determines that
a vessel should be added or deleted from the list, the
administering authority shall amend the list accord-
ingly. The administering authority shall promptly
publish in the Federal Register the determination and
any such amendment to the list.
‘‘(h) EXPIRATION OF COUNTERMEASURES.—Upon ex-
piration of a countermeasure order imposed under this sec-
tion, the administering authority shall promptly publish a
notice of the expiration in the Federal Register.
‘‘(i) SUSPENSION OR TERMINATION OF PROCEEDINGS
OR
COUNTERMEASURES; TEMPORARY
REDUCTION
OF
COUNTERMEASURES.—
‘‘(1) IF INJURIOUS PRICING ORDER REVOKED OR
SUSPENDED.—If an injurious pricing order has been
revoked or suspended under section 806(d) or (e), the
administering authority shall, as appropriate, sus-
pend or terminate proceedings under this section with
respect to that order, or suspend or revoke a counter-
measure order issued with respect to that injurious
pricing order.
‘‘(2) IF PAYMENT DATE AMENDED.—
‘‘(A) SUSPENSION
OR
MODIFICATION
OF
DEADLINE.—Subject to subparagraph (C), if the
payment date under an injurious pricing order
is amended under section 845, the administering
authority shall, as appropriate, suspend proceed-
ings or modify deadlines under this section, or
suspend or amend a countermeasure order issued
with respect to that injurious pricing order.
‘‘(B) DATE FOR APPLICATION OF COUNTER-
MEASURE.—In taking action under subpara-
graph (A), the administering authority shall en-
sure that countermeasures are not applied before
the date that is 30 days after publication in the
Federal Register of the amended payment date.
‘‘(C) REINSTITUTION
OF
PROCEEDINGS.—
If—
‘‘(i) a countermeasure order is issued
under subsection (c) before an amendment
is made under section 845 to the payment
date of the injurious pricing order to which
the countermeasure order applies, and
‘‘(ii) the administering authority de-
termines that the period of time between the
original payment date and the amended
payment date is significant for purposes of
determining the appropriate scope or dura-
tion of countermeasures,
the administering authority may, in lieu of act-
ing under subparagraph (A), reinstitute proceed-
ings under subsection (c) for purposes of issuing
a new determination under that subsection.
‘‘(j) COMMENT AND HEARING.—In the course of any
proceeding under subsection (c), (d), (e), or (g), the admin-
istering authority—
‘‘(1) shall solicit comments from interested par-
ties, and
‘‘(2)(A) in a proceeding under subsection (c), (d),
or (e), upon the request of an interested party, shall
hold a hearing in accordance with section 841(b) in
connection with that proceeding, or
‘‘(B) in a proceeding under subsection (g), upon
the request of an interested party, may hold a hearing
in accordance with section 841(b) in connection with
that proceeding.
‘‘SEC. 808. INJURIOUS PRICING PETITIONS BY THIRD COUN-
TRIES.
‘‘(a) FILING
OF PETITION.—The government of a
Shipbuilding Agreement Party may file with the Trade
Representative a petition requesting that an investigation
be conducted to determine if—
‘‘(1) a vessel from another Shipbuilding Agree-
ment Party has been sold directly or indirectly to one
or more United States buyers at less than fair value,
and
‘‘(2) an industry, in the petitioning country,
producing or capable of producing a like vessel is ma-
terially injured by reason of such sale.
‘‘(b) INITIATION.—The Trade Representative, after
consultation with the administering authority and the
Commission and obtaining the approval of the Parties
Group under the Shipbuilding Agreement, shall determine
whether to initiate an investigation described in subsection
(a).
‘‘(c) DETERMINATIONS.—Upon initiation of an inves-
tigation under subsection (a), the Trade Representative
shall request the following determinations be made in ac-
cordance with substantive and procedural requirements
specified by the Trade Representative, notwithstanding any
other provision of this title:
‘‘(1) SALE AT LESS THAN FAIR VALUE.—The ad-
ministering authority shall determine whether the
subject vessel has been sold at less than fair value.
‘‘(2) INJURY
TO
INDUSTRY.—The Commission
shall determine whether an industry in the petition-
ing country is or has been materially injured by rea-
son of the sale of the subject vessel in the United
States.
‘‘(d) PUBLIC COMMENT.—An opportunity for public
comment shall be provided, as appropriate—
‘‘(1) by the Trade Representative, in making the
determinations required by subsection (b), and
‘‘(2) by the administering authority and the
Commission, in making the determinations required
by subsection (c).
‘‘(e) ISSUANCE OF ORDER.—If the administering au-
thority makes an affirmative determination under para-
graph (1) of subsection (c), and the Commission makes an
affirmative determination under paragraph (2) of sub-
section (c), the administering authority shall—
‘‘(1) order an injurious pricing charge in accord-
ance with section 806, and
‘‘(2) make such determinations and take such
other actions as are required by sections 806 and 807,
as if affirmative determinations had been made under
subsections (a) and (b) of section 805.
‘‘(f) REVIEWS OF DETERMINATIONS.—For purposes of
review under section 516B, if an order is issued under sub-
section (e)—
‘‘(1) the final determinations of the administer-
ing authority and the Commission under subsection
(c) shall be treated as final determinations made
under section 805, and
‘‘(2) determinations of the administering author-
ity under subsection (e)(2) shall be treated as deter-
minations made under section 806 or 807, as the case
may be.
‘‘(g) ACCESS
TO INFORMATION.—Section 843 shall
apply to investigations under this section, to the extent
specified by the Trade Representative, after consultation
with the administering authority and the Commission.
‘‘Subtitle B—Special Rules
‘‘SEC. 821. EXPORT PRICE.
‘‘(a) EXPORT PRICE.—For purposes of this title, the
term ‘export price’ means the price at which the subject ves-
sel is first sold (or agreed to be sold) by or for the account
of the foreign producer of the subject vessel to an unaffili-
ated United States buyer. The term ‘sold (or agreed to be
sold) by or for the account of the foreign producer’ includes
any transfer of an ownership interest, including by way
of lease or long-term bareboat charter, in conjunction with
the original transfer from the producer, either directly or
indirectly, to a United States buyer.
‘‘(b) ADJUSTMENTS TO EXPORT PRICE.—The price
used to establish export price shall be—
‘‘(1) increased by the amount of any import du-
ties imposed by the country of exportation which have
been rebated, or which have not been collected, by rea-
son of the exportation of the subject vessel, and
‘‘(2) reduced by—
‘‘(A) the amount, if any, included in such
price, attributable to any additional costs,
charges, or expenses which are incident to bring-
ing the subject vessel from the shipyard in the ex-
porting country to the place of delivery,
‘‘(B) the amount, if included in such price,
of any export tax, duty, or other charge imposed
by the exporting country on the exportation of
the subject vessel, and
‘‘(C) all other expenses incidental to placing
the vessel in condition for delivery to the buyer.
‘‘SEC. 822. NORMAL VALUE.
‘‘(a) DETERMINATION.—In determining under this
title whether a subject vessel has been sold at less than fair
value, a fair comparison shall be made between the export
price and normal value of the subject vessel. In order to
achieve a fair comparison with the export price, normal
value shall be determined as follows:
‘‘(1) DETERMINATION OF NORMAL VALUE.—
‘‘(A) IN GENERAL.—The normal value of the
subject vessel shall be the price described in sub-
paragraph (B), at a time reasonably correspond-
ing to the time of the sale used to determine the
export price under section 821(a).
‘‘(B) PRICE.—The price referred to in sub-
paragraph (A) is—
‘‘(i) the price at which a foreign like
vessel is first sold in the exporting country,
in the ordinary course of trade and, to the
extent practicable, at the same level of
trade, or
‘‘(ii) in a case to which subparagraph
(C) applies, the price at which a foreign
like vessel is so sold for consumption in a
country other than the exporting country or
the United States, if—
‘‘(I) such price is representative,
and
‘‘(II) the administering authority
does not determine that the particular
market situation in such other country
prevents a proper comparison with the
export price.
‘‘(C) THIRD
COUNTRY
SALES.—This sub-
paragraph applies when—
‘‘(i) a foreign like vessel is not sold in
the exporting country as described in sub-
paragraph (B)(i), or
‘‘(ii) the particular market situation
in the exporting country does not permit a
proper comparison with the export price.
‘‘(D) CONTEMPORANEOUS SALE.—For pur-
poses of subparagraph (A), ‘a time reasonably
corresponding to the time of the sale’ means
within 3 months before or after the sale of the
subject vessel or, in the absence of such sales,
such longer period as the administering author-
ity determines would be appropriate.
‘‘(2) FICTITIOUS MARKETS.—No pretended sale,
and no sale intended to establish a fictitious market,
shall be taken into account in determining normal
value.
‘‘(3) USE OF CONSTRUCTED VALUE.—If the ad-
ministering authority determines that the normal
value of the subject vessel cannot be determined under
paragraph (1)(B) or (1)(C), then the normal value of
the subject vessel shall be the constructed value of that
vessel, as determined under subsection (e).
‘‘(4) INDIRECT SALES.—If a foreign like vessel is
sold through an affiliated party, the price at which
the foreign like vessel is sold by such affiliated party
may be used in determining normal value.
‘‘(5) ADJUSTMENTS.—The price described in
paragraph (1)(B) shall be—
‘‘(A) reduced by—
‘‘(i) the amount, if any, included in
the price described in paragraph (1)(B), at-
tributable to any costs, charges, and ex-
penses incident to bringing the foreign like
vessel from the shipyard to the place of de-
livery to the purchaser,
‘‘(ii) the amount of any taxes imposed
directly upon the foreign like vessel or com-
ponents thereof which have been rebated, or
which have not been collected, on the subject
vessel, but only to the extent that such taxes
are added to or included in the price of the
foreign like vessel, and
‘‘(iii) the amount of all other expenses
incidental to placing the foreign like vessel
in condition for delivery to the buyer, and
‘‘(B) increased or decreased by the amount
of any difference (or lack thereof) between the ex-
port price and the price described in paragraph
(1)(B) (other than a difference for which allow-
ance is otherwise provided under this section)
that is established to the satisfaction of the ad-
ministering authority to be wholly or partly due
to—
‘‘(i) physical differences between the
subject vessel and the vessel used in deter-
mining normal value, or
‘‘(ii) other differences in the cir-
cumstances of sale.
‘‘(6) ADJUSTMENTS FOR LEVEL OF TRADE.—The
price described in paragraph (1)(B) shall also be in-
creased or decreased to make due allowance for any
difference (or lack thereof) between the export price
and the price described in paragraph (1)(B) (other
than a difference for which allowance is otherwise
made under this section) that is shown to be wholly
or partly due to a difference in level of trade between
the export price and normal value, if the difference in
level of trade—
‘‘(A) involves the performance of different
selling activities, and
‘‘(B) is demonstrated to affect price com-
parability, based on a pattern of consistent price
differences between sales at different levels of
trade in the country in which normal value is
determined.
In a case described in the preceding sentence, the
amount of the adjustment shall be based on the price
differences between the two levels of trade in the coun-
try in which normal value is determined.
‘‘(7) ADJUSTMENTS TO CONSTRUCTED VALUE.—
Constructed value as determined under subsection (e)
may be adjusted, as appropriate, pursuant to this
subsection.
‘‘(b) SALES AT LESS THAN COST OF PRODUCTION.—
‘‘(1) DETERMINATION; SALES
DISREGARDED.—
Whenever the administering authority has reasonable
grounds to believe or suspect that the sale of the for-
eign like vessel under consideration for the determina-
tion of normal value has been made at a price which
represents less than the cost of production of the for-
eign like vessel, the administering authority shall de-
termine whether, in fact, such sale was made at less
than the cost of production. If the administering au-
thority determines that the sale was made at less than
the cost of production and was not at a price which
permits recovery of all costs within 5 years, such sale
may be disregarded in the determination of normal
value. Whenever such a sale is disregarded, normal
value shall be based on another sale of a foreign like
vessel in the ordinary course of trade. If no sales
made in the ordinary course of trade remain, the nor-
mal value shall be based on the constructed value of
the subject vessel.
‘‘(2) DEFINITIONS
AND
SPECIAL
RULES.—For
purposes of this subsection:
‘‘(A) REASONABLE
GROUNDS
TO
BELIEVE
OR SUSPECT.—There are reasonable grounds to
believe or suspect that the sale of a foreign like
vessel was made at a price that is less than the
cost of production of the vessel, if an interested
party described in subparagraph (C), (D), (E),
or (F) of section 861(17) provides information,
based upon observed prices or constructed prices
or costs, that the sale of the foreign like vessel
under consideration for the determination of nor-
mal value has been made at a price which rep-
resents less than the cost of production of the ves-
sel.
‘‘(B) RECOVERY OF COSTS.—If the price is
below the cost of production at the time of sale
but is above the weighted average cost of produc-
tion for the period of investigation, such price
shall be considered to provide for recovery of
costs within 5 years.
‘‘(3) CALCULATION OF COST OF PRODUCTION.—
For purposes of this section, the cost of production
shall be an amount equal to the sum of—
‘‘(A) the cost of materials and of fabrication
or other processing of any kind employed in pro-
ducing the foreign like vessel, during a period
which would ordinarily permit the production of
that vessel in the ordinary course of business,
and
‘‘(B) an amount for selling, general, and
administrative expenses based on actual data
pertaining to the production and sale of the for-
eign like vessel by the producer in question.
For purposes of subparagraph (A), if the normal
value is based on the price of the foreign like vessel
sold in a country other than the exporting country,
the cost of materials shall be determined without re-
gard to any internal tax in the exporting country im-
posed on such materials or on their disposition which
are remitted or refunded upon exportation.
‘‘(c) NONMARKET ECONOMY COUNTRIES.—
‘‘(1) IN GENERAL.—If—
‘‘(A) the subject vessel is produced in a non-
market economy country, and
‘‘(B) the administering authority finds that
available information does not permit the nor-
mal value of the subject vessel to be determined
under subsection (a),
the administering authority shall determine the nor-
mal value of the subject vessel on the basis of the value
of the factors of production utilized in producing the
vessel and to which shall be added an amount for gen-
eral expenses and profit plus the cost of expenses inci-
dental to placing the vessel in a condition for delivery
to the buyer. Except as provided in paragraph (2),
the valuation of the factors of production shall be
based on the best available information regarding the
values of such factors in a market economy country
or countries considered to be appropriate by the ad-
ministering authority.
‘‘(2) EXCEPTION.—If the administering author-
ity finds that the available information is inadequate
for purposes of determining the normal value of the
subject vessel under paragraph (1), the administering
authority shall determine the normal value on the
basis of the price at which a vessel that is—
‘‘(A) comparable to the subject vessel, and
‘‘(B) produced in one or more market econ-
omy countries that are at a level of economic de-
velopment comparable to that of the nonmarket
economy country,
is sold in other countries, including the United
States.
‘‘(3) FACTORS OF PRODUCTION.—For purposes of
paragraph (1), the factors of production utilized in
producing the vessel include, but are not limited to—
‘‘(A) hours of labor required,
‘‘(B) quantities of raw materials employed,
‘‘(C) amounts of energy and other utilities
consumed, and
‘‘(D) representative capital cost, including
depreciation.
‘‘(4) VALUATION OF FACTORS OF PRODUCTION.—
The administering authority, in valuing factors of
production under paragraph (1), shall utilize, to the
extent possible, the prices or costs of factors of produc-
tion in one or more market economy countries that
are—
‘‘(A) at a level of economic development
comparable to that of the nonmarket economy
country, and
‘‘(B) significant producers of comparable
vessels.
‘‘(d) SPECIAL RULE FOR CERTAIN MULTINATIONAL
CORPORATIONS.—Whenever, in the course of an investiga-
tion under this title, the administering authority deter-
mines that—
‘‘(1) the subject vessel was produced in facilities
which are owned or controlled, directly or indirectly,
by a person, firm, or corporation which also owns or
controls, directly or indirectly, other facilities for the
production of a foreign like vessel which are located
in another country or countries,
‘‘(2) subsection (a)(1)(C) applies, and
‘‘(3) the normal value of a foreign like vessel pro-
duced in one or more of the facilities outside the ex-
porting country is higher than the normal value of
the foreign like vessel produced in the facilities located
in the exporting country,
the administering authority shall determine the normal
value of the subject vessel by reference to the normal value
at which a foreign like vessel is sold from one or more facili-
ties outside the exporting country. The administering au-
thority, in making any determination under this sub-
section, shall make adjustments for the difference between
the costs of production (including taxes, labor, materials,
and overhead) of the foreign like vessel produced in facilities
outside the exporting country and costs of production of the
foreign like vessel produced in facilities in the exporting
country, if such differences are demonstrated to its satisfac-
tion.
‘‘(e) CONSTRUCTED VALUE.—
‘‘(1) IN GENERAL.—For purposes of this title, the
constructed value of a subject vessel shall be an
amount equal to the sum of—
‘‘(A) the cost of materials and fabrication or
other processing of any kind employed in pro-
ducing the subject vessel, during a period which
would ordinarily permit the production of the
vessel in the ordinary course of business, and
‘‘(B)(i) the actual amounts incurred and re-
alized by the foreign producer of the subject ves-
sel for selling, general, and administrative ex-
penses, and for profits, in connection with the
production and sale of a foreign like vessel, in
the ordinary course of trade, in the domestic
market of the country of origin of the subject ves-
sel, or
‘‘(ii) if actual data are not available with
respect to the amounts described in clause (i),
then—
‘‘(I) the actual amounts incurred and
realized by the foreign producer of the sub-
160
‘‘TITLE V—GENERALIZED
SYSTEM OF PREFERENCES
‘‘SEC. 501. AUTHORITY TO EXTEND PREFERENCES.
‘‘The President may provide duty-free treatment for
any eligible article from any beneficiary developing country
in accordance with the provisions of this title. In taking
any such action, the President shall have due regard for—
‘‘(1) the effect such action will have on further-
ing the economic development of developing countries
through the expansion of their exports;
‘‘(2) the extent to which other major developed
countries are undertaking a comparable effort to as-
sist developing countries by granting generalized pref-
erences with respect to imports of products of such
countries;
‘‘(3) the anticipated impact of such action on
United States producers of like or directly competitive
products; and
‘‘(4) the extent of the beneficiary developing
country’s competitiveness with respect to eligible arti-
cles.
‘‘SEC. 502. DESIGNATION OF BENEFICIARY DEVELOPING
COUNTRIES.
‘‘(a) AUTHORITY TO DESIGNATE COUNTRIES.—