535
‘‘(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, sub-
ject to the limitations under paragraph (3), be ex-
tended 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, 
and if Haiti has met the requirements of subsections 
(d) and (e). 
‘‘(c) SPECIAL RULE FOR CERTAIN WIRE HARNESS 
AUTOMOTIVE COMPONENTS.—
(1) IN GENERAL.—Any wire harness automotive 
component that is the product or manufacture of 
Haiti and is imported directly from Haiti into the 
customs territory of the United States shall enter the 
United States free of duty, during the 5-year period 
beginning on the date of the enactment of the Haitian 
Hemispheric Opportunity through Partnership En-
couragement Act of 2006, if Haiti has met the re-
quirements of subsection (d) and if the sum of—
536
‘‘(A) the cost or value of the materials pro-
duced in Haiti or one or more countries de-
scribed in subsection (b)(2)(C), or any combina-
tion thereof, plus 
‘‘(B) the direct costs of processing oper-
ations (as defined in section 213(a)(3)) per-
formed in Haiti or the United States, or both, 
is not less than 50 percent of the declared customs 
value of such wire harness automotive component. 
‘‘(2) 
WIRE
HARNESS
AUTOMOTIVE
COMPO-
NENT.—For purposes of this subsection, the term 
‘‘wire harness automotive component’’ means any ar-
ticle provided for in subheading 8544.30.00 of the 
HTS, as in effect on the date of the enactment of the 
Haitian Hemispheric Opportunity through Partner-
ship Encouragement Act of 2006. 
‘‘(d) ELIGIBILITY REQUIREMENTS.—
‘‘(1) IN GENERAL.—Haiti shall be eligible for 
preferential treatment under this section if the Presi-
dent determines and certifies to Congress that 
Haiti—
‘‘(A) has established, or is making continual 
progress toward establishing—
‘‘(i) a market-based economy that pro-
tects private property rights, incorporates
537
an open rules-based trading system, and 
minimizes government interference in the 
economy through measures such as price 
controls, subsidies, and government owner-
ship of economic assets; 
‘‘(ii) the rule of law, political plu-
ralism, and the right to due process, a fair 
trial, and equal protection under the law; 
‘‘(iii) the elimination of barriers to 
United States trade and investment, includ-
ing by—
‘‘(I) the provision of national 
treatment and measures to create an 
environment conducive to domestic and 
foreign investment; 
‘‘(II) the protection of intellectual 
property; and 
‘‘(III) the resolution of bilateral 
trade and investment disputes; 
‘‘(iv) economic policies to reduce pov-
erty, increase the availability of health care 
and 
educational 
opportunities, 
expand 
physical infrastructure, promote the devel-
opment of private enterprise, and encourage
538
the formation of capital markets through 
microcredit or other programs; 
‘‘(v) a system to combat corruption 
and bribery, such as signing and imple-
menting the Convention on Combating 
Bribery of Foreign Public Officials in Inter-
national Business Transactions; and 
‘‘(vi) protection of internationally rec-
ognized worker rights, including the right of 
association, the right to organize and bar-
gain collectively, a prohibition on the use of 
any form of forced or compulsory labor, a 
minimum age for the employment of chil-
dren, and acceptable conditions of work 
with respect to minimum wages, hours of 
work, and occupational safety and health; 
‘‘(B) does not engage in activities that un-
dermine United States national security or for-
eign policy interests; and 
‘‘(C) does not engage in gross violations of 
internationally recognized human rights or pro-
vide support for acts of international terrorism 
and cooperates in international efforts to elimi-
nate human rights violations and terrorist ac-
tivities.
539
‘‘(2) TIME
LIMIT
FOR
DETERMINATION..—The 
President shall determine whether Haiti meets the re-
quirements of paragraph (1) not later than 90 days 
after the date of the enactment of the Haitian Hemi-
spheric Opportunity through Partnership Encourage-
ment Act of 2006. 
‘‘(3) CONTINUING COMPLIANCE.—If the President 
determines that Haiti is not making continual 
progress in meeting the requirements described in 
paragraph (1)(A), the President shall terminate the 
preferential treatment under this section. 
‘‘(e) CONDITIONS REGARDING ENFORCEMENT OF CIR-
CUMVENTION.—
‘‘(1) IN GENERAL.—The preferential treatment 
under subsection (b)(1) shall not apply unless the 
President certifies to Congress that Haiti is meeting 
the following conditions: 
‘‘(A) Haiti has adopted an effective visa 
system, domestic laws, and enforcement proce-
dures applicable to articles described in sub-
section (b) to prevent unlawful transshipment of 
the articles and the use of counterfeit documents 
relating to the importation of the articles into 
the United States.
540
‘‘(B) Haiti has enacted legislation or pro-
mulgated regulations that would permit the Bu-
reau 
of 
Customs 
and 
Border 
Protection 
verification teams to have the access necessary to 
investigate thoroughly allegations of trans-
shipment through such country. 
‘‘(C) Haiti agrees to report, on a timely 
basis, at the request of the Bureau of Customs 
and Border Protection, on the total exports from 
and imports into that country of articles de-
scribed in subsection (b), consistent with the 
manner in which the records are kept by Haiti. 
‘‘(D) Haiti agrees to cooperate fully with 
the United States to address and take action nec-
essary to prevent circumvention as provided in 
Article 5 of the Agreement on Textiles and Cloth-
ing. 
‘‘(E) Haiti agrees to require all producers 
and exporters of articles described in subsection 
(b) in that country to maintain complete records 
of the production and the export of such articles, 
including materials used in the production, for 
at least 5 years after the production or export 
(as the case may be).
541
‘‘(F) Haiti agrees to report, on a timely 
basis, at the request of the Bureau of Customs 
and Border Protection, documentation estab-
lishing the country of origin of articles described 
in subsection (b) as used by that country in im-
plementing an effective visa system. 
‘‘(2) DEFINITION
OF
TRANSSHIPMENT.—Trans-
shipment within the meaning of this subsection has 
occurred when preferential treatment for a textile or 
apparel article under this section has been claimed on 
the basis of material false information concerning the 
country of origin, manufacture, processing, or assem-
bly of the article or any of its components. For pur-
poses 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 this section. 
‘‘(f) REGULATIONS.—The President shall issue regula-
tions to carry out this section not later than 180 days after 
the date of the enactment of the Haitian Hemispheric Op-
portunity through Partnership Encouragement Act of 2006. 
The President shall consult with the Committee on Ways 
and Means of the House of Representatives and the Com-
mittee on Finance of the Senate in preparing such regula-
tions.’’.
542
SEC. 5003. ITC STUDY. 
The International Trade Commission shall, not later 
than 18 months after the date of the enactment of this Act, 
submit a report to Congress on the effects of the amendments 
made by this Act on the trade markets and industries, in-
volving textile and apparel articles, of Haiti, the countries 
described in clauses (ii) and (iii) of section 213A(b)(2)(C) 
of the Caribbean Basin Economic Recovery Act (as added 
by section 5002 of this Act), and the United States. 
SEC. 5004. SENSE OF CONGRESS ON INTERPRETATION OF 
TEXTILE AND APPAREL PROVISIONS FOR 
HAITI. 
It is the sense of the Congress that the executive branch, 
particularly the Committee for the Implementation of Tex-
tile Agreements (CITA), the Bureau of Customs and Border 
Protection of the Department of Homeland Security, and 
the Department of Commerce, should interpret, implement, 
and enforce the provisions of section 213A(b) of the Carib-
bean Basin Economic Recovery Act, as added by section 
5002 of this Act, relating to preferential treatment of textile 
and apparel articles, broadly in order to expand trade by 
maximizing opportunities for imports of such articles from 
Haiti. 
SEC. 5005. TECHNICAL AMENDMENTS. 
(a) CBI.—Section 213(b)(2)(A)(v) of the Caribbean 
Basin Economic Recovery Act (19 U.S.C. 2703(b)(2)(A)(v))
543
is amended by adding at the end the following new sub-
clause: 
‘‘(III) If the President determines that 
any fabric or yarn was determined to be el-
igible for preferential treatment under sub-
clause (I) on the basis of fraud, the Presi-
dent is authorized to remove that designa-
tion from that fabric or yarn with respect 
to articles entered after such removal.’’. 
(b) ATPA.—Section 204(b)(3)(B) of the Andean Trade 
Preference Act (19 U.S.C. 3202(b)(3)(B)) is amended by 
adding at the end the following new clause: 
‘‘(viii) REMOVAL OF DESIGNATION OF 
FABRICS OR YARNS NOT AVAILABLE IN COM-
MERCIAL QUANTITIES.—If the President de-
termines that any fabric or yarn was deter-
mined to be eligible for preferential treat-
ment under clause (i)(III) or (ii) on the 
basis of fraud, the President is authorized to 
remove that designation from that fabric or 
yarn with respect to articles entered after 
such removal.’’. 
SEC. 5006. EFFECTIVE DATE. 
This title and the amendments made by this title apply 
to articles entered, or withdrawn from warehouse for con-
544
sumption, on or after the 15th day after the date of the 
enactment of this Act.
TITLE VI—AFRICAN GROWTH 
AND OPPORTUNITY ACT 
SEC. 6001. SHORT TITLE. 
This title may be referred to as the ‘‘Africa Investment 
Incentive Act of 2006’’. 
SEC. 6002. PREFERENTIAL TREATMENT OF APPAREL PROD-
UCTS OF LESSER DEVELOPED COUNTRIES. 
(a) IN GENERAL.—Section 112 of the African Growth 
and Opportunity Act (19 U.S.C. 3721) is amended—
(1) by redesignating subsections (c) through (f) 
as subsections (d) through (g); 
(2) in subsection (b)—
(A) in the matter preceding paragraph (1), 
by striking ‘‘The’’ and inserting ‘‘Subject to sub-
section (c), the’’ ; and 
(B) by striking subparagraph (B) and re-
designating subparagraph (C) as subparagraph 
(B); and 
(3) by inserting after subsection (b) the following 
new subsection: 
‘‘(c) LESSER DEVELOPED COUNTRIES.—
‘‘(1) PREFERENTIAL TREATMENT OF PRODUCTS 
THROUGH SEPTEMBER 30, 2012.—
545
‘‘(A) PRODUCTS COVERED.—In addition to 
the products described in subsection (b), and sub-
ject to paragraph (2), the preferential treatment 
described in subsection (a) shall apply through 
September 30, 2012, to apparel articles wholly 
assembled, or knit-to-shape and wholly assem-
bled, or both, in one or more lesser developed ben-
eficiary sub-Saharan African countries, regard-
less of the country of origin of the fabric or the 
yarn used to make such articles, in an amount 
not to exceed the applicable percentage of the ag-
gregate square meter equivalents of all apparel 
articles imported into the United States in the 
preceding 12-month period for which data are 
available. 
‘‘(B) APPLICABLE PERCENTAGE.—For pur-
poses of subparagraph (A), the term ‘applicable 
percentage’ means—
‘‘(i) 2.9285 percent for the 1-year pe-
riod beginning on October 1, 2005; and 
‘‘(ii) 3.5 percent for the 1-year period 
beginning on October 1, 2006, and each 1-
year period thereafter through September 
30, 2012.