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matter of fact, the subsidy is specific if one
or more of the following factors exist:
‘‘(I) The actual recipients of the
subsidy, whether considered on an en-
terprise or industry basis, are limited
in number.
‘‘(II) An enterprise or industry is
a predominant user of the subsidy.
‘‘(III) An enterprise or industry
receives a disproportionately large
amount of the subsidy.
‘‘(IV) The manner in which the
authority providing the subsidy has
exercised discretion in the decision to
grant the subsidy indicates that an
enterprise or industry is favored over
others.
In evaluating the factors set forth in
subclauses (I), (II), (III), and (IV), the ad-
ministering authority shall take into ac-
count the extent of diversification of eco-
nomic activities within the jurisdiction of
the authority providing the subsidy, and
the length of time during which the sub-
sidy program has been in operation.
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‘‘(iv) Where a subsidy is limited to an
enterprise or industry located within a des-
ignated geographical region within the ju-
risdiction of the authority providing the
subsidy, the subsidy is specific.
For purposes of this paragraph and paragraph (5B),
any reference to an enterprise or industry is a ref-
erence to a foreign enterprise or foreign industry
and includes a group of such enterprises or indus-
tries.
‘‘(5B) CATEGORIES OF NONCOUNTERVAILABLE
SUBSIDIES.—
‘‘(A) IN
GENERAL.—Notwithstanding the
provisions of paragraphs (5) and (5A), in the
case of merchandise imported from a Subsidies
Agreement country, a subsidy shall be treated
as noncountervailable if the administering au-
thority determines in an investigation under
subtitle A or a review under subtitle C that the
subsidy meets all of the criteria described in
subparagraph (B), (C), or (D), as the case may
be, or the provisions of subparagraph (E)(i)
apply.
‘‘(B) RESEARCH SUBSIDY.—
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‘‘(i) IN GENERAL.—Except for a sub-
sidy provided on the manufacture, produc-
tion, or export of civil aircraft, a subsidy
for research activities conducted by a per-
son, or by a higher education or research
establishment on a contract basis with a
person, 
shall 
be 
treated 
as
noncountervailable, if the subsidy covers
not more than 75 percent of the costs of
industrial research or not more than 50
percent of the costs of precompetitive de-
velopment activity, and such subsidy is
limited exclusively to—
‘‘(I) the costs of researchers,
technicians, and other supporting
staff employed exclusively in the re-
search activity,
‘‘(II) the costs of instruments,
equipment, land, or buildings that are
used exclusively and permanently (ex-
cept when disposed of on a commer-
cial basis) for the research activity,
‘‘(III) the costs of consultancy
and equivalent services used exclu-
sively for the research activity, includ-
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ing costs for bought-in research, tech-
nical knowledge, and patents,
‘‘(IV) additional overhead costs
incurred directly as a result of the re-
search activity, and
‘‘(V) other operating costs (such
as materials and supplies) incurred di-
rectly as a result of the research activ-
ity.
‘‘(ii) DEFINITIONS.—For purposes of
this subparagraph—
‘‘(I) INDUSTRIAL
RESEARCH.—
The term ‘industrial research’ means
planned search or critical investiga-
tion aimed at the discovery of new
knowledge, with the objective that
such knowledge may be useful in de-
veloping new products, processes, or
services, or in bringing about a sig-
nificant improvement to existing prod-
ucts, processes, or services.
‘‘(II) PRECOMPETITIVE
DEVEL-
OPMENT
ACTIVITY.—The 
term
‘precompetitive development activity’
means the translation of industrial re-
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search findings into a plan, blueprint,
or design for new, modified, or im-
proved products, processes, or serv-
ices, whether intended for sale or use,
including the creation of a first proto-
type that would not be capable of
commercial use. The term also may
include the conceptual formulation
and design of products, processes, or
services alternatives and initial dem-
onstration or pilot projects, if these
same projects cannot be converted or
used for industrial application or com-
mercial exploitation. The term does
not include routine or periodic alter-
ations to existing products, production
lines, manufacturing processes, serv-
ices, or other ongoing operations even
if those alterations may represent im-
provements.
‘‘(iii) CALCULATION RULES.—
‘‘(I) IN GENERAL.—In the case
of a research activity that spans both
industrial research and precompetitive
development activity, the allowable
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level of the noncountervailable subsidy
shall not exceed 62.5 percent of the
costs set forth in subclauses (I), (II),
(III), (IV), and (V) of clause (i).
‘‘(II) TOTAL ELIGIBLE COSTS.—
The 
allowable 
level 
of 
a
noncountervailable subsidy described
in clause (i) shall be based on the
total eligible costs incurred over the
duration of a particular project.
‘‘(C) SUBSIDY
TO
DISADVANTAGED
RE-
GIONS.—
‘‘(i) IN
GENERAL.—A subsidy pro-
vided, pursuant to a general framework of
regional development, to a person located
in a disadvantaged region within a country
shall be treated as noncountervailable, if it
is not specific (within the meaning of para-
graph (5A)) within eligible regions and if
the following conditions are met:
‘‘(I) Each region identified as
disadvantaged within the territory of
a country is a clearly designated, con-
tiguous geographical area with a de-
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finable economic and administrative
identity.
‘‘(II) Each region is considered a
disadvantaged region on the basis of
neutral and objective criteria indicat-
ing that the region is disadvantaged
because of more than temporary cir-
cumstances, and such criteria are
clearly stated in the relevant statute,
regulation, or other official document
so as to be capable of verification.
‘‘(III) The criteria described in
subclause (II) include a measurement
of economic development.
‘‘(IV) Programs provided within
a general framework of regional devel-
opment include ceilings on the amount
of assistance that can be granted to a
subsidized project. Such ceilings are
differentiated according to the dif-
ferent levels of development of as-
sisted regions, and are expressed in
terms of investment costs or costs of
job creation. Within such ceilings, the
distribution of assistance is suffi-
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ciently broad and even to avoid the
predominant use of a subsidy by, or
the provision of disproportionately
large amounts of a subsidy to, an en-
terprise or industry as described in
paragraph (5A)(D).
‘‘(ii) MEASUREMENT
OF
ECONOMIC
DEVELOPMENT.—For purposes of clause
(i), the measurement of economic develop-
ment shall be based on one or more of the
following factors:
‘‘(I) Per capita income, house-
hold per capita income, or per capita
gross domestic product that does not
exceed 85 percent of the average for
the country subject to investigation or
review.
‘‘(II) An unemployment rate that
is at least 110 percent of the average
unemployment rate for the country
subject to investigation or review.
The measurement of economic development
shall cover a 3-year period, but may be a
composite measurement and may include
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factors other than those set forth in this
clause.
‘‘(iii) DEFINITIONS.—For purposes of
this subparagraph—
‘‘(I) GENERAL
FRAMEWORK
OF
REGIONAL DEVELOPMENT.—The term
‘general framework of regional devel-
opment’ means that the regional sub-
sidy programs are part of an inter-
nally consistent and generally applica-
ble regional development policy, and
that regional development subsidies
are not granted in isolated geographi-
cal points having no, or virtually no,
influence on the development of a re-
gion.
‘‘(II) NEUTRAL AND OBJECTIVE
CRITERIA.—The term ‘neutral and ob-
jective criteria’ means criteria that do
not favor certain regions beyond what
is appropriate for the elimination or
reduction of regional disparities within
the framework of the regional develop-
ment policy.
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‘‘(D) SUBSIDY FOR ADAPTATION OF EXIST-
ING FACILITIES TO NEW ENVIRONMENTAL RE-
QUIREMENTS.—
‘‘(i) IN GENERAL.—A subsidy that is
provided to promote the adaptation of ex-
isting facilities to new environmental re-
quirements that are imposed by statute or
by regulation, and that result in greater
constraints and financial burdens on the
recipient of the subsidy, shall be treated as
noncountervailable, if the subsidy—
‘‘(I) is a one-time nonrecurring
measure,
‘‘(II) is limited to 20 percent of
the cost of adaptation,
‘‘(III) does not cover the cost of
replacing and operating the subsidized
investment, a cost that must be fully
borne by the recipient,
‘‘(IV) is directly linked and pro-
portionate to the recipient’s planned
reduction of nuisances and pollution,
and does not cover any manufacturing
cost savings that may be achieved,
and
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‘‘(V) is available to all persons
that can adopt the new equipment or
production processes.
‘‘(ii) EXISTING FACILITIES.—For pur-
poses of this subparagraph, the term ‘ex-
isting facilities’ means facilities that have
been in operation for at least 2 years be-
fore the date on which the new environ-
mental requirements are imposed.
‘‘(E) NOTIFIED SUBSIDY PROGRAM.—
‘‘(i) GENERAL RULE.—If a subsidy is
provided pursuant to a program that has
been notified in accordance with Article
8.3 of the Subsidies Agreement, the sub-
sidy shall be treated as noncountervailable
and shall not be subject to investigation or
review under this title.
‘‘(ii) 
EXCEPTION.—Notwithstanding
clause (i), a subsidy shall be treated as
countervailable if—
‘‘(I) the Trade Representative
notifies the administering authority
that a determination has been made
pursuant to Article 8.4 or 8.5 of the
Subsidies Agreement that the subsidy,
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or the program pursuant to which the
subsidy was provided, does not satisfy
the conditions and criteria of Article
8.2 of the Subsidies Agreement; and
‘‘(II) the subsidy is specific with-
in the meaning of paragraph (5A).
‘‘(F) CERTAIN
SUBSIDIES
ON
AGRICUL-
TURAL
PRODUCTS.—Domestic support meas-
ures that are provided with respect to products
listed in Annex 1 to the Agreement on Agri-
culture, and that the administering authority
determines conform fully to the provisions of
Annex 2 to that Agreement, shall be treated as
noncountervailable. Upon request by the admin-
istering authority, the Trade Representative
shall provide advice regarding the interpretation
and application of Annex 2.
‘‘(G) PROVISIONAL APPLICATION.—
‘‘(i) Subparagraphs (B), (C), (D), and
(E) shall not apply on or after the first
day of the month that is 66 months after
the WTO Agreement enters into force, un-
less the provisions of such subparagraphs
are extended pursuant to section 282(c) of
the Uruguay Round Agreements Act.
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‘‘(ii) Subparagraph (F) shall not
apply to imports from a WTO member
country at the end of the 9-year period be-
ginning on January 1, 1995. The Trade
Representative shall determine the precise
termination date for each WTO member
country in accordance with paragraph (i)
of Article 1 of the Agreement on Agri-
culture and such date shall be notified to
the administering authority.’’.
(b) NET
COUNTERVAILABLE
SUBSIDY.—Section
771(6) (19 U.S.C. 1677(6)) is amended by inserting
‘‘countervailable’’ before ‘‘subsidy’’ each place it appears
in the text and in the heading.
PART 2—REPEAL OF SECTION 303 AND
CONFORMING AMENDMENTS
SEC. 261. REPEAL OF SECTION 303.
(a) IN GENERAL.—Section 303 of the Tariff Act of
1930 (19 U.S.C. 1303) is repealed effective on the effec-
tive date of this title.
(b) SAVINGS PROVISIONS.—
(1) CONTINUING
EFFECT
OF
LEGAL
DOCU-
MENTS.—All orders, determinations, and other ad-
ministrative actions—
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(A) which have been issued pursuant to an
investigation conducted under section 303 of
the Tariff Act of 1930, and
(B) which are in effect on the effective
date of this title, or were final before such date
and are to become effective on or after such
date,
shall continue in effect according to their terms until
modified, terminated, superseded, set aside, or re-
voked in accordance with law by the administering
authority, the International Trade Commission, or a
court of competent jurisdiction, or by operation of
law. Except as provided in paragraph (3), such or-
ders or determinations shall be subject to review
under section 751 of the Tariff Act of 1930 and, to
the extent applicable, investigation under section
753 of such Act (as added by this title).
(2) PROCEEDINGS NOT AFFECTED.—The provi-
sions of subsection (a) shall not affect any proceed-
ings, including notices of proposed rulemaking,
pending before the administering authority or the
International Trade Commission on the effective
date of this title with respect to such section 303.
Orders shall be issued in such proceedings, appeals
shall be taken therefrom, and payments shall be
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made pursuant to such orders, in accordance with
such section 303 as in effect on the day before the
effective date of this title and, except as provided in
paragraph (3), shall be subject to review under sec-
tion 751 of the Tariff Act of 1930 and, to the extent
applicable, investigation under section 753 of such
Act. Orders issued in any such proceedings shall
continue in effect until modified, terminated, super-
seded, set aside, or revoked in accordance with law
by the administering authority, a court of competent
jurisdiction, or by operation of law. Nothing in this
section shall be deemed to prohibit the discontinu-
ance or modification of any such proceeding under
the same terms and conditions and to the same ex-
tent that such proceeding could have been discon-
tinued or modified if this section had not been en-
acted.
(3) SUITS NOT AFFECTED.—The provisions of
subsection (a) shall not affect the review pursuant to
section 516A of the Tariff Act of 1930 of a counter-
vailing duty order issued pursuant to an investiga-
tion conducted under section 303 of such Act or a
review of a countervailing duty order issued under
section 751 of such Act, if such review is pending
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or the time for filing such review has not expired on
the effective date of this title.
(c) DEFINITION OF ADMINISTERING AUTHORITY.—
For purposes of this section, the term ‘‘administering au-
thority’’ has the meaning given such term by section
771(1) of the Tariff Act of 1930.
(d) CONFORMING AMENDMENTS.—
(1) IN GENERAL.—
(A) AMENDMENTS
TO
TRADE
ACT
OF
1974.—
(i) Section 331(d)(3) of the Trade Act
of 1974 (19 U.S.C. 1303 note) is repealed.
(ii) Section 152(a)(2) of the Trade
Act of 1974 (19 U.S.C. 2192(a)(2)) is
amended by striking ‘‘(A) in the case of’’
and all that follows through ‘‘(B)’’.
(iii) Section 154(a) of the Trade Act
of 1974 (19 U.S.C. 2194(a)) is amended
by striking ‘‘or section 303(e) of the Tariff
Act of 1930,’’.
(B) AMENDMENTS
TO
TARIFF
ACT
OF
1930.—The following sections of the Tariff Act
of 1930 are amended:
(i) 
Section 
315(d) 
(19 
U.S.C.
1315(d)) is amended by inserting ‘‘(as in
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effect on the day before the effective date
of title II of the Uruguay Round Agree-
ments Act) or section 701’’ after ‘‘section
303’’.
(ii) Section 337(b)(3) (19 U.S.C.
1337(b)(3)) is amended—
(I) by striking ‘‘of section 303 or
subtitle B of title VII of the Tariff
Act of 1930’’ and inserting ‘‘of sub-
title B of title VII of this Act’’,
(II) by striking ‘‘section 303,
671, or 673’’ and inserting ‘‘section
701 or 731’’,
(III) by striking ‘‘section 303,
701,’’ and inserting ‘‘section 701’’,
(IV) by striking ‘‘of the Secretary
under section 303 of this Act or’’, and
(V) by striking ‘‘matter within
such section 303, 701, or’’ and insert-
ing ‘‘matter within such section 701
or’’.
(iii) Section 701 (19 U.S.C. 1671) is
amended by striking subsection (f).
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(iv) Section 780(c)(1) (19 U.S.C.
1677i(c)(1)) is amended by striking ‘‘,
732(a), or 303’’ and inserting ‘‘or 732(a)’’.
(C) OTHER REFERENCES.—Any reference
to section 303 in any other Federal law, Execu-
tive order, rule, or regulation shall be treated as
a reference to section 303 of the Tariff Act of
1930 as in effect on the day before the effective
date of title II of this Act.
(2) EFFECTIVE DATE.—The amendments made
by this subsection shall take effect on the effective
date of this title.
SEC. 262. IMPOSITION OF COUNTERVAILING DUTIES.
Section 701 (a), (b), and (c) (19 U.S.C. 1671 (a),
(b), and (c)) are amended to read as follows:
‘‘(a) GENERAL RULE.—If—
‘‘(1) the administering authority determines
that the government of a country or any public en-
tity within the territory of a country is providing, di-
rectly or indirectly, a countervailable subsidy with
respect to the manufacture, production, or export of
a class or kind of merchandise imported, or sold (or
likely to be sold) for importation, into the United
States, and
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‘‘(2) in the case of merchandise imported from
a Subsidies Agreement country, the Commission de-
termines that—
‘‘(A) an industry in the United States—
‘‘(i) is materially injured, or
‘‘(ii) is threatened with material in-
jury, or
‘‘(B) the establishment of an industry in
the United States is materially retarded,
by reason of imports of that merchandise or by rea-
son of sales (or the likelihood of sales) of that mer-
chandise for importation,
then there shall be imposed upon such merchandise a
countervailing duty, in addition to any other duty imposed,
equal to the amount of the net countervailable subsidy.
For purposes of this subsection and section 705(b)(1), a
reference to the sale of merchandise includes the entering
into of any leasing arrangement regarding the merchan-
dise that is equivalent to the sale of the merchandise.
‘‘(b) SUBSIDIES AGREEMENT COUNTRY.—For pur-
poses of this title, the term ‘Subsidies Agreement country’
means—
‘‘(1) a WTO member country,
‘‘(2) a country which the President has deter-
mined has assumed obligations with respect to the
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United States which are substantially equivalent to
the obligations under the Subsidies Agreement, or
‘‘(3) a country with respect to which the Presi-
dent determines that—
‘‘(A) there is an agreement in effect be-
tween the United States and that country
which—
‘‘(i) was in force on the date of the
enactment of the Uruguay Round Agree-
ments Act, and
‘‘(ii) requires unconditional most-fa-
vored-nation treatment with respect to ar-
ticles imported into the United States, and
‘‘(B) the agreement described in subpara-
graph (A) does not expressly permit—
‘‘(i) actions required or permitted by
the GATT 1947 or GATT 1994, as de-
fined in section 2(1) of the Uruguay
Round Agreements Act, or required by the
Congress, or
‘‘(ii) nondiscriminatory prohibitions or
restrictions on importation which are de-
signed to prevent deceptive or unfair prac-
tices.
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‘‘(c) COUNTERVAILING DUTY INVESTIGATIONS IN-
VOLVING IMPORTS NOT ENTITLED TO A MATERIAL IN-
JURY DETERMINATION.—In the case of any article or
merchandise imported from a country which is not a Sub-
sidies Agreement country—
‘‘(1) no determination by the Commission under
section 703(a), 704, or 705(b) shall be required,
‘‘(2) an investigation may not be suspended
under section 704(c) or 704(l),
‘‘(3) no determination as to the presence of
critical circumstances shall be made under section
703(e) or 705(a)(2),
‘‘(4) section 706(c) shall not apply,
‘‘(5) any reference to a determination described
in paragraph (1) or (3), or to the suspension of an
investigation under section 704(c) or 704(l), shall be
disregarded, and
‘‘(6) section 751(c) shall not apply.’’.
SEC. 263. DE MINIMIS COUNTERVAILABLE SUBSIDY.
(a) 
PRELIMINARY
DETERMINATIONS.—Section
703(b) (19 U.S.C. 1671b(b)) is amended by adding at the
end the following new paragraph:
‘‘(4) DE
MINIMIS
COUNTERVAILABLE
SUB-
SIDY.—
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‘‘(A) GENERAL RULE.—In making a deter-
mination under this subsection, the administer-
ing authority shall disregard any de minimis
countervailable subsidy. For purposes of the
preceding sentence, a countervailable subsidy is
de minimis if the administering authority deter-
mines 
that 
the 
aggregate 
of 
the 
net
countervailable subsidies is less than 1 percent
ad valorem or the equivalent specific rate for
the subject merchandise.
‘‘(B) EXCEPTION FOR DEVELOPING COUN-
TRIES.—In the case of subject merchandise im-
ported from a Subsidies Agreement country
(other than a country to which subparagraph
(C) applies) designated by the Trade Represent-
ative as a developing country in accordance
with section 771(36), a countervailable subsidy
is de minimis if the administering authority de-
termines that the aggregate of the net
countervailable subsidies does not exceed 2 per-
cent ad valorem or the equivalent specific rate
for the subject merchandise.
‘‘(C) CERTAIN OTHER DEVELOPING COUN-
TRIES.—In the case of subject merchandise im-
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ported from a Subsidies Agreement country
that is—
‘‘(i) a least developed country, as de-
termined by the Trade Representative in
accordance with section 771(36), or
‘‘(ii) a developing country with respect
to which the Trade Representative has no-
tified the administering authority that the
country has eliminated its export subsidies
on an expedited basis within the meaning
of Article 27.11 of the Subsidies Agree-
ment,
subparagraph (B) shall be applied by substitut-
ing ‘3 percent’ for ‘2 percent’.
‘‘(D) LIMITATIONS
ON
APPLICATION
OF
SUBPARAGRAPH (C).—
‘‘(i) IN GENERAL.—In the case of a
country described in subparagraph (C)(i),
the provisions of subparagraph (C) shall
not apply after the date that is 8 years
after the date the WTO Agreement enters
into force.
‘‘(ii) SPECIAL
RULE
FOR
SUBPARA-
GRAPH (C)(ii) COUNTRIES.—In the case of
a country described in subparagraph
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(C)(ii), the provisions of subparagraph (C)
shall not apply after the earlier of—
‘‘(I) the date that is 8 years after
the date the WTO Agreement enters
into force, or
‘‘(II) the date on which the
Trade Representative notifies the ad-
ministering authority that such coun-
try is providing an export subsidy.’’.
(b) FINAL DETERMINATIONS.—Section 705(a) (19
U.S.C. 1671d(a)) is amended by adding at the end the
following new paragraph:
‘‘(3) DE
MINIMIS
COUNTERVAILABLE
SUB-
SIDY.—In making a determination under this sub-
section, the administering authority shall disregard
any countervailable subsidy that is de minimis as de-
fined in section 703(b)(4).’’.
SEC. 264. DETERMINATION OF COUNTERVAILABLE SUB-
SIDY RATE.
(a) PRELIMINARY DETERMINATION.—Section 703(d)
(19 U.S.C. 1673b(d)) is amended—
(1) by striking paragraph (2);
(2) by redesignating paragraph (1), as amended
by section 215(a)(1), as paragraph (2);
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(3) by inserting ‘‘and’’ at the end of paragraph
(2), as so redesignated; and
(4) by inserting before such paragraph (2) the
following new paragraph:
‘‘(1)(A) shall—
‘‘(i) determine an estimated individual
countervailable subsidy rate for each exporter
and producer individually investigated, and, in
accordance with section 705(c)(5), an estimated
all-others rate for all exporters and producers
not individually investigated and for new ex-
porters and producers within the meaning of
section 751(a)(2)(B), or
‘‘(ii) if section 777A(e)(2)(B) applies, de-
termine a single estimated country-wide subsidy
rate, applicable to all exporters and producers,
and
‘‘(B) shall order the posting of a cash deposit,
bond, or other security, as the administering author-
ity deems appropriate, for each entry of the subject
merchandise in an amount based on the estimated
individual countervailable subsidy rate, the estimated
all-others rate, or the estimated country-wide sub-
sidy rate, whichever is applicable,’’.
(b) FINAL DETERMINATION.—
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(1) 
IN
GENERAL.—Section 
705(c)(1) 
(19
U.S.C. 1671d(c)(1)) is amended—
(A) in subparagraph (B)—
(i) by redesignating such subpara-
graph as subparagraph (C); and
(ii) by striking ‘‘under paragraphs (1)
and (2)’’ and all that follows through ‘‘se-
curity’’ and inserting ‘‘the suspension of
liquidation under paragraph (2) of section
703(d)’’;
(B) by striking ‘‘and’’ at the end of sub-
paragraph (A); and
(C) by inserting after subparagraph (A)
the following new subparagraph:
‘‘(B)(i) the administering authority shall—
‘‘(I) determine an estimated individual
countervailable subsidy rate for each ex-
porter and producer individually inves-
tigated, and, in accordance with paragraph
(5), an estimated all-others rate for all ex-
porters and producers not individually in-
vestigated and for new exporters and pro-
ducers within the meaning of section
751(a)(2)(B), or
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‘‘(II) if 777A(e)(2)(B) applies, deter-
mine a single estimated country-wide sub-
sidy rate, applicable to all exporters and
producers,
‘‘(ii) shall order the posting of a cash de-
posit, bond, or other security, as the admin-
istering authority deems appropriate, for each
entry of the subject merchandise in an amount
based 
on 
the 
estimated 
individual
countervailable subsidy rate, the estimated all-
others rate, or the estimated country-wide sub-
sidy rate, whichever is applicable, and’’.
(2) 
METHOD
FOR
DETERMINING
COUNTERVAILABLE SUBSIDY RATE.—Section 705(c)
(19 U.S.C. 1671d(c)) is amended by adding at the
end the following new paragraph:
‘‘(5) METHOD
FOR
DETERMINING
THE
ALL-
OTHERS
RATE
AND
THE
COUNTRY-WIDE
SUBSIDY
RATE.—
‘‘(A) ALL-OTHERS RATE.—
‘‘(i) GENERAL
RULE.—For purposes
of this subsection and section 703(d), the
all-others rate shall be an amount equal to
the weighted average countervailable sub-
sidy rates established for exporters and
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producers individually investigated, exclud-
ing 
any 
zero 
and 
de 
minimis
countervailable subsidy rates, and any
rates determined entirely under section
776.
‘‘(ii) 
EXCEPTION.—If 
the
countervailable subsidy rates established
for all exporters and producers individually
investigated are zero or de minimis rates,
or are determined entirely under section
776, the administering authority may use
any reasonable method to establish an all-
others rate for exporters and producers not
individually investigated, including averag-
ing the weighted average countervailable
subsidy rates determined for the exporters
and producers individually investigated.
‘‘(B) COUNTRY-WIDE SUBSIDY RATE.—The
administering authority may calculate a single
country-wide subsidy rate, applicable to all ex-
porters and producers, if the administering au-
thority limits its examination pursuant to sec-
tion 777A(e)(2)(B). The estimated country-wide
rate determined under section 703(d)(1)(A)(ii)
or paragraph (1)(B)(i)(II) of this subsection
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shall be based on industry-wide data regarding
the 
use 
of 
subsidies 
determined 
to 
be
countervailable.’’.
(c) TECHNICAL AND CONFORMING AMENDMENTS.—
(1) Section 703(b)(2) is amended—
(A) by striking ‘‘subsection (b)(1)’’ and in-
serting ‘‘paragraph (1)’’,
(B) by striking ‘‘subsection 702(b)(3)’’ and
inserting ‘‘section 702(b)(3)’’,
(C) by striking ‘‘subsection 703(b)(1)’’ and
inserting ‘‘paragraph (1)’’, and
(D) by striking ‘‘section 703(c)’’ and in-
serting ‘‘subsection (c) of this section’’.
(2) Section 703(e)(2) is amended by striking
‘‘subsection 
(d)(1)’’ 
and 
inserting 
‘‘subsection
(d)(2)’’.
(3) Section 704(f)(2)(A) is amended—
(A) in clause (i), by striking ‘‘section
703(d)(1)’’ and inserting ‘‘section 703(d)(2)’’;
and
(B) in clause (iii), by striking ‘‘section
703(d)(1)’’ 
and 
inserting 
‘‘section
703(d)(1)(B)’’.
(4) Section 704(f)(2)(B) is amended—
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(A) by striking ‘‘section 703(d)(1)’’ and in-
serting ‘‘section 703(d)(2)’’; and
(B) by striking ‘‘section 703(d)(2)’’ and
inserting ‘‘section 703(d)(1)(B)’’.
(5) Section 704(h)(3) is amended—
(A) in subparagraph (A), by striking ‘‘sec-
tion 
703(d)(1)’’ 
and 
inserting 
‘‘section
703(d)(2)’’; and
(B) in subparagraph (B), by striking ‘‘sec-
tion 
703(d)(2)’’ 
and 
inserting 
‘‘section
703(d)(1)(B)’’.
(6) Section 704(i)(1)(A) is amended by striking
‘‘section 
703(d)(1)’’ 
and 
inserting 
‘‘section
703(d)(2)’’.
(7) Section 705(c)(2) is amended—
(A) in subparagraph (A), by striking ‘‘sec-
tion 
703(d)(1)’’ 
and 
inserting 
‘‘section
703(d)(2)’’; and
(B) in subparagraph (B), by striking ‘‘sec-
tion 
703(d)(2)’’ 
and 
inserting 
‘‘section
703(d)(1)(B)’’.
(8) Section 705(c)(3)(B) is amended by striking
‘‘section 
703(d)(2)’’ 
and 
inserting 
‘‘section
703(d)(1)(B)’’.
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(9) Section 706(b)(1) is amended by striking
‘‘section 703(d)(1)’’ each place it appears and in-
serting ‘‘section 703(d)(2)’’.
(10) Section 707(a) is amended—
(A) by striking ‘‘section 703(d)(2)’’ and in-
serting ‘‘section 703(d)(1)(B)’’, and
(B) by striking ‘‘Section 703(d)(2)’’ in the
heading and inserting ‘‘Section 703(d)(1)(B)’’.
(11) Section 708 is amended by striking ‘‘sec-
tion 
703(d)(2)’’ 
and 
inserting 
‘‘section
703(d)(1)(B)’’.
SEC. 265. ASSESSMENT OF COUNTERVAILING DUTY.
Section 706(a) (19 U.S.C. 1671e(a)) is amended—
(1) by striking paragraph (2); and
(2) by redesignating paragraphs (3) and (4) as
paragraphs (2) and (3), respectively.
SEC. 266. NATURE OF COUNTERVAILABLE SUBSIDY.
Section 771(7)(E)(i) (19 U.S.C. 1677(7)(E)(i)) is
amended to read as follows:
‘‘(i) NATURE
OF
COUNTERVAILABLE
SUBSIDY.—In determining whether there is
a threat of material injury, the Commis-
sion shall consider information provided to
it by the administering authority regarding
the nature of the countervailable subsidy
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granted by a foreign country (particularly
whether the countervailable subsidy is a
subsidy described in Article 3 or 6.1 of the
Subsidies Agreement) and the effects likely
to be caused by the countervailable sub-
sidy.’’.
SEC. 267. DEFINITION OF DEVELOPING AND LEAST-DEVEL-
OPED COUNTRY.
Section 771 (19 U.S.C. 1677), as amended, is
amended by adding at the end the following new para-
graph:
‘‘(36) DEVELOPING
AND
LEAST
DEVELOPED
COUNTRY.—
‘‘(A) DEVELOPING
COUNTRY.—The term
‘developing country’ means a country des-
ignated as a developing country by the Trade
Representative.
‘‘(B) LEAST DEVELOPED COUNTRY.—The
term ‘least developed country’ means a country
which the Trade Representative determines is—
‘‘(i) a country referred to as a least
developed country within the meaning of
paragraph (a) of Annex VII to the Sub-
sidies Agreement, or
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‘‘(ii) any other country listed in Annex
VII to the Subsidies Agreement, but only
if the country has a per capita gross na-
tional product of less than $1,000 per
annum as measured by the most recent
data available from the World Bank.
‘‘(C) PUBLICATION OF LIST.—The Trade
Representative shall publish in the Federal Reg-
ister, and update as necessary, a list of—
‘‘(i) developing countries that have
eliminated their export subsidies on an ex-
pedited basis within the meaning of Article
27.11 of the Subsidies Agreement, and
‘‘(ii) countries determined by the
Trade Representative to be least developed
or developing countries.
‘‘(D) FACTORS TO CONSIDER.—In deter-
mining whether a country is a developing coun-
try under subparagraph (A), the Trade Rep-
resentative shall consider such economic, trade,
and other factors which the Trade Representa-
tive considers appropriate, including the level of
economic development of such country (the as-
sessment of which shall include a review of the
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country’s per capita gross national product)
and the country’s share of world trade.
‘‘(E) LIMITATION
ON
DESIGNATION.—A
determination that a country is a developing or
least developed country pursuant to this para-
graph shall be for purposes of this title only
and shall not affect the determination of a
country’s status as a developing or least devel-
oped country with respect to any other law.’’.
SEC. 268. UPSTREAM SUBSIDIES.
Section 771A(a) (19 U.S.C. 1677–1(a)) is amend-
ed—
(1) by striking the matter preceding paragraph
(1) and paragraph (1) and inserting the following:
‘‘(a) DEFINITION.—The term ‘upstream subsidy’
means any countervailable subsidy, other than an export
subsidy, that—
‘‘(1) is paid or bestowed by an authority (as de-
fined in section 771(5)) with respect to a product
(hereafter in this section referred to as an ‘input
product’) that is used in the same country as the au-
thority in the manufacture or production of mer-
chandise which is the subject of a countervailing
duty proceeding;’’, and
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(2) in the flush sentence at the end thereof, by
inserting ‘‘countervailable’’ before ‘‘subsidy’’.
SEC. 269. DETERMINATION OF COUNTERVAILABLE SUB-
SIDY RATE.
(a) IN GENERAL.—Section 777A (19 U.S.C. 1677f–
1), as amended by section 229, is amended by adding at
the end the following new subsection:
‘‘(e) DETERMINATION OF COUNTERVAILABLE SUB-
SIDY RATE.—
‘‘(1) 
GENERAL
RULE.—In 
determining
countervailable subsidy rates under section 703(d),
705(c), or 751(a), the administering authority shall
determine an individual countervailable subsidy rate
for each known exporter or producer of the subject
merchandise.
‘‘(2) EXCEPTION.—If the administering author-
ity determines that it is not practicable to determine
individual countervailable subsidy rates under para-
graph (1) because of the large number of exporters
or producers involved in the investigation or review,
the administering authority may—
‘‘(A) determine individual countervailable
subsidy rates for a reasonable number of ex-
porters or producers by limiting its examination
to—
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‘‘(i) a sample of exporters or produc-
ers that the administering authority deter-
mines is statistically valid based on the in-
formation available to the administering
authority at the time of selection, or
‘‘(ii) exporters and producers account-
ing for the largest volume of the subject
merchandise from the exporting country
that the administering authority deter-
mines can be reasonably examined; or
‘‘(B) determine a single country-wide sub-
sidy rate to be applied to all exporters and pro-
ducers.
The individual countervailable subsidy rates deter-
mined under subparagraph (A) shall be used to de-
termine the all-others rate under section 705(c)(5).’’.
(b) CONFORMING AMENDMENTS.—
(1) The heading for section 777A, as amended
by section 229, is amended by inserting ‘‘AND
COUNTERVAILABLE
SUBSIDY
RATE’’ 
after
‘‘MARGIN’’.
(2) The table of contents for title VII is amend-
ed by inserting ‘‘; determination of weighted average
dumping margin and countervailable subsidy rate’’
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after ‘‘averaging’’ in the item relating to section
777A.
SEC. 270. CONFORMING AMENDMENTS.
(a) COUNTERVAILABLE SUBSIDY.—
(1) Except as provided in paragraph (2), each
of the following sections is amended by striking
‘‘subsidy’’ each place it appears in the text and in
the heading and inserting ‘‘countervailable subsidy’’:
(A) Section 702(e) (19 U.S.C. 1671a(e)).
(B) 
Section 
703(b)(1) 
(19 
U.S.C.
1671b(b)(1)).
(C) 
Section 
703(b)(2) 
(19 
U.S.C.
1671b(b)(2)).
(D) Section 703(c)(1)(B)(i)(I) (19 U.S.C.
1671b(c)(1)(B)(i)(I)).
(E) Section 704 (19 U.S.C. 1671c).
(F) 
Section 
705(a)(1) 
(19 
U.S.C.
1671d(a)(1)).
(G) 
Section 
705(a)(2) 
(19 
U.S.C.
1671d(a)(2)).
(H) 
Section 
706(a)(1) 
(19 
U.S.C.
1671e(a)(1)).
(I) Section 761 (19 U.S.C. 1676).
(J) Section 762 (19 U.S.C. 1676a).
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(K) Section 771A(b) (19 U.S.C. 1677–
1(b)).
(L) Section 771A(c) (19 U.S.C. 1677–
1(c)).
(M) Section 780(d)(1)(A)(ii) (19 U.S.C.
1677i(d)(1)(A)(ii)).
(N) Section 516A(a)(2)(B)(iv) (19 U.S.C.
1516a(a)(2)(B)(iv)).
(2)(A) The heading for section 704(b) (19
U.S.C. 1671c(b)) is amended by striking ‘‘Subsidy’’
and inserting ‘‘Countervailable Subsidy’’.
(B) The heading for section 771(A)(c) (19
U.S.C. 1677–1(c)) is amended by striking ‘‘Subsidy’’
and inserting ‘‘Countervailable Subsidy’’.
(b) COUNTERVAILABLE SUBSIDIES.—
(1) Except as provided in paragraph (2), each
of the following sections is amended by striking
‘‘subsidies’’ each place it appears in the text and in
the heading and inserting ‘‘countervailable sub-
sidies’’:
(A) Section 701(d) (19 U.S.C. 1671(d)).
(B) 
Section 
703(c)(1)(B)(i)(III) 
(19
U.S.C. 1671b(c)(1)(B)(i)(III)).
(C) Section 761 (19 U.S.C. 1676).
(D) Section 771B (19 U.S.C. 1677–2).
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(2) The heading for section 761(a) and section
771B (19 U.S.C. 1676(a) and 1677–2) are each
amended by striking ‘‘Subsidies’’ and inserting
‘‘Countervailable Subsidies’’.
(c) OTHER CONFORMING AMENDMENTS.—
(1) The heading for section 704(b) (19 U.S.C.
1671c(b)) is amended by striking ‘‘Subsidized Mer-
chandise’’ and inserting ‘‘Subject Merchandise’’.
(2) Subparagraphs (C) and (D) of section
771(4) (19 U.S.C. 1677(4) (C) and (D)) are amend-
ed by striking ‘‘subsidized or’’ each place it appears
and inserting ‘‘or imports of merchandise benefiting
from a countervailable subsidy’’ after ‘‘imports’’.
(3) Section 771A (19 U.S.C. 1677–1), as
amended, is amended in subsection (c), by striking
‘‘subsidization’’ and inserting ‘‘the countervailable
subsidy’’.
(4) The table of contents for title VII is amend-
ed—
(A) in the item relating to section 771B,
by inserting ‘‘countervailable’’ before ‘‘sub-
sidies’’, and
(B) in the item relating to section 775, by
striking 
‘‘Subsidy’’ 
and 
inserting
‘‘Countervailable subsidy’’.
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(d) SUBSIDIES AGREEMENT.—Section 702(e) (19
U.S.C. 1671a(e)) is amended by striking ‘‘Agreement’’
and inserting ‘‘Subsidies Agreement’’.
(e) SUBSIDIES AGREEMENT AND AGREEMENT ON
AGRICULTURE.—Section 771(8) (19 U.S.C. 1677(8)) is
amended to read as follows:
‘‘(8) SUBSIDIES AGREEMENT; AGREEMENT ON
AGRICULTURE.—
‘‘(A) SUBSIDIES AGREEMENT.—The term
‘Subsidies Agreement’ means the Agreement on
Subsidies and Countervailing Measures referred
to in section 101(d)(12) of the Uruguay Round
Agreements Act.
‘‘(B) AGREEMENT ON AGRICULTURE.—The
term ‘Agreement on Agriculture’ means the
Agreement on Agriculture referred to in section
101(d)(2) of the Uruguay Round Agreements
Act.’’.
PART 3—SECTION 303 INJURY INVESTIGATIONS
SEC. 271. SPECIAL RULES FOR INJURY INVESTIGATIONS
FOR CERTAIN SECTION 303 COUNTERVAILING
DUTY ORDERS AND INVESTIGATIONS.
(a) IN GENERAL.—Chapter 1 of subtitle C of title
VII, as amended, is amended by inserting after section
752 the following new section:
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‘‘SEC. 753. SPECIAL RULES FOR INJURY INVESTIGATIONS
FOR CERTAIN SECTION 303 COUNTERVAILING
DUTY ORDERS AND INVESTIGATIONS.
‘‘(a) IN GENERAL.—
‘‘(1) INVESTIGATION
BY
THE
COMMISSION
UPON
REQUEST.—In the case of a countervailing
duty order described in paragraph (2), which—
‘‘(A) applies to merchandise that is the
product of a Subsidies Agreement country, and
‘‘(B)(i) is in effect on the date on which
such country becomes a Subsidies Agreement
country, or
‘‘(ii) is issued on a date that is after the
date described in clause (i) pursuant to a court
order in an action brought under section 516A,
the Commission, upon receipt of a request from an
interested party described in section 771(9) (C),
(D), (E), (F), or (G) for an injury investigation with
respect to such order, shall initiate an investigation
and shall determine whether an industry in the
United States is likely to be materially injured by
reason of imports of the subject merchandise if the
order is revoked.
‘‘(2) DESCRIPTION OF COUNTERVAILING DUTY
ORDERS.—A countervailing duty order described in
this paragraph is an order issued under section 303
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with respect to which the requirement of an affirma-
tive determination of material injury under section
303(a)(2) was not applicable at the time such order
was issued.
‘‘(3) REQUIREMENTS OF REQUEST FOR INVES-
TIGATION.—A request for an investigation under
this subsection shall be submitted—
‘‘(A) in the case of an order described in
paragraph (1)(B)(i), within 6 months after the
date on which the country described in para-
graph (1)(A) becomes a Subsidies Agreement
country, or
‘‘(B) in the case of an order described in
paragraph (1)(B)(ii), within 6 months after the
date the order is issued.
‘‘(4) SUSPENSION OF LIQUIDATION.—With re-
spect to entries of subject merchandise made on or
after—
‘‘(A) in the case of an order described in
paragraph (1)(B)(i), the date on which the
country described in paragraph (1)(A) becomes
a Subsidies Agreement country, or
‘‘(B) in the case of an order described in
paragraph (1)(B)(ii), the date on which the
order is issued,
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liquidation shall be suspended at the cash deposit
rate in effect on the date described in subparagraph
(A) or (B) (whichever is applicable).
‘‘(b) INVESTIGATION PROCEDURE AND SCHEDULE.—
‘‘(1) COMMISSION PROCEDURE.—
‘‘(A) IN GENERAL.—Except as otherwise
provided in this section, the provisions of this
title regarding evidence in and procedures for
investigations conducted under subtitle A shall
apply to investigations conducted by the Com-
mission under this section.
‘‘(B) TIME FOR COMMISSION DETERMINA-
TION.—Except as otherwise provided in sub-
paragraph (C), the Commission shall issue its
determination under subsection (a)(1), to the
extent possible, not later than 1 year after the
date on which the investigation is initiated
under this section.
‘‘(C) SPECIAL RULE TO PERMIT ADMINIS-
TRATIVE FLEXIBILITY.—In the case of requests
for investigations received under this section
within 1 year after the date on which the WTO
Agreement enters into force with respect to the
United States, the Commission may, after con-
sulting with the administering authority, initi-
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ate its investigations in a manner that results
in determinations being made in all such inves-
tigations during the 4-year period beginning on
such date.
‘‘(2) NET COUNTERVAILABLE SUBSIDY; NATURE
OF SUBSIDY.—
‘‘(A) NET COUNTERVAILABLE SUBSIDY.—
The administering authority shall provide to the
Commission the net countervailable subsidy
that is likely to prevail if the order which is the
subject of the investigation is revoked. The ad-
ministering authority normally shall choose a
net countervailable subsidy that was determined
under section 705 or subsection (a) or (b)(1) of
section 751. If the Commission considers the
magnitude of the net countervailable subsidy in
making its determination under this section, the
Commission shall use the net countervailable
subsidy provided by the administering author-
ity.
‘‘(B) NATURE OF SUBSIDY.—The admin-
istering authority shall inform the Commission
of, and the Commission, in making its deter-
mination under this section, shall consider, the
nature of the countervailable subsidy and
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whether the countervailable subsidy is a subsidy
described in Article 3 or Article 6.1 of the Sub-
sidies Agreement.
‘‘(3) EFFECT
OF
COMMISSION
DETERMINA-
TION.—
‘‘(A) 
AFFIRMATIVE
DETERMINATION.—
Upon being notified by the Commission that it
has made an affirmative determination under
subsection (a)(1)—
‘‘(i) the administering authority shall
order the termination of the suspension of
liquidation required pursuant to subsection
(a)(4), and
‘‘(ii) the countervailing duty order
shall remain in effect until revoked, in
whole or in part, under section 751(d).
For purposes of section 751(c), a countervailing
duty order described in this section shall be
treated as issued on the date of publication of
the Commission’s determination under this sub-
section.
‘‘(B) NEGATIVE DETERMINATION.—
‘‘(i) IN GENERAL.—Upon being noti-
fied by the Commission that it has made a
negative determination under subsection
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(a)(1), the administering authority shall
revoke the countervailing duty order, and
shall refund, with interest, any estimated
countervailing duties collected during the
period liquidation was suspended pursuant
to subsection (a)(4).
‘‘(ii) LIMITATION
ON
NEGATIVE
DE-
TERMINATION.—A determination by the
Commission that revocation of the order is
not likely to result in material injury to an
industry by reason of imports of the sub-
ject merchandise shall not be based, in
whole or in part, on any export taxes, du-
ties, or other charges levied on the export
of the subject merchandise to the United
States that were specifically intended to
offset the countervailable subsidy received.
‘‘(4) COUNTERVAILING DUTY ORDERS WITH RE-
SPECT TO WHICH NO REQUEST FOR INJURY INVES-
TIGATION IS MADE.—If, with respect to a counter-
vailing duty order described in subsection (a), a re-
quest for an investigation is not made within the
time required by subsection (a)(3), the Commission
shall notify the administering authority that a nega-
tive determination has been made under subsection
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(a) and the provisions of paragraph (3)(B) shall
apply with respect to the order.
‘‘(c) PENDING AND SUSPENDED COUNTERVAILING
DUTY INVESTIGATIONS.—If, on the date on which a coun-
try becomes a Subsidies Agreement country, there is a
countervailing duty investigation in progress or suspended
under section 303 that applies to merchandise which is
a product of that country and with respect to which the
requirement of an affirmative determination of material
injury under section 303(a)(2) was not applicable at the
time the investigation was initiated, the Commission
shall—
‘‘(1) in the case of an investigation in progress,
make a final determination under section 705(b)
within 75 days after the date of an affirmative final
determination, if any, by the administering author-
ity,
‘‘(2) in the case of a suspended investigation to
which section 704(i)(1)(B) applies, make a final de-
termination under section 705(b) within 120 days
after receiving notice from the administering author-
ity of the resumption of the investigation pursuant
to section 704(i), or within 45 days after the date
of an affirmative final determination, if any, by the
administering authority, whichever is later, or
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‘‘(3) in the case of a suspended investigation to
which section 704(i)(1)(C) applies, treat the counter-
vailing duty order issued pursuant to such section as
if it were—
‘‘(A) an order issued under subsection
(a)(1)(B)(ii) for purposes of subsection (a)(3);
and
‘‘(B) an order issued under subsection
(a)(1)(B)(i) for purposes of subsection (a)(4).
‘‘(d) PUBLICATION
IN FEDERAL REGISTER.—The
administering authority or the Commission, as the case
may be, shall publish in the Federal Register a notice of
the initiation of any investigation, and a notice of any de-
termination or revocation, made pursuant to this section.
‘‘(e) REQUEST FOR SIMULTANEOUS EXPEDITED RE-
VIEW UNDER SECTION 751(c).—
‘‘(1) GENERAL RULE.—
‘‘(A) REQUESTS FOR REVIEWS.—Notwith-
standing section 751(c)(6)(A) and except as
provided in subparagraph (B), an interested
party may request a review of an order under
section 751(c) at the same time the party re-
quests an investigation under subsection (a), if
the order involves the same or comparable sub-
ject merchandise. Upon receipt of such request,
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the administering authority, after consulting
with the Commission, shall initiate a review of
the order under section 751(c). The Commis-
sion shall combine such review with the inves-
tigation under this section.
‘‘(B) EXCEPTION.—If the administering
authority determines that the interested party
who requested an investigation under this sec-
tion is a related party or an importer within the
meaning of section 771(4)(B), the administer-
ing authority may decline a request by such
party to initiate a review of an order under sec-
tion 751(c) which involves the same or com-
parable subject merchandise.
‘‘(2) CUMULATION.—If a review under section
751(c) is initiated under paragraph (1), such review
shall be treated as having been initiated on the same
day as the investigation under this section, and the
Commission may, in accordance with section
771(7)(G), cumulatively assess the volume and effect
of imports of the subject merchandise from all coun-
tries with respect to which such investigations are
treated as initiated on the same day.
‘‘(3) TIME AND PROCEDURE FOR COMMISSION
DETERMINATION.—The Commission shall render its
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determination in the investigation conducted under
this section at the same time as the Commission’s
determination is made in the review under section
751(c) that is initiated pursuant to this subsection.
The Commission shall in all other respects apply the
procedures and standards set forth in section 751(c)
to such section 751(c) reviews.’’.
(b) 
REVIEW
OF
DETERMINATIONS.—Section
516A(a)(2) (19 U.S.C. 1516a(a)(2)) is amended—
(1) in subparagraph (A)(i)(I), by striking ‘‘or
(v)’’ and inserting ‘‘(v), or (viii)’’, and
(2) in subparagraph (B), by adding at the end
the following:
‘‘(viii) A determination by the Com-
mission under section 753(a)(1).’’.
(c) CONFORMING AMENDMENT.—The table of con-
tents for title VII, as amended, is amended by inserting
after the item relating to section 752 the following new
item:
‘‘Sec. 753. Special rules for injury investigations for certain section 303 coun-
tervailing duty orders and investigations.’’.
PART 4—ENFORCEMENT OF UNITED STATES
RIGHTS UNDER THE SUBSIDIES AGREEMENT
SEC. 281. SUBSIDIES ENFORCEMENT.
(a) ASSISTANCE REGARDING MULTILATERAL SUB-
SIDY REMEDIES.—The administering authority shall pro-
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vide information to the public upon request, and, to the
extent feasible, assistance and advice to interested parties
concerning—
(1) remedies and benefits available under rel-
evant provisions of the Subsidies Agreement, and
(2) the procedures relating to such remedies
and benefits.
(b) PROHIBITED SUBSIDIES.—
(1) NOTIFICATION
OF
TRADE
REPRESENTA-
TIVE.—If the administering authority determines
pursuant to title VII of the Tariff Act of 1930 that
a class or kind of merchandise is benefiting from a
subsidy which is prohibited under Article 3 of the
Subsidies Agreement, the administering authority
shall notify the Trade Representative and shall pro-
vide the Trade Representative with the information
upon which the administering authority based its de-
termination.
(2) REQUEST BY INTERESTED PARTY REGARD-
ING
PROHIBITED
SUBSIDY.—An interested party
may request that the administering authority deter-
mine if there is reason to believe that merchandise
produced in a WTO member country is benefiting
from a subsidy which is prohibited under Article 3
of the Subsidies Agreement. The request shall con-
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tain such information as the administering authority
may require to support the allegations contained in
the request. If the administering authority, after
analyzing the request and other information reason-
ably available to the administering authority, deter-
mines that there is reason to believe that such mer-
chandise is benefiting from a subsidy which is pro-
hibited under Article 3 of the Subsidies Agreement,
the administering authority shall so notify the Trade
Representative, and shall include supporting infor-
mation with the notification.
(c) SUBSIDIES ACTIONABLE UNDER
THE AGREE-
MENT.—
(1) IN GENERAL.—If the administering author-
ity determines pursuant to title VII of the Tariff Act
of 1930 that a class or kind of merchandise is bene-
fiting from a subsidy described in Article 6.1 of the
Subsidies Agreement, the administering authority
shall notify the Trade Representative, and shall pro-
vide the Trade Representative with the information
upon which the administering authority based its de-
termination.
(2) REQUEST BY INTERESTED PARTY REGARD-
ING ADVERSE EFFECTS.—An interested party may
request the administering authority to determine if
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there is reason to believe that a subsidy which is ac-
tionable under the Subsidies Agreement is causing
adverse effects. The request shall contain such infor-
mation as the administering authority may require
to support the allegations contained in the request.
At the request of the administering authority, the
Commission shall assist the administering authority
in analyzing the information pertaining to the exist-
ence of such adverse effects. If the administering au-
thority, after analyzing the request and other infor-
mation reasonably available to the administering au-
thority, determines that there is reason to believe
that a subsidy which is actionable under the Sub-
sidies Agreement is causing adverse effects, the ad-
ministering authority shall so notify the Trade Rep-
resentative, and shall include supporting information
with the notification.
(d) INITIATION OF SECTION 301 INVESTIGATION.—
On the basis of the notification and information provided
by the administering authority pursuant to subsection (b)
or (c), such other information as the Trade Representative
may have or obtain, and where applicable, after consulta-
tion with an interested party referred to in subsection
(b)(2) or (c)(2), the Trade Representative shall, unless
such interested party objects, determine as expeditiously
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as possible, in accordance with the procedures in section
302(b)(1) of the Trade Act of 1974 (19 U.S.C.
2412(b)(1)), whether to initiate an investigation pursuant
to title III of that Act (19 U.S.C. 2411 et seq.). At the
request of the Trade Representative, the administering au-
thority and the Commission shall assist the Trade Rep-
resentative in an investigation initiated pursuant to this
subsection.
(e) NONACTIONABLE SUBSIDIES.—
(1) COMPLIANCE WITH ARTICLE 8 OF THE SUB-
SIDIES AGREEMENT.—
(A) MONITORING.—In order to monitor
whether a subsidy meets the conditions and cri-
teria described in Article 8.2 of the Subsidies
Agreement and is nonactionable, the Trade
Representative shall provide the administering
authority on a timely basis with any informa-
tion submitted or report made pursuant to Arti-
cle 8.3 or 8.4 of the Subsidies Agreement re-
garding a notified subsidy program. The admin-
istering authority shall review such information
and reports, and where appropriate, shall rec-
ommend to the Trade Representative that the
Trade Representative seek pursuant to Article
8.3 or 8.4 of the Subsidies Agreement addi-
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tional information regarding the notified sub-
sidy program or a subsidy granted pursuant to
the notified subsidy program. If the administer-
ing authority has reason to believe that a viola-
tion of Article 8 of the Subsidies Agreement ex-
ists, the administering authority shall so notify
the Trade Representative, and shall include
supporting information with the notification.
(B) REQUEST BY INTERESTED PARTY RE-
GARDING VIOLATION OF ARTICLE 8.—An inter-
ested party may request the administering au-
thority to determine if there is reason to believe
that a violation of Article 8 of the Subsidies
Agreement exists. The request shall contain
such information as the administering authority
may require to support the allegations con-
tained in the request. If the administering au-
thority, after analyzing the request and other
information reasonably available to the admin-
istering authority, determines that additional
information is needed, the administering au-
thority shall recommend to the Trade Rep-
resentative that the Trade Representative seek,
pursuant to Article 8.3 or 8.4 of the Subsidies
Agreement, additional information regarding
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the particular notified subsidy program or a
subsidy granted pursuant to the notified sub-
sidy program. If the administering authority de-
termines that there is reason to believe that a
violation of Article 8 of the Subsidies Agree-
ment exists, the administering authority shall
so notify the Trade Representative, and shall
include supporting information with the notifi-
cation.
(C) ACTION
BY
TRADE
REPRESENTA-
TIVE.—
(i) If the Trade Representative, on the
basis of the notification and information
provided by the administering authority
pursuant to subparagraph (A) or (B), and
such other information as the Trade Rep-
resentative may have or obtain, and after
consulting with the interested party re-
ferred to in subparagraph (B) and appro-
priate domestic industries, determines that
there is reason to believe that a violation
of Article 8 of the Subsidies Agreement ex-
ists, the Trade Representative shall invoke
the procedures of Article 8.4 or 8.5 of the
Subsidies Agreement.
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(ii) For purposes of clause (i), the
Trade Representative shall determine that
there is reason to believe that a violation
of Article 8 exists in any case in which the
Trade Representative determines that a
notified subsidy program or a subsidy
granted pursuant to a notified subsidy pro-
gram does not satisfy the conditions and
criteria required for a nonactionable sub-
sidy program under this Act, the Subsidies
Agreement, and the statement of adminis-
trative action approved under section
101(a).
(D) NOTIFICATION OF ADMINISTERING AU-
THORITY.—The Trade Representative shall no-
tify the administering authority whenever a vio-
lation of Article 8 of the Subsidies Agreement
has been found to exist pursuant to Article 8.4
or 8.5 of that Agreement.
(2) SERIOUS ADVERSE EFFECTS.—
(A) REQUEST BY INTERESTED PARTY.—
An interested party may request the admin-
istering authority to determine if there is rea-
son to believe that serious adverse effects re-
sulting from a program referred to in Article
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8.2 of the Subsidies Agreement exist. The re-
quest shall contain such information as the ad-
ministering authority may require to support
the allegations contained in the request.
(B) ACTION BY ADMINISTERING AUTHOR-
ITY.—Within 90 days after receipt of the re-
quest described in subparagraph (A), the ad-
ministering authority, after analyzing the re-
quest and other information reasonably avail-
able to the administering authority, shall deter-
mine if there is reason to believe that serious
adverse effects resulting from a program re-
ferred to in Article 8.2 of the Subsidies Agree-
ment exist. If the determination of the admin-
istering authority is affirmative, it shall so no-
tify the Trade Representative and shall include
supporting information with the notification.
The Commission shall assist the administering
authority in analyzing the information pertain-
ing to the existence of such serious adverse ef-
fects if the administering authority requests the
Commission’s assistance. If the subsidy pro-
gram that is alleged to result in serious adverse
effects has been the subject of a countervailing
duty investigation or review under subtitle A or
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C of title VII of the Tariff Act of 1930, the ad-
ministering authority shall take into account
the determinations made by the administering
authority and the Commission in such inves-
tigation or review and the administering au-
thority shall complete its analysis as expedi-
tiously as possible.
(C) ACTION
BY
TRADE
REPRESENTA-
TIVE.—The Trade Representative, on the basis
of the notification and information provided by
the administering authority pursuant to sub-
paragraph (B), and such other information as
the Trade Representative may have or obtain,
shall determine as expeditiously as possible, but
not later than 30 days after receipt of the noti-
fication provided by the administering author-
ity, if there is reason to believe that serious ad-
verse effects exist resulting from the subsidy
program which is the subject of the administer-
ing authority’s notification. The Trade Rep-
resentative shall make an affirmative deter-
mination regarding the existence of such serious
adverse effects unless the Trade Representative
finds that the notification of the administering
authority is not supported by the facts.
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(D) CONSULTATIONS.—If the Trade Rep-
resentative determines that there is reason to
believe that serious adverse effects resulting
from the subsidy program exist, the Trade Rep-
resentative, unless the interested party referred
to in subparagraph (A) objects, shall invoke the
procedures of Article 9 of the Subsidies Agree-
ment, and shall request consultations pursuant
to Article 9.2 of the Subsidies Agreement with
respect to such serious adverse effects. If such
consultations have not resulted in a mutually
acceptable solution within 60 days after the re-
quest is made for such consultations, the Trade
Representative shall refer the matter to the
Subsidies Committee pursuant to Article 9.3 of
the Subsidies Agreement.
(E) DETERMINATION BY SUBSIDIES COM-
MITTEE.—If the Trade Representative deter-
mines that—
(i) the Subsidies Committee has been
prevented from making an affirmative de-
termination regarding the existence of seri-
ous adverse effects under Article 9 of the
Subsidies Agreement by reason of the re-
fusal of the WTO member country with re-
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spect to which the consultations have been
invoked to join in an affirmative consen-
sus—
(I) that such serious adverse ef-
fects exist, or
(II) regarding a recommendation
to such WTO member country to
modify the subsidy program in such a
way as to remove the serious adverse
effects, or
(ii) the Subsidies Committee has not
presented its conclusions regarding the ex-
istence of such serious adverse effects
within 120 days after the date the matter
was referred to it, as required by Article
9.4 of the Subsidies Agreement,
the Trade Representative shall, within 30 days
after such determination, make a determination
under section 304(a)(1) of the Trade Act of
1974 (19 U.S.C. 2414(a)(1)) regarding what
action to take under section 301(a)(1)(A) of
that Act.
(F) NONCOMPLIANCE
WITH
COMMITTEE
RECOMMENDATION.—In the event that the Sub-
sidies Committee makes a recommendation
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under Article 9.4 of the Subsidies Agreement
and the WTO member country with respect to
which such recommendation is made does not
comply with such recommendation within 6
months after the date of the recommendation,
the Trade Representative shall make a deter-
mination under section 304(a)(1) of the Trade
Act of 1974 (19 U.S.C. 2414(a)(1)) regarding
what action to take under section 301(a) of
that Act.
(f) NOTIFICATION, CONSULTATION, AND PUBLICA-
TION.—
(1) NOTIFICATION OF CONGRESS.—The Trade
Representative shall submit promptly to the Com-
mittee on Ways and Means of the House of Rep-
resentatives, the Committee on Finance of the Sen-
ate, and other appropriate committees of the Con-
gress any information submitted or report made pur-
suant to Article 8.3 or 8.4 of the Subsidies Agree-
ment regarding a notified subsidy program.
(2) PUBLICATION
IN
THE
FEDERAL
REG-
ISTER.—The administering authority shall publish
regularly in the Federal Register a summary notice
of any information submitted or report made pursu-
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ant to Article 8.3 or 8.4 of the Subsidies Agreement
regarding notified subsidy programs.
(3) CONSULTATIONS WITH CONGRESS AND PRI-
VATE SECTOR.—The Trade Representative and the
administering authority promptly shall consult with
the committees referred to in paragraph (1), and
with interested representatives of the private sector,
regarding all information submitted or reports made
pursuant to Article 8.3 or 8.4 of the Subsidies
Agreement regarding a notified subsidy program.
(4) ANNUAL
REPORT.—Not later than Feb-
ruary 1 of each year beginning in 1996, the Trade
Representative and the administering authority shall
issue a joint report to the Congress detailing—
(A) the subsidies practices of major trad-
ing partners of the United States, including
subsidies that are prohibited, are causing seri-
ous prejudice, or are nonactionable, under the
Subsidies Agreement, and
(B) the monitoring and enforcement activi-
ties of the Trade Representative and the admin-
istering authority during the preceding calendar
year which relate to subsidies practices.
(g) COOPERATION OF OTHER AGENCIES.—All agen-
cies, departments, and independent agencies of the Fed-
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eral Government shall cooperate fully with one another in
carrying out the provisions of this section, and, upon the
request of the administering authority, shall furnish to the
administering authority all records, papers, and informa-
tion in their possession which relate to the requirements
of this section.
(h) DEFINITIONS.—For purposes of this section—
(1) ADVERSE EFFECTS.—The term ‘‘adverse ef-
fects’’ has the meaning given that term in Articles
5(a) and 5(c) of the Subsidies Agreement.
(2) ADMINISTERING
AUTHORITY.—The term
‘‘administering authority’’ has the meaning given
that term in section 771(1) of the Tariff Act of
1930 (19 U.S.C. 1677(1)).
(3) COMMISSION.—The term ‘‘Commission’’
means the United States International Trade Com-
mission.
(4) INTERESTED PARTY.—The term ‘‘interested
party’’ means a party described in subparagraph
(C), (D), (E), (F), or (G) of section 771(9) of the
Tariff Act of 1930 (19 U.S.C. 1677(9) (A), (C),
(D), (E), (F), or (G)).
(5) 
NONACTIONABLE
SUBSIDY.—The 
term
‘‘nonactionable subsidy’’ means a subsidy described
in Article 8.1(b) of the Subsidies Agreement.
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(6) NOTIFIED SUBSIDY PROGRAM.—The term
‘‘notified subsidy program’’ means a subsidy pro-
gram which has been notified pursuant to Article 8.3
of the Subsidies Agreement.
(7) SERIOUS
ADVERSE
EFFECTS.—The term
‘‘serious adverse effects’’ has the meaning given that
term in Article 9.1 of the Subsidies Agreement.
(8) SUBSIDIES AGREEMENT.—The term ‘‘Sub-
sidies Agreement’’ means the Agreement on Sub-
sidies and Countervailing Measures described in sec-
tion 771(8) of the Tariff Act of 1930 (19 U.S.C.
1677(8)).
(9) SUBSIDIES COMMITTEE.—The term ‘‘Sub-
sidies Committee’’ means the committee established
pursuant to Article 24 of the Subsidies Agreement.
(10) SUBSIDY.—The term ‘‘subsidy’’ has the
meaning given that term in Article 1 of the Sub-
sidies Agreement.
(11) 
TRADE
REPRESENTATIVE.—The 
term
‘‘Trade Representative’’ means the United States
Trade Representative.
(12) VIOLATION
OF
ARTICLE
8.—The term
‘‘violation of Article 8’’ means the failure of a noti-
fied subsidy program or an individual subsidy grant-
ed pursuant to a notified subsidy program to meet
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the applicable conditions and criteria described in
Article 8.2 of the Subsidies Agreement.
(i) TREATMENT OF PROPRIETARY INFORMATION.—
Notwithstanding any other provision of law, the admin-
istering authority may provide the Trade Representative
with a copy of proprietary information submitted to, or
obtained by, the administering authority that the Trade
Representative considers relevant in carrying out its re-
sponsibilities under this part. The Trade Representative
shall protect from public disclosure proprietary informa-
tion obtained from the administering authority under this
part.
SEC. 282. REVIEW OF SUBSIDIES AGREEMENT.
(a) GENERAL OBJECTIVES.—The general objectives
of the United States under this part are—
(1) to ensure that parts II and III of the
Agreement on Subsidies and Countervailing Meas-
ures referred to in section 101(d)(12) (hereafter in
this section referred to as the ‘‘Subsidies Agree-
ment’’) are effective in disciplining the use of sub-
sidies and in remedying the adverse effects of sub-
sidies, and
(2) to ensure that part IV of the Subsidies
Agreement does not undermine the benefits derived
from any other part of that Agreement.
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(b) SPECIFIC OBJECTIVE.—The specific objective of
the United States under this part shall be to create a
mechanism which will provide for an ongoing review of the
operation of part IV of the Subsidies Agreement.
(c) SUNSET OF NONCOUNTERVAILABLE SUBSIDIES
PROVISIONS.—
(1) IN
GENERAL.—Subparagraphs (B), (C),
(D), and (E) of section 771(5B) of the Tariff Act
of 1930 shall cease to apply as provided in subpara-
graph (G)(i) of such section, unless, before the date
referred to in such subparagraph (G)(i)—
(A) the Subsidies Committee determines to
extend Articles 6.1, 8, and 9 of the Subsidies
Agreement as in effect on the date on which the
Subsidies Agreement enters into force or in a
modified form, in accordance with Article 31 of
such Agreement,
(B) the President consults with the Con-
gress in accordance with paragraph (2), and
(C) an implementing bill is submitted and
enacted into law in accordance with paragraphs
(3) and (4).
(2) CONSULTATION
WITH
CONGRESS
BEFORE
SUBSIDIES COMMITTEE AGREES TO EXTEND.—Be-
fore a determination is made by the Subsidies Com-
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mittee to extend Articles 6.1, 8, and 9 of the Sub-
sidies Agreement, the President shall consult with
the Committee on Ways and Means of the House of
Representatives and the Committee on Finance of
the Senate regarding such extension.
(3) IMPLEMENTATION OF EXTENSION.—
(A) NOTIFICATION AND SUBMISSION.—Any
extension of subparagraphs (B), (C), (D), and
(E) of section 771(5B) of the Tariff Act of
1930 shall take effect if (and only if)—
(i) after the Subsidies Committee de-
termines to extend Articles 6.1, 8, and 9 of
the Subsidies Agreement, the President
submits to the committees referred to in
paragraph (2) a copy of the document de-
scribing the terms of such extension, to-
gether with—
(I) a draft of an implementing
bill,
(II) a statement of any adminis-
trative action proposed to implement
the extension, and
(III) the supporting information
described in subparagraph (C); and
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(ii) the implementing bill is enacted
into law.
(B) IMPLEMENTING
BILL.—The imple-
menting bill referred to in subparagraph (A)
shall contain only those provisions that are nec-
essary or appropriate to implement an extension
of the provisions of section 771(5B) (B), (C),
(D), and (E) of the Tariff Act of 1930 as in
effect on the day before the date of the enact-
ment of the implementing bill or as modified to
reflect the determination of the Subsidies Com-
mittee to extend Articles 6.1, 8, and 9 of the
Subsidies Agreement.
(C) SUPPORTING INFORMATION.—The sup-
porting information required under subpara-
graph (A)(i)(III) consists of—
(i) an explanation as to how the im-
plementing bill and proposed administra-
tive action will change or affect existing
law; and
(ii) a statement regarding—
(I) how the extension serves the
interests of United States commerce,
and
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(II) why the implementing bill
and proposed administrative action is
required or appropriate to carry out
the extension.
(4) APPLICATION
OF
CONGRESSIONAL ‘‘FAST
TRACK’’ PROCEDURES
TO
IMPLEMENTING
BILL.—
Section 151 of the Trade Act of 1974 (19 U.S.C.
2191) is amended—
(A) in subsection (b)(1)—
(i) by inserting ‘‘, or with respect to
an extension described in section 282(c)(3)
of the Uruguay Round Agreements Act,’’
after ‘‘trade agreements’’,
(ii) by striking ‘‘or section 1103(a)(1)
of the Omnibus Trade and Competitiveness
Act of 1988’’ and inserting ‘‘, section
1103(a)(1) of the Omnibus Trade and
Competitiveness Act of 1988, or section
282 of the Uruguay Round Agreements
Act’’, and
(iii) by inserting ‘‘or such extension’’
in subparagraphs (A) and (C) after
‘‘agreements’’ each place it appears, and
(B) in subsection (c)(1)—
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(i) by inserting ‘‘or section 282 of the
Uruguay Round Agreements Act’’ after
‘‘section 102’’, and
(ii) by inserting ‘‘or extension’’ after
‘‘agreement’’ each place it appears.
(5) REPORT
BY
THE
TRADE
REPRESENTA-
TIVE.—Not later than the date referred to in section
771 (5B) (G)(i) of the Tariff Act of 1930, the Trade
Representative shall submit to the Congress a report
setting forth the provisions of law which were en-
acted to implement Articles 6.1, 8, and 9 of the Sub-
sidies Agreement and should be repealed or modified
if such provisions are not extended.
(d) REVIEW OF THE OPERATION OF THE SUBSIDIES
AGREEMENT.—The Secretary of Commerce, in consulta-
tion with other appropriate departments and agencies of
the Federal Government, shall undertake an ongoing re-
view of the operation of the Subsidies Agreement. The re-
view shall address—
(1) the effectiveness of part II of the Subsidies
Agreement in disciplining the use of subsidies which
are prohibited under Article 3 of the Agreement,
(2) the effectiveness of part III and, in particu-
lar, Article 6.1 of the Subsidies Agreement, in rem-
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edying the adverse effects of subsidies which are ac-
tionable under the Agreement, and
(3) the extent to which the provisions of part
IV of the Subsidies Agreement may have under-
mined the benefits derived from other parts of the
Agreement, and, in particular—
(A) the extent to which WTO member
countries have cooperated in reviewing and im-
proving the operation of part IV of the Sub-
sidies Agreement,
(B) the extent to which the provisions of
Articles 8.4 and 8.5 of the Subsidies Agreement
have been effective in identifying and remedying
violations of the conditions and criteria de-
scribed in Article 8.2 of the Agreement, and
(C) the extent to which the provisions of
Article 9 of the Subsidies Agreement have been
effective in remedying the serious adverse ef-
fects of subsidy programs described in Article
8.2 of the Agreement.
Not later than 4 years and 6 months after the date
of the enactment of this Act, the Secretary of Com-
merce shall submit to the Congress a report on the
review required under this subsection.
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SEC. 283. AMENDMENTS TO TITLE VII OF THE TARIFF ACT
OF 1930.
(a) PRELIMINARY DETERMINATION BY ADMINISTER-
ING AUTHORITY.—Section 703(b) of the Tariff Act of
1930 (19 U.S.C. 1671b(b)), as amended, is amended by
adding at the end the following new paragraph:
‘‘(5) NOTIFICATION
OF
ARTICLE
VIOLA-
TION.—If the only subsidy under investigation is a
subsidy with respect to which the administering au-
thority received notice from the Trade Representa-
tive of a violation of Article 8 of the Subsidies
Agreement, paragraph (1) shall be applied by sub-
stituting ‘60 days’ for ‘65 days’.’’.
(b) SUBSIDY PRACTICE DISCOVERED DURING A PRO-
CEEDING.—Section 775 of the Tariff Act of 1930 (19
U.S.C. 1677d) is amended to read as follows:
‘‘SEC. 775. COUNTERVAILABLE SUBSIDY PRACTICES DIS-
COVERED DURING A PROCEEDING.
‘‘If, in the course of a proceeding under this title,
the administering authority discovers a practice which ap-
pears to be a countervailable subsidy, but was not included
in the matters alleged in a countervailing duty petition,
or if the administering authority receives notice from the
Trade Representative that a subsidy or subsidy program
is in violation of Article 8 of the Subsidies Agreement,
then the administering authority—
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‘‘(1) shall include the practice, subsidy, or sub-
sidy program in the proceeding if the practice, sub-
sidy, or subsidy program appears to be a
countervailable subsidy with respect to the merchan-
dise which is the subject of the proceeding, or
‘‘(2) shall transfer the information (other than
confidential information) concerning the practice,
subsidy, or subsidy program to the library main-
tained under section 777(a)(1), if the practice, sub-
sidy, or subsidy program appears to be a
countervailable subsidy with respect to any other
merchandise.’’.
(c) ADMINISTRATIVE REVIEWS.—Section 751 of the
Tariff Act of 1930 (19 U.S.C. 1675), as amended, is
amended by redesignating subsection (g) as subsection (h)
and by inserting after subsection (f) the following new
subsection:
‘‘(g) REVIEWS TO IMPLEMENT RESULTS OF SUB-
SIDIES ENFORCEMENT PROCEEDING.—
‘‘(1) VIOLATIONS OF ARTICLE 8 OF THE SUB-
SIDIES AGREEMENT.—If—
‘‘(A) the administering authority receives
notice from the Trade Representative of a viola-
tion of Article 8 of the Subsidies Agreement,
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‘‘(B) the administering authority has rea-
son to believe that merchandise subject to an
existing countervailing duty order or suspended
investigation is benefiting from the subsidy or
subsidy program found to have been in violation
of Article 8 of the Subsidies Agreement, and
‘‘(C) no review pursuant to subsection
(a)(1) is in progress,
the administering authority shall conduct a review of
the order or suspended investigation to determine
whether the subject merchandise benefits from the
subsidy or subsidy program found to have been in
violation of Article 8 of the Subsidies Agreement. If
the administering authority determines that the sub-
ject merchandise is benefiting from the subsidy or
subsidy program, it shall make appropriate adjust-
ments in the estimated duty to be deposited or ap-
propriate revisions to the terms of the suspension
agreement.
‘‘(2) WITHDRAWAL OF SUBSIDY OR IMPOSITION
OF COUNTERMEASURES.—If the Trade Representa-
tive notifies the administering authority that, pursu-
ant to Article 4 or Article 7 of the Subsidies Agree-
ment—
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‘‘(A)(i) the United States has imposed
countermeasures, and
‘‘(ii) such countermeasures are based on
the effects in the United States of imports of
merchandise that is the subject of a countervail-
ing duty order, or
‘‘(B) a WTO member country has with-
drawn a countervailable subsidy provided with
respect to merchandise subject to a countervail-
ing duty order,
the administering authority shall conduct a review to
determine if the amount of the estimated duty to be
deposited should be adjusted or the order should be
revoked.
‘‘(3) EXPEDITED REVIEW.—The administering
authority shall conduct reviews under this subsection
on an expedited basis, and shall publish the results
of such reviews in the Federal Register.’’.
Subtitle C—Effective Date
SEC. 291. EFFECTIVE DATE.
(a) IN GENERAL.—Except as provided in section 261,
the amendments made by this title shall take effect on
the date described in subsection (b) and apply with respect
to—
(1) investigations initiated—
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(A) on the basis of petitions filed under
section 702(b), 732(b), or 783(b) of the Tariff
Act of 1930 after the date described in sub-
section (b), or
(B) by the administering authority under
section 702(a) or 732(a) of such Act after such
date,
(2) reviews initiated under section 751 of such
Act—
(A) by the administering authority or the
Commission on their own initiative after such
date, or
(B) pursuant to a request filed after such
date,
(3) investigations initiated under section 753 of
such Act after such date,
(4) petitions filed under section 780 of such Act
after such date, and
(5) inquiries initiated under section 781 of such
Act—
(A) by the administering authority on its
own initiative after such date, or
(B) pursuant to a request filed after such
date.
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(b) DATE DESCRIBED.—The date described in this
subsection is the date on which the WTO Agreement (as
defined in section 2(9)) enters into force with respect to
the United States.
TITLE III—ADDITIONAL IMPLE-
MENTATION OF AGREEMENTS
Subtitle A—Safeguards
SEC. 301. INVESTIGATIONS, DETERMINATIONS, AND REC-
OMMENDATIONS BY INTERNATIONAL TRADE
COMMISSION.
(a) TREATMENT OF CONFIDENTIAL INFORMATION.—
Section 202(a)(8) of the Trade Act of 1974 (19 U.S.C.
2252(a)(8)) is amended by adding at the end the follow-
ing: ‘‘The Commission may request that parties providing
confidential business information furnish nonconfidential
summaries thereof or, if such parties indicate that the in-
formation in the submission cannot be summarized, the
reasons why a summary cannot be provided. If the Com-
mission finds that a request for confidentiality is not war-
ranted and if the party concerned is either unwilling to
make the information public or to authorize its disclosure
in generalized or summarized form, the Commission may
disregard the submission.’’.
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(b) ADMINISTRATIVE PROTECTIVE ORDERS.—Sec-
tion 202 of the Trade Act of 1974 (19 U.S.C. 2252) is
amended by adding at the end the following:
‘‘(i) LIMITED DISCLOSURE OF CONFIDENTIAL BUSI-
NESS INFORMATION UNDER PROTECTIVE ORDER..—The
Commission shall promulgate regulations to provide access
to confidential business information under protective order
to authorized representatives of interested parties who are
parties to an investigation under this section.’’.
(c) NOTICE OF PROCEEDINGS.—Section 202(b) of
the Trade Act of 1974 (19 U.S.C. 2252(b)) is amended
by striking paragraphs (3) and (4) and inserting the fol-
lowing:
‘‘(3) The Commission shall publish notice of the
commencement of any proceeding under this sub-
section in the Federal Register and shall, within a
reasonable time thereafter, hold public hearings at
which the Commission shall afford interested parties
and consumers an opportunity to be present, to
present evidence, to comment on the adjustment
plan, if any, submitted under subsection (a), to re-
spond to the presentations of other parties and con-
sumers, and otherwise to be heard.’’.
(d) CRITICAL CIRCUMSTANCES.—
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(1) IN
GENERAL.—Section 202(d)(2) of the
Trade Act of 1974 (19 U.S.C. 2252(d)(2)) is
amended to read as follows:
‘‘(2)(A) When a petition filed under subsection
(a) alleges that critical circumstances exist and re-
quests that provisional relief be provided under this
subsection with respect to imports of the article
identified in the petition, the Commission shall, not
later than 60 days after the petition containing the
request was filed, determine, on the basis of avail-
able information, whether—
‘‘(i) there is clear evidence that increased
imports (either actual or relative to domestic
production) of the article are a substantial
cause of serious injury, or the threat thereof, to
the domestic industry producing an article like
or directly competitive with the imported arti-
cle; and
‘‘(ii) delay in taking action under this
chapter would cause damage to that industry
that would be difficult to repair.
‘‘(B) If the determinations under subparagraph
(A)(i) and (ii) are affirmative, the Commission shall
find the amount or extent of provisional relief that
is necessary to prevent or remedy the serious injury.
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In carrying out this subparagraph, the Commission
shall give preference to increasing or imposing a
duty on imports, if such form of relief is feasible and
would prevent or remedy the serious injury.
‘‘(C) The Commission shall immediately report
to the President its determinations under subpara-
graph (A)(i) and (ii) and, if the determinations are
affirmative, the finding under subparagraph (B).
‘‘(D) Within 30 days after receiving a report
from the Commission under subparagraph (C) con-
taining an affirmative determination under subpara-
graph (A)(i) and (ii), the President, if he considers
provisional relief to be warranted and after taking
into account the finding of the Commission under
subparagraph (B), shall proclaim, for a period not to
exceed 200 days, such provisional relief that the
President considers necessary to prevent or remedy
the serious injury. Such relief shall take the form of
an increase in, or the imposition of, a duty on im-
ports, if such form of relief is feasible and would
prevent or remedy the serious injury.’’.
(2) TIME LIMITS FOR DETERMINATIONS.—Sec-
tion 202 of the Trade Act of 1974 (19 U.S.C. 2252)
is amended—
(A) in subsection (b)(2)—
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(i) in subparagraph (A) by inserting
‘‘(180 days if the petition alleges that criti-
cal circumstances exist)’’ after ‘‘120 days’’;
and
(ii) in subparagraph (B) by inserting
‘‘(210 days if the petition alleges that criti-
cal circumstances exist)’’ after ‘‘150 days’’;
and
(B) in subsection (f)(1) by inserting ‘‘(240
days if the petition alleges that critical cir-
cumstances exist)’’ after ‘‘180 days’’.
(3) ACTION
BY
THE
PRESIDENT.—Section
203(a)(4) of the Trade Act of 1974 (19 U.S.C.
2253(a)(4)) is amended—
(A) by striking ‘‘The’’ and inserting ‘‘(A)
Subject to subparagraph (B), the’’;
(B) by inserting after ‘‘60 days’’ the fol-
lowing: ‘‘(50 days if the President has pro-
claimed 
provisional 
relief 
under 
section
202(d)(2)(D) with respect to the article con-
cerned)’’; and
(C) by striking ‘‘; except that’’ and all that
follows through ‘‘received.’’ and inserting a pe-
riod and the following:
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‘‘(B) If a supplemental report is requested
under paragraph (5), the President shall take action
under paragraph (1) within 30 days after the sup-
plemental report is received, except that, in a case
in which the President has proclaimed provisional
relief under section 202(d)(2)(D) with respect to the
article concerned, action by the President under
paragraph (1) may not be taken later than the
200th day after the provisional relief was pro-
claimed.’’.
(4) 
CONFORMING
AMENDMENTS.—Section
202(d) of the Trade Act of 1974 (19 U.S.C.
2252(d)) is amended—
(A) in paragraph (3)—
(i) by striking ‘‘(2)(B)’’ and inserting
‘‘(2)(D)’’; and
(ii) by striking ‘‘subsection (b)(1)’’
and inserting ‘‘paragraph (2)(A)’’; and
(B) in paragraph (4)(A)(i) by inserting ‘‘or
(2)(D)’’ after ‘‘(1)(G)’’.
(e) FACTORS IN MAKING DETERMINATIONS.—Sec-
tion 202(c) of the Trade Act of 1974 (19 U.S.C. 2252(c))
is amended—
(1) in paragraph (1)(B)(i) by inserting ‘‘pro-
ductivity,’’ after ‘‘wages,’’; and
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(2) in paragraph (6)—
(A) by amending subparagraph (A) to read
as follows:
‘‘(A)(i) The term ‘domestic industry’
means, with respect to an article, the producers
as a whole of the like or directly competitive ar-
ticle or those producers whose collective produc-
tion of the like or directly competitive article
constitutes a major proportion of the total do-
mestic production of such article.
‘‘(ii) The term ‘domestic industry’ includes
producers located in the United States insular
possessions.’’; and
(B) by adding at the end the following:
‘‘(C) The term ‘serious injury’ means a
significant overall impairment in the position of
a domestic industry.
‘‘(D) The term ‘threat of serious injury’
means serious injury that is clearly imminent.
(f) 
LIMITATIONS
ON
INVESTIGATIONS.—Section
202(h) of the Trade Act of 1974 (19 U.S.C. 2252(h)) is
amended by adding at the end the following:
‘‘(3)(A) Not later than the date on which the
Textiles Agreement enters into force with respect to
the United States, the Secretary of Commerce shall
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publish in the Federal Register a list of all articles
that are subject to the Textiles Agreement. An in-
vestigation may be conducted under this section con-
cerning imports of any article that is subject to the
Textiles Agreement only if the United States has in-
tegrated that article into GATT 1994 pursuant to
the Textiles Agreement, as set forth in notices pub-
lished in the Federal Register by the Secretary of
Commerce, including the notice published under sec-
tion 331 of the Uruguay Round Agreements Act.
‘‘(B) For purposes of this paragraph:
‘‘(i) The term ‘Textiles Agreement’ means
the Agreement on Textiles and Clothing re-
ferred to in section 101(d)(4) of the Uruguay
Round Agreements Act.
‘‘(ii) The term ‘GATT 1994’ has the
meaning given that term in section 2(1)(B) of
the Uruguay Round Agreements Act.’’.
SEC. 302. ACTION BY PRESIDENT AFTER DETERMINATION
OF IMPORT INJURY.
(a) AUTHORITY TO ENTER INTO INTERNATIONAL
AGREEMENTS.—Section 203 of the Trade Act of 1974 (19
U.S.C. 2253) is amended—
(1) in subsection (a)(3)(E) by striking ‘‘orderly
marketing’’;
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(2) in subsection (d)(1) by striking ‘‘orderly
marketing agreements’’ and inserting ‘‘agreements
described in subsection (a)(3)(E)’’;
(3) in subsection (f)—
(A) in the subsection heading by striking
‘‘ORDERLY MARKETING AND OTHER’’ and in-
serting ‘‘CERTAIN’’;
(B) in paragraph (1)—
(i) by striking ‘‘orderly marketing
agreements’’ the first place it appears and
inserting ‘‘agreements of the type de-
scribed in subsection (a)(3)(E)’’; and
(ii) by striking ‘‘orderly marketing
agreements with foreign countries’’ and in-
serting ‘‘agreements of the type described
in subsection (a)(3)(E)’’; and
(C) in paragraph (2) by striking ‘‘orderly
marketing agreement implemented under sub-
section (a)’’ and inserting ‘‘agreement imple-
mented under subsection (a)(3)(E)’’; and
(4) in subsection (g)(2)—
(A) in the first sentence by striking ‘‘or-
derly marketing or other’’; and
(B) in the second sentence—
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(i) by striking ‘‘orderly marketing
agreement’’ and inserting ‘‘agreement of
the type described in subsection (a)(3)(E)
that is’’; and
(ii) by striking ‘‘agreements’’ and in-
serting ‘‘agreement’’.
(b) LIMITATIONS ON ACTIONS.—
(1) DURATION OF ACTIONS.—Section 203(e)(1)
of the Trade Act of 1974 (19 U.S.C. 2253(e)(1)) is
amended to read as follows:
‘‘(1)(A) Subject to subparagraph (B), the dura-
tion of the period in which an action taken under
this section may be in effect shall not exceed 4
years. Such period shall include the period, if any,
in which provisional relief under section 202(d) was
in effect.
‘‘(B)(i) Subject to clause (ii), the President,
after receiving an affirmative determination from the
Commission under section 204(c) (or, if the Com-
mission is equally divided in its determination, a de-
termination which the President considers to be an
affirmative determination of the Commission), may
extend the effective period of any action under this
section if the President determines that—
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‘‘(I) the action continues to be necessary to
prevent or remedy the serious injury; and
‘‘(II) there is evidence that the domestic
industry is making a positive adjustment to im-
port competition.
‘‘(ii) The effective period of any action under
this section, including any extensions thereof, may
not, in the aggregate, exceed 8 years.’’.
(2) LIMITATION
ON
QUANTITATIVE
RESTRIC-
TIONS.—Section 203(e)(4) of the Trade Act of 1974
(19 U.S.C. 2253(e)(4)) is amended to read as fol-
lows:
‘‘(4) Any action taken under this section pro-
claiming a quantitative restriction shall permit the
importation of a quantity or value of the article
which is not less than the average quantity or value
of such article entered into the United States in the
most recent 3 years that are representative of im-
ports of such article and for which data are avail-
able, unless the President finds that the importation
of a different quantity or value is clearly justified in
order to prevent or remedy the serious injury.’’.
(3) 
PHASING-DOWN
OF
ACTIONS.—Section
203(e)(5) of the Trade Act of 1974 (19 U.S.C.
2253(e)(5)) is amended to read as follows:
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‘‘(5) 
An 
action 
described 
in 
subsection
(a)(3)(A), (B), or (C) that has an effective period of
more than 1 year shall be phased down at regular
intervals during the period in which the action is in
effect.’’.
(4) LIMITATIONS ON NEW ACTIONS AND INVES-
TIGATIONS OF SAME ARTICLE.—(A) Section 203(e)
of the Trade Act of 1974 (19 U.S.C. 2253(e)) is
amended by adding at the end the following:
‘‘(7)(A) If an article was the subject of an ac-
tion under subparagraph (A), (B), (C), or (E) of
subsection (a)(3), no new action may be taken under
any of those subparagraphs with respect to such ar-
ticle for—
‘‘(i) a period beginning on the date on
which the previous action terminates that is
equal to the period in which the previous action
was in effect, or
‘‘(ii) a period of 2 years beginning on the
date on which the previous action terminates,
whichever is greater.
‘‘(B) Notwithstanding subparagraph (A), if the
previous action under subparagraph (A), (B), (C), or
(E) of subsection (a)(3) with respect to an article
was in effect for a period of 180 days or less, the
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President may take a new action under any of those
subparagraphs with respect to such article if—
‘‘(i) at least 1 year has elapsed since the
previous action went into effect; and
‘‘(ii) an action described in any of those
subparagraphs has not been taken with respect
to such article more than twice in the 5-year
period immediately preceding the date on which
the new action with respect to such article first
becomes effective.’’.
(B) Section 202(h)(2) of the Trade Act of 1974
(19 U.S.C. 2252(h)(2)) is amended to read as fol-
lows:
‘‘(2) No new investigation shall be conducted
with respect to an article that is or has been the
subject of an action under section 203(a)(3)(A), (B),
(C), or (E) if the last day on which the President
could take action under section 203 in the new in-
vestigation is a date earlier than that permitted
under section 203(e)(7).’’.
(c) REPORTS ON MONITORING.—Section 204(a) of
the Trade Act of 1974 (19 U.S.C. 2354(a)) is amended—
(1) by amending paragraph (2) to read as fol-
lows:
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‘‘(2) If the initial period during which the ac-
tion taken under section 203 is in effect exceeds 3
years, or if an extension of such action exceeds 3
years, the Commission shall submit a report on the
results of the monitoring under paragraph (1) to the
President and to the Congress not later than the
date that is the mid-point of the initial period, and
of each such extension, during which the action is in
effect.’’; and
(2) in paragraph (4) by striking ‘‘extension,’’.
(d) INVESTIGATION OF EXTENSION OF ACTION.—
Section 204 of the Trade Act of 1974 (19 U.S.C. 2254)
is amended—
(1) by redesignating subsections (c) and (d) as
subsections (d) and (e), respectively; and
(2) by inserting after subsection (b) the follow-
ing:
‘‘(c) EXTENSION OF ACTION.—
‘‘(1) Upon request of the President, or upon pe-
tition on behalf of the industry concerned filed with
the Commission not earlier than the date which is
9 months, and not later than the date which is 6
months, before the date any action taken under sec-
tion 203 is to terminate, the Commission shall inves-
tigate to determine whether action under section 203
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continues to be necessary to prevent or remedy seri-
ous injury and whether there is evidence that the in-
dustry is making a positive adjustment to import
competition.
‘‘(2) The Commission shall publish notice of the
commencement of any proceeding under this sub-
section in the Federal Register and shall, within a
reasonable time thereafter, hold a public hearing at
which the Commission shall afford interested parties
and consumers an opportunity to be present, to
present evidence, and to respond to the presen-
tations of other parties and consumers, and other-
wise to be heard.
‘‘(3) The Commission shall transmit to the
President a report on its investigation and deter-
mination under this subsection not later than 60
days before the action under section 203 is to termi-
nate, unless the President specifies a different
date.’’.
SEC. 303. MISCELLANEOUS AMENDMENTS.
Title II of the Trade Act of 1974 is amended as fol-
lows:
(1) 
Section 
202(a)(2)(B)(ii) 
(19 
U.S.C.
2252(a)(2)(B)(ii)) is amended by striking ‘‘, or at
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any time before the 150th day after the date of fil-
ing be amended to request,’’.
(2) 
Section 
202(b)(1)(A) 
(19 
U.S.C.
2252(b)(1)(A)) is amended by striking ‘‘(b)’’ and in-
serting ‘‘(a)’’.
(3) Section 202(d)(1) (19 U.S.C. 2252(d)(1)) is
amended—
(A) in subparagraph (C)(i) by striking
‘‘paragraph (2)’’ and inserting ‘‘subparagraph
(B)’’; and
(B) by striking ‘‘or threat thereof’’ each
place it appears in subparagraphs (E) and (G).
(4) 
Section 
202(d)(4)(A)(i) 
(19 
U.S.C.
2252(d)(4)(A)(i) is amended by striking ‘‘203(a)’’
and inserting ‘‘202(b)’’.
(5) Section 202(c)(6) (19 U.S.C. 2252(c)(6)) is
amended by striking ‘‘subsection’’ and inserting
‘‘section’’.
(6) 
Section 
202(f)(2)(G)(ii) 
(19 
U.S.C.
2252(f)(2)(G)(ii)) is amended by striking ‘‘is’’ and
inserting ‘‘are’’.
(7) 
Section 
203(a)(2)(C) 
(19 
U.S.C.
2253(a)(2)(C)) is amended by striking ‘‘201(b)’’ and
inserting ‘‘202(a)’’.
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(8) Section 203(c) (19 U.S.C. 2253(c)) is
amended 
by 
striking 
‘‘(c)(2)’’ 
and 
inserting
‘‘(d)(2)’’.
(9) Section 203(e)(2) (19 U.S.C. 2253(e)(2)) is
amended—
(A) by striking ‘‘may be taken under sub-
section (a)(1)(A), (B), or (C) or under section
202(d)(2)(B)’’ and inserting ‘‘of a type de-
scribed in subsection (a)(3)(A), (B), or (C) may
be taken under subsection (a)(1), under section
202(d)(1)(G), or under section 202(d)(2)(D)’’;
and
(B) by striking ‘‘or threat thereof’’.
(10) 
Section 
203(e)(6)(B) 
(19 
U.S.C.
2253(e)(6)(B)) is amended—
(A) by striking ‘‘203(c)’’ and inserting
‘‘202(e)’’; and
(B) by striking ‘‘203(a)’’ and inserting
‘‘202(b)’’.
SEC. 304. EFFECTIVE DATE.
(a) IN GENERAL.—Except as provided in subsection
(b), this subtitle and the amendments made by this sub-
title take effect on the date on which the WTO Agreement
enters into force with respect to the United States.
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(b) SECTION 301(b).—The amendment made by sec-
tion 301(b) takes effect on the date of the enactment of
this Act.
Subtitle B—Foreign Trade Barriers
and Unfair Trade Practices
SEC. 311. IDENTIFICATION OF FOREIGN ANTICOMPETITIVE
PRACTICES.
(a) REPORT TO CONGRESS.—
(1) CONTENTS OF REPORT.—Section 181(b)(2)
of the Trade Act of 1974 (19 U.S.C. 2241(b)(2)) is
amended—
(A) in subparagraph (A) by striking ‘‘or’’
after the comma;
(B) in subparagraph (B) by striking the
period and inserting ‘‘, or’’; and
(C) by adding after subparagraph (B) the
following:
‘‘(C) a section on foreign anticompetitive
practices, the toleration of which by foreign
governments is adversely affecting exports of
United States goods or services.’’.
(2) ASSISTANCE OF OTHER AGENCIES.—Section
181(c) of the Trade Act of 1974 (19 U.S.C.
2241(c)) is amended by adding at the end of para-
graph (1) the following: ‘‘In preparing the section of
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the report required by subsection (b)(2)(C), the
Trade Representative shall consult in particular with
the Attorney General.’’.
SEC. 312. CONSULTATION WITH COMMITTEES.
Section 181(b)(3) of the Trade Act of 1974 (19
U.S.C. 2241(b)(3)) is amended by adding at the end the
following: ‘‘After the submission of the report required by
paragraph (1), the Trade Representative shall also consult
periodically with, and take into account the views of, the
committees described in that paragraph regarding means
to address the foreign trade barriers identified in the re-
port, including the possible initiation of investigations
under section 302 or other trade actions.’’.
SEC. 313. IDENTIFICATION OF COUNTRIES THAT DENY PRO-
TECTION 
OF 
INTELLECTUAL 
PROPERTY
RIGHTS.
Section 182 of the Trade Act of 1974 (19 U.S.C.
2242) is amended—
(1) in subsection (b) by adding at the end the
following:
‘‘(4) In identifying foreign countries under
paragraphs (1) and (2) of subsection (a), the Trade
Representative shall take into account—
‘‘(A) the history of intellectual property
laws and practices of the foreign country, in-
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cluding any previous identification under sub-
section (a)(2), and
‘‘(B) the history of efforts of the United
States, and the response of the foreign country,
to achieve adequate and effective protection and
enforcement of intellectual property rights.’’;
and
(2) in subsection (d)—
(A) in paragraph (3) by amending the
matter preceding subparagraph (A) to read as
follows:
‘‘(3) A foreign country denies fair and equitable
market access if the foreign country effectively de-
nies access to a market for a product protected by
a copyright or related right, patent, trademark,
mask work, trade secret, or plant breeder’s right,
through the use of laws, procedures, practices, or
regulations which—’’; and
(B) by adding at the end the following:
‘‘(4) A foreign country may be determined to
deny adequate and effective protection of intellectual
property rights, notwithstanding the fact that the
foreign country may be in compliance with the spe-
cific obligations of the Agreement on Trade-Related
Aspects of Intellectual Property Rights referred to in
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section 101(d)(15) of the Uruguay Round Agree-
ments Act.’’; and
(3) by adding at the end the following:
‘‘(g) ANNUAL REPORT.—The Trade Representative
shall, by not later than the date by which countries are
identified under subsection (a), transmit to the Committee
on Ways and Means of the House of Representatives and
the Committee on Finance of the Senate, a report on ac-
tions taken under this section during the 12 months pre-
ceding such report, and the reasons for such actions, in-
cluding a description of progress made in achieving im-
proved intellectual property protection and market access
for persons relying on intellectual property rights.’’.
SEC. 314. AMENDMENTS TO TITLE III OF THE TRADE ACT
OF 1974.
(a) SCOPE OF AUTHORITY.—
(1) IN
GENERAL.—Subsections (a)(1) and
(b)(2) of section 301 of the Trade Act of 1974 (19
U.S.C. 2411(a)(1) and (b)(2)) are each amended by
adding the following sentence at the end:
‘‘Actions may be taken that are within the power of the
President with respect to trade in any goods or services,
or with respect to any other area of pertinent relations
with the foreign country.’’.
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(2) IMPORT RESTRICTIONS.—Section 301(c)(5)
of the Trade Act of 1974 (19 U.S.C. 2411(c)(5)) is
amended by striking the matter preceding subpara-
graph (B) and inserting the following:
‘‘(5) If the Trade Representative determines
that actions to be taken under subsection (a) or (b)
are to be in the form of import restrictions, the
Trade Representative shall—
‘‘(A) give preference to the imposition of
duties over the imposition of other import re-
strictions, and’’.
(b) RELATIONSHIP WITH OTHER AUTHORITIES.—
Section 301(c) of the Trade Act of 1974 (19 U.S.C.
2411(c)) is amended—
(1) in paragraph (1)—
(A) in subparagraph (B), by striking ‘‘or’’
after the semicolon at the end;
(B) by redesignating subparagraph (C) as
subparagraph (D); and
(C) by inserting after subparagraph (B)
the following:
‘‘(C) in a case in which the act, policy, or
practice also fails to meet the eligibility criteria
for receiving duty-free treatment under sub-
sections (b) and (c) of section 502 of this Act,
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subsections (b) and (c) of section 212 of the
Caribbean Basin Economic Recovery Act (19
U.S.C. 2702(b) and (c)), or subsections (c) and
(d) of section 203 of the Andean Trade Pref-
erence Act (19 U.S.C. 3202(c) and (d)), with-
draw, limit, or suspend such treatment under
such provisions, notwithstanding the provisions
of subsection (a)(3) of this section; or’’.
(c) DEFINITION OF AN UNREASONABLE ACT, POL-
ICY, OR PRACTICE.—Section 301(d)(3) of the Trade Act
of 1974 (19 U.S.C. 2411(d)(3)) is amended—
(1) 
in 
subparagraph 
(B)(i) 
by 
striking
subclauses (II) and (III) and inserting the following:
‘‘(II) provision of adequate and effec-
tive protection of intellectual property
rights notwithstanding the fact that the
foreign country may be in compliance with
the specific obligations of the Agreement
on Trade-Related Aspects of Intellectual
Property Rights referred to in section
101(d)(15) of the Uruguay Round Agree-
ments Act,
‘‘(III) nondiscriminatory market ac-
cess opportunities for United States per-
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sons that rely upon intellectual property
protection, or
‘‘(IV) market opportunities, including
the toleration by a foreign government of
systematic anticompetitive activities by en-
terprises or among enterprises in the for-
eign country that have the effect of re-
stricting, on a basis that is inconsistent
with commercial considerations, access of
United States goods or services to a for-
eign market,’’; and
(2) by adding at the end the following:
‘‘(F)(i) For the purposes of subparagraph
(B)(i)(II), adequate and effective protection of intel-
lectual property rights includes adequate and effec-
tive means under the laws of the foreign country for
persons who are not citizens or nationals of such
country to secure, exercise, and enforce rights and
enjoy commercial benefits relating to patents, trade-
marks, copyrights and related rights, mask works,
trade secrets, and plant breeder’s rights.
‘‘(ii) For purposes of subparagraph (B)(i)(IV),
the denial of fair and equitable nondiscriminatory
market access opportunities includes restrictions on
market access related to the use, exploitation, or en-
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joyment of commercial benefits derived from exercis-
ing intellectual property rights in protected works or
fixations or products embodying protected works.’’.
(d) TIME LIMITS FOR DETERMINATIONS OF UNFAIR
TRADE PRACTICES.—Section 304(a) of the Trade Act of
1974 (19 U.S.C. 2414(a)) is amended—
(1) in subparagraph (A) of paragraph (2), by
striking ‘‘(other than the agreement on subsidies
and countervailing measures described in section
2(c)(5) of the Trade Agreements Act of 1979)’’,
(2)(A) in subparagraph (A) of paragraph (3),
by inserting ‘‘does not consider that a trade agree-
ment, including the Agreement on Trade-Related As-
pects of Intellectual Property (referred to in section
101(d)(15) of the Uruguay Round Agreements Act),
is involved or’’ after ‘‘the Trade Representative’’ the
first place it appears, and
(B) in subparagraph (B) of paragraph (3), in
the matter preceding clause (i), by striking ‘‘any in-
vestigation initiated by reason of section 302(b)(2)’’
and inserting ‘‘an investigation initiated by reason of
section 302(b)(2) (other than an investigation in-
volving a trade agreement)’’, and
(3) in paragraph (4), by striking ‘‘(other than
the agreement on subsidies and countervailing meas-
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ures described in section 2(c)(5) of the Trade Agree-
ments Act of 1979)’’.
(e) MONITORING OF FOREIGN COMPLIANCE.—Sub-
sections (a) and (b) of section 306 of the Trade Act of
1974 (19 U.S.C. 2416) are amended to read as follows:
‘‘(a) IN GENERAL.—The Trade Representative shall
monitor the implementation of each measure undertaken,
or agreement that is entered into, by a foreign country
to provide a satisfactory resolution of a matter subject to
investigation under this chapter or subject to dispute set-
tlement proceedings to enforce the rights of the United
States under a trade agreement providing for such pro-
ceedings.
‘‘(b) FURTHER ACTION.—
‘‘(1) IN GENERAL.—If, on the basis of the mon-
itoring carried out under subsection (a), the Trade
Representative considers that a foreign country is
not satisfactorily implementing a measure or agree-
ment referred to in subsection (a), the Trade Rep-
resentative shall determine what further action the
Trade Representative shall take under section
301(a). For purposes of section 301, any such deter-
mination shall be treated as a determination made
under section 304(a)(1).’’.
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‘‘(2) 
WTO 
DISPUTE
SETTLEMENT
REC-
OMMENDATIONS.—If the measure or agreement re-
ferred to in subsection (a) concerns the implementa-
tion of a recommendation made pursuant to dispute
settlement proceedings under the World Trade Orga-
nization, and the Trade Representative considers
that the foreign country has failed to implement it,
the Trade Representative shall make the determina-
tion in paragraph (1) no later than 30 days after the
expiration of the reasonable period of time provided
for such implementation under paragraph 21 of the
Understanding on Rules and Procedures Governing
the Settlement of Disputes that is referred to in sec-
tion 101(d)(16) of the Uruguay Round Agreements
Act.’’.
(f) EXTENSION OF SECTION 310 OF THE TRADE ACT
OF 1974.—Section 310 of the Trade Act of 1974 (19
U.S.C. 2420) is amended to read as follows:
‘‘SEC. 310. IDENTIFICATION OF TRADE EXPANSION PRIOR-
ITIES.
‘‘(a) IDENTIFICATION.—
‘‘(1) Within 180 days after the submission in
calendar year 1995 of the report required by section
181(b), the Trade Representative shall—
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‘‘(A) review United States trade expansion
priorities,
‘‘(B) identify priority foreign country prac-
tices, the elimination of which is likely to have
the most significant potential to increase Unit-
ed States exports, either directly or through the
establishment of a beneficial precedent, and
‘‘(C) submit to the Committee on Finance
of the Senate and the Committee on Ways and
Means of the House of Representatives and
publish in the Federal Register a report on the
priority foreign country practices identified.
‘‘(2) In identifying priority foreign country
practices under paragraph (1) of this section, the
Trade Representative shall take into account all rel-
evant factors, including—
‘‘(A) the major barriers and trade distort-
ing practices described in the National Trade
Estimate Report required under section 181(b);
‘‘(B) the trade agreements to which a for-
eign country is a party and its compliance with
those agreements;
‘‘(C) the medium- and long-term implica-
tions of foreign government procurement plans;
and
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‘‘(D) the international competitive position
and export potential of United States products
and services.
‘‘(3) The Trade Representative may include in
the report, if appropriate—
‘‘(A) a description of foreign country prac-
tices that may in the future warrant identifica-
tion as priority foreign country practices; and
‘‘(B) a statement about other foreign coun-
try practices that were not identified because
they are already being addressed by provisions
of United States trade law, by existing bilateral
trade agreements, or as part of trade negotia-
tions with other countries and progress is being
made toward the elimination of such practices.
‘‘(b) INITIATION OF INVESTIGATIONS.—By no later
than the date which is 21 days after the date on which
a report is submitted to the appropriate congressional
committees under subsection (a)(1), the Trade Represent-
ative shall initiate under section 302(b)(1) investigations
under this chapter with respect to all of the priority for-
eign country practices identified.
‘‘(c) AGREEMENTS FOR THE ELIMINATION OF BAR-
RIERS.—In the consultations with a foreign country that
the Trade Representative is required to request under sec-