(B) reduces the rate of duty on an article
to take effect on a date that is more than 10
years after the first reduction that is proclaimed
to carry out a trade agreement with respect to
such article; or
(C) increases any rate of duty above the
rate that applied on January 1, 1996.
(3) AGGREGATE REDUCTION; EXEMPTION FROM
STAGING.—
(A) AGGREGATE
REDUCTION.—Except as
provided in subparagraph (B), the aggregate re-
duction in the rate of duty on any article which
is in effect on any day pursuant to a trade
agreement entered into under paragraph (1)
shall not exceed the aggregate reduction which
would have been in effect on such day if—
(i) a reduction of 3 percent ad valorem
or a reduction of one-tenth of the total re-
duction, whichever is greater, had taken ef-
fect on the effective date of the first reduc-
tion proclaimed under paragraph (1) to
carry out such agreement with respect to
such article; and
(ii) a reduction equal to the amount
applicable under clause (i) had taken effect
at 1-year intervals after the effective date of
such first reduction.
(B) EXEMPTION FROM STAGING.—No stag-
ing is required under subparagraph (A) with re-
spect to a duty reduction that is proclaimed
under paragraph (1) for an article of a kind
that is not produced in the United States. The
United States International Trade Commission
shall advise the President of the identity of arti-
cles that may be exempted from staging under
this subparagraph.
(4) ROUNDING.—If the President determines that
such action will simplify the computation of reduc-
tions under paragraph (3), the President may round
an annual reduction by an amount equal to the lesser
of—
(A) the difference between the reduction
without regard to this paragraph and the next
lower whole number; or
(B) one-half of 1 percent ad valorem.
(5) OTHER LIMITATIONS.—A rate of duty reduc-
tion that may not be proclaimed by reason of para-
graph (2) may take effect only if a provision author-
izing such reduction is included within an imple-
menting bill provided for under section 105 and that
bill is enacted into law.
(6) OTHER
TARIFF
MODIFICATIONS.—Notwith-
standing paragraphs (1)(B) and (2) through (5), and
subject to the consultation and layover requirements
of section 115 of the Uruguay Round Agreements Act,
the President may proclaim the modification of any
duty or staged rate reduction of any duty set forth in
Schedule XX, as defined in section 2(5) of that Act,
if the United States agrees to such modification or
staged rate reduction in a negotiation for the recip-
rocal elimination or harmonization of duties under
the auspices of the World Trade Organization or as
part of an interim agreement leading to the forma-
tion of a regional free-trade area.
(7) AUTHORITY UNDER URUGUAY ROUND AGREE-
MENTS ACT NOT AFFECTED.—Nothing in this sub-
section shall limit the authority provided to the Presi-
dent under section 111(b) of the Uruguay Round
Agreements Act (19 U.S.C. 3521(b)).
(b) AGREEMENTS REGARDING TARIFF AND NONTARIFF
BARRIERS.—
(1) IN GENERAL.—(A) Whenever the President
determines that—
(i) one or more existing duties or any other
import restriction of any foreign country or the
United States or any other barrier to, or other
distortion of, international trade unduly burdens
or restricts the foreign trade of the United States
or adversely affects the United States economy,
or
(ii) the imposition of any such barrier or
distortion is likely to result in such a burden, re-
striction, or effect,
and that the purposes, policies, and objectives of this
title will be promoted thereby, the President may
enter into a trade agreement described in subpara-
graph (B) during the period described in subpara-
graph (C).
(B) The President may enter into a trade agree-
ment under subparagraph (A) with foreign countries
providing for—
(i) the reduction or elimination of a duty,
restriction, barrier, or other distortion described
in subparagraph (A), or
(ii) the prohibition of, or limitation on the
imposition of, such barrier or other distortion.
(C) The President may enter into a trade agree-
ment under this paragraph before—
(i) October 1, 2001, or
(ii) October 1, 2005, if trade authorities
procedures are extended under subsection (c).
(2) CONDITIONS.—A trade agreement may be en-
tered into under this subsection only if such agree-
ment makes progress in meeting the applicable objec-
tives described in section 102 and the President satis-
fies the conditions set forth in section 104.
(3) BILLS QUALIFYING FOR TRADE AUTHORITIES
PROCEDURES.—The provisions of section 151 of the
Trade Act of 1974 (in this title referred to as ‘‘trade
authorities procedures’’) apply to a bill of either
House of Congress consisting only of—
(A) a provision approving a trade agree-
ment entered into under this subsection and ap-
proving the statement of administrative action,
if any, proposed to implement such trade agree-
ment,
(B) provisions directly related to the prin-
cipal trade negotiating objectives set forth in sec-
tion 102(b) achieved in such trade agreement, if
those provisions are necessary for the operation
or implementation of United States rights or ob-
ligations under such trade agreement,