Title: Import Security and Fairness Act
Policy area: Foreign Trade and International Finance

Summary:
Import Security and Fairness Act
This bill excludes imported articles from nonmarket economy countries or countries on the priority watch list from receiving de minimis treatment. De minimis treatment allows imported articles valued under $800 to enter the United States without paying duties, fees, taxes, or interest.
The bill also directs U.S. Customs and Border Protection to collect additional information on merchandise that may qualify for de minimis treatment.

[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[H.R. 6412 Introduced in House (IH)]

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117th CONGRESS
  2d Session
                                H. R. 6412

To exclude products from non-market economy countries and products that 
  are subject to certain enforcement actions from the privilege of de 
minimis treatment under the Tariff Act of 1930, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            January 18, 2022

Mr. Blumenauer introduced the following bill; which was referred to the 
                      Committee on Ways and Means

_______________________________________________________________________

                                 A BILL


 
To exclude products from non-market economy countries and products that 
  are subject to certain enforcement actions from the privilege of de 
minimis treatment under the Tariff Act of 1930, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Import Security and Fairness Act''.

SEC. 2. ADDITIONAL EXCEPTIONS TO EXEMPTIONS FOR DE MINIMIS TREATMENT 
              UNDER THE TARIFF ACT OF 1930.

    Section 321 of the Tariff Act of 1930 (19 U.S.C. 1321) is amended--
            (1) in subsection (a)--
                    (A) in the matter preceding paragraph (1), by 
                striking ``(a) The Secretary'' and inserting ``(a) In 
                General.--The Secretary'';
                    (B) in paragraph (2)(C), by striking ``$800'' and 
                inserting ``except as provided in subsection (b)(1), 
                $800''; and
                    (C) in the matter following such paragraph (2)(C), 
                as so amended--
                            (i) by striking ``subdivision (2)'' each 
                        place it appears and inserting ``paragraph''; 
                        and
                            (ii) by inserting after ``lots'' the 
                        following: ``or is forwarded through a 
                        distribution or processing facility located in 
                        a foreign country'';
            (2) by striking ``(b) The Secretary'' and inserting the 
        following:
    ``(b) Exceptions.--
            ``(1) In general.--The following articles may not be 
        admitted free of duty or tax under the authority provided by 
        subsection (a)(2)(C):
                    ``(A) An article the country of origin of which--
                            ``(i) is a nonmarket economy country (as 
                        such term is defined in section 771(18)); and
                            ``(ii) is a country included in the 
                        priority watch list (as such term is defined in 
                        section 182(g)(3) of the Trade Act of 1974 (19 
                        U.S.C. 2242(g)(3))).
                    ``(B) An article that is subject to an action 
                authorized under section 301(c) of the Trade Act of 
                1974 (19 U.S.C. 2411(c)) or section 232(c) of the Trade 
                Expansion Act of 1962 (19 U.S.C. 1862(c)).
            ``(2) Other exceptions.--The Secretary''; and
            (3) by adding at the end the following:
    ``(c) Definition.--In subsection (a)(2), the term `distribution or 
processing facility' means a facility used primarily for the storage of 
articles that are intended for subsequent shipment.''.

SEC. 3. ADDITIONAL ADMINISTRATIVE PROVISIONS RELATING TO DE MINIMIS 
              TREATMENT UNDER THE TARIFF ACT OF 1930.

    (a) Administrative Exemptions.--Section 321 of the Tariff Act of 
1930 (19 U.S.C. 1321), as amended by section 2, is further amended by 
adding at the end the following:
    ``(c) Submission of Documentation and Information.--
            ``(1) In general.--For any articles that may qualify for an 
        administrative exemption pursuant to subsection (a)(2), the 
        Secretary of the Treasury is authorized to prescribe 
        regulations to authorize or require the submission, 
        transmission, or otherwise making available of such 
        documentation or information to U.S. Customs and Border 
        Protection as the Secretary determines is reasonably necessary 
        for U.S. Customs and Border Protection to determine the 
        eligibility of such articles to qualify for such exemption.
            ``(2) Matters to be included.--The regulations prescribed 
        pursuant to paragraph (1) may provide that such documentation 
        or information include documentation or information regarding 
        the offer for sale or purchase, or the subsequent sale, 
        purchase, transportation, importation or warehousing of such 
        articles, including such documentation or information relating 
        to the offering of such articles for sale or purchase in the 
        United States through a commercial or marketing platform, 
        including an electronic commercial or marketing platform.  
            ``(3) Veracity of documentation and information.--
                    ``(A) In general.--The regulations prescribed 
                pursuant to paragraph (1) shall provide that--
                            ``(i) such documentation or information is 
                        true and correct to the best of the knowledge 
                        and belief of the party submitting, 
                        transmitting, or otherwise making available 
                        such documentation or information, subject to 
                        any penalties authorized by law; or
                            ``(ii)   if such party is not able to 
                        reasonably verify whether such documentation or 
                        information is true and correct to the best of 
                        the knowledge and belief of the party, such 
                        documentation or information may be submitted, 
                        transmitted, or otherwise made available on the 
                        basis of what the party reasonably believes to 
                        be true and correct.
                    ``(B) Use for any lawful purpose.-- Such 
                documentation or information may be used by U.S. 
                Customs and Border Protection for any lawful purpose.
            ``(4) Civil penalties.--Any person who violates the 
        regulations prescribed pursuant to paragraph (1) is liable for 
        a civil penalty of $5,000 for the first violation, and $10,000 
        for each subsequent violation. A penalty imposed under this 
        paragraph is in addition to any other penalty provided by law.
    ``(d) Importations Involving Suspended or Debarred Persons.--The 
Secretary of the Treasury is authorized to prescribe regulations to 
authorize exceptions to any administrative exemption pursuant to 
subsection (a) for any articles the importation of which is caused or 
otherwise facilitated by any person suspended or debarred from doing 
business with the Federal Government at the time of the importation.''.
    (b) Examination of Merchandise.--Section 499(c) of the Tariff Act 
of 1930 (19 U.S.C. 1499(c)) is amended--
            (1) by striking ``the Customs Service'' each place it 
        appears and inserting ``U.S. Customs and Border Protection''; 
        and
            (2) in paragraph (2)--
                    (A) in the first sentence, by striking ``The 
                Customs Service'' and inserting the following:
                    ``(A) In general.--U.S. Customs and Border 
                Protection'';
                    (B) in the second sentence--
                            (i) by striking ``The'' and inserting the 
                        following:
                    ``(B) Information to be included.--The''; and
                            (ii) by redesignating the subsequent 
                        subparagraphs (A), (B), (C), (D), and (E) as 
                        clauses (i), (ii), (iii), (iv), and (v), 
                        respectively, and moving the margins of such 
                        clauses, as redesignated, 2 ems to the right; 
                        and
                    (C) by adding at the end the following:
                    ``(C) Additional requirements relating to 
                merchandise that may qualify for certain administrative 
                exemptions.--
                            ``(i) In general.--In the case of detained 
                        merchandise that may qualify for an 
                        administrative exemption pursuant to section 
                        321(a)(2)(C), U.S. Customs and Border 
                        Protection shall issue such notice to each 
                        party that U.S. Customs and Border Protections 
                        determines may have an interest in the detained 
                        merchandise, based on information reasonably 
                        available to U.S. Customs and Border 
                        Protection, in such form and manner as the 
                        Secretary of the Treasury shall by regulation 
                        prescribe.  
                            ``(ii) Voluntary abandonment of 
                        merchandise.--In the case of detained 
                        merchandise that may qualify for an 
                        administrative exemption pursuant to section 
                        321(a)(2)(C), such notice shall also advise 
                        each such interested party that, in lieu of 
                        supplying information to U.S. Customs and 
                        Border Protection in accordance with 
                        subparagraph (B)(v), the interested parties may 
                        voluntarily abandon the detained merchandise.  
                            ``(iii) Abandonment due to lack of 
                        response.--If U.S. Customs and Border 
                        Protection does not receive a response from 
                        each interested party in detained merchandise 
                        that may qualify for an administrative 
                        exemption pursuant to section 321(a)(2)(C) 
                        within 15 days of the date on which such notice 
                        is issued to the interested parties, the 
                        merchandise shall be deemed to be abandoned and 
                        title to such merchandise shall be vested in 
                        the United States and disposed of in accordance 
                        with law.''.

SEC. 4. EFFECTIVE DATE.

    The amendments made by this Act shall apply with respect to 
articles entered, or withdrawn from warehouse for consumption, on or 
after the 15th day after the date of the enactment of this Act.
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