ANTE Act

Bill: 118-hr-9724
Sponsor: full_name: Rep. Arrington, Jodey C. [R-TX-19]
Introduced: 2024-09-20
Policy area: Foreign Trade and International Finance
Latest action: action_date: 2024-12-17
text: Referred to the Subcommittee on Trade.

Summaries:

tv_txt: I 118th CONGRESS 2d Session H. R. 9724 IN THE HOUSE OF REPRESENTATIVES September 20, 2024 Mr. Arrington (for himself, Mr. Ferguson , Mr. Moore of Utah , and Mr. Guthrie ) introduced the following bill; which was referred to the Committee on Ways and Means , and in addition to the Committee on Rules , for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned A BILL To provide additional authority of the United States International Trade Commission under section 301 of the Trade Act of 1974.

1. Short title This Act may be cited as the Axing Non-market Tariff Evasion Act or ANTE Act . 2. Additional authority of the United States International Trade Commission under section 301 of the Trade Act of 1974 Section 301 of the Trade Act of 1974 ( 19 U.S.C. 2411 ) is amended by adding at the end the following: (e) Additional authority of the USITC (1) In general The United States International Trade Commission is authorized to investigate whether entities controlled by the governments of non-market economy countries are establishing or planning to establish investments in third countries to evade tariffs imposed under this section on the non-market economy. If the Commission makes an affirmative determination, it can recommend a trade remedy to the President or Congress against the third-country investment equal to the value of the tariff imposed under this section on the relevant product exported from the non-market economy country. (2) Non-market economy countries defined For purposes of this subsection, the term “non-market economy countries” means those countries listed on both— (A) the Department of Commerce’s International Trade Administration’s determination pertinent to section 771(18) of the Tariff Act of 1930; and (B) the Office of the United States Trade Representative’s Special 301 Priority Watch List . (3) Matters relating to investigations (A) An investigation under this subsection may be requested by— (i) industry petitioners; (ii) the Office of the United States Trade Representative; or (iii) Congress. (B) If the Commission determines that there is a reasonable indication that an investment or planned investment by a non-market entity in a third country is established or planned to be established in a third country to evade United States tariffs, the Commission may initiate the investigation under this subsection. (C) The Commission shall determine— (i) if an investigation is germane not later than 45 days after the petitioner’s request; and (ii) if a remedy is warranted not later than 180 days after making a determination under clause (i). (D) During its investigation, the Commission shall make an affirmative determination of tariff evasion if it is found that the third country investment is— (i) being established or acquired by an entity owned by, controlled by, or subject to the jurisdiction or direction of a non-market economy country; (ii) producing or planning to produce a good subject to a Section 301 tariff, but not subject to an exclusion, on the non-market economy country; and (iii) exporting or planning on exporting this good to the United States. (4) Matters relating to determinations (A) If the Commission determines that an entity controlled by a non-market economy country is establishing or planning to establish an investment in a third country to evade paying United States tariffs on the non-market economy country, the Commission may recommend a remedy against the investment itself or broad imports of the product in question from the third country. (B) If the Commission determines that action should be taken against imports only from the third country investment, the President may unilaterally impose a retaliatory measure exclusively against the third-country investment. This action can be reactively taken if the third country facility has recently begun production, or proactively taken if the non-market entity has immediate plans to establish production in the third country. If the President does not act against the entity after an affirmative the Commission’s determination, the President shall submit feedback to Congress explaining why the decision was not taken, expressing the social and economic impacts of not taking action. (C) If the Commission determines that action should be taken against broad imports from the third country in which the non-market-controlled entity is operating or planning to go into operation, the Commission shall submit this determination to the House Ways and Means Committee and Senate Finance Committee and recommend congressional action. Once a Member introduces a joint resolution of approval described in paragraph (5) in either Chamber, the resolution would be subject to an automatic discharge from both committees of jurisdiction and the resolution would be decided without debate in the Senate. Under this proposal, the President would not have the unilateral ability under this section to proactively place tariffs on a wide range of products from the third country, if the third country has not previously been determined to be engaging in an unfair trade practice as defined by this section. (D) If a remedy is enacted by the President or Congress, the policy shall last between three-to-eight years, subject to the discretion of the Commission. One year before the remedy is set to expire, the Commission shall review whether the circumstance or threat of tariff evasion has been diminished because of the action, following the criteria the Commission would be required to use to make the original determination. If the circumstance or threat has not diminished, the Commission may recommend continuing the remedy. (5) Joint resolution of approval (A) An action to adjust imports proposed by the President in a report submitted to Congress under paragraph (4)(C) shall have force and effect only if, during the period of 60 calendar days beginning on the date on which the report is submitted, a joint resolution of approval is enacted pursuant to subparagraph (B). (B) In this subparagraph, the term ‘joint resolution of approval’ means only a joint resolution of either House of Congress— (i) the title of which is as follows: ‘A joint resolution approving the proposal of the President to take an action relating to the adjustment of imports entering into the United States in such quantities or under such circumstances as to threaten or impair the national security.’; and (ii) the sole matter after the resolving clause of which is the following: ‘Congress approves of the proposal of the President relating to the adjustment of imports to protect the national security as described in the report submitted to Congress under section 301(e) of the Trade Act of 1974 on _____ relating to _____.’, with the first blank space being filled with the appropriate date and the second blank space being filled with a short description of the proposed action. (C) During the period of 60 calendar days provided for under subparagraph (A), a joint resolution of approval may be introduced in either House by any Member. (D) (i) A joint resolution of approval introduced in the House of Representatives shall be referred to the Committee on Ways and Means. (ii) If the Committee on Ways and Means has not reported the joint resolution of approval within 10 calendar days after the date of referral, the Committee shall be discharged from further consideration of the joint resolution. (iii) Beginning on the third legislative day after the Committee on Ways and Means reports the joint resolution of approval to the House or has been discharged from further consideration thereof, it shall be in order to move to proceed to consider the joint resolution in the House. All points of order against the motion are waived. Such a motion shall not be in order after the House has disposed of a motion to proceed on the joint resolution. The previous question shall be considered as ordered on the motion to its adoption without intervening motion. The motion shall not be debatable. A motion to reconsider the vote by which the motion is disposed of shall not be in order. (iv) The joint resolution of approval shall be considered as read. All points of order against the joint resolution and against its consideration are waived. The previous question shall be considered as ordered on the joint resolution to final passage without intervening motion except 2 hours of debate equally divided and controlled by the sponsor of the joint resolution (or a designee) and an opponent. A motion to reconsider the vote on passage of the joint resolution shall not be in order. (E) (i) A joint resolution of approval introduced in the Senate shall be referred to the Committee on Finance. (ii) If the Committee on Finance has not reported the joint resolution of approval within 10 calendar days after the date of referral of the joint resolution, the Committee shall be discharged from further consideration of the joint resolution and the joint resolution shall be placed on the appropriate calendar. (iii) Notwithstanding Rule XXII of the Standing Rules of the Senate, it is in order at any time after the Committee on Finance reports a joint resolution of approval or has been discharged from consideration of such a joint resolution to move to proceed to the consideration of the joint resolution. The motion to proceed is not debatable. The motion is not subject to a motion to postpone. A motion to reconsider the vote by which the motion is agreed to or disagreed to shall not be in order. (iv) Appeals from the decisions of the Chair relating to the application of the rules of the Senate to the procedure relating to a joint resolution of approval shall be decided by the Senate without debate. (F) (i) Except as provided in clause (ii), a joint resolution of approval that has passed the House of Representatives shall, when received in the Senate, be referred to the Committee on Finance for consideration in accordance with subparagraph (D). (ii) If a joint resolution of approval was introduced in the Senate before receipt of a joint resolution of approval that has passed the House of Representatives— (I) the joint resolution from the House of Representatives shall, when received in the Senate, be placed on the calendar; and (II) the procedures in the Senate with respect to a joint resolution of approval introduced in the Senate shall be the same as if no joint resolution of approval had been received from the House of Representatives, except that the vote on passage in the Senate shall be on the joint resolution that passed the House of Representatives. (iii) If the Senate passes a joint resolution of approval before receiving a joint resolution of approval from the House of Representatives, the joint resolution of the Senate shall be held at the desk pending receipt of the joint resolution from the House of Representatives. Upon receipt of the joint resolution of approval from the House of Representatives, such joint resolution shall be deemed to be read twice, considered, read the third time, and passed. (iv) If the Senate receives a joint resolution of approval from the House of Representatives, and no joint resolution of approval has been introduced in the Senate, the procedures described in subparagraph (E) shall apply to consideration of the joint resolution of the House. (G) This subparagraph is enacted by Congress— (i) as an exercise of the rulemaking power of the Senate and the House of Representatives, respectively, and as such is deemed a part of the rules of each House, respectively, and supersedes other rules only to the extent that it is inconsistent with such rules; and (ii) with full recognition of the constitutional right of either House to change the rules (so far as relating to the procedure of that House) at any time, in the same manner, and to the same extent as in the case of any other rule of that House. .