Public Law 106-200

PUBLIC LAW 106–200—MAY 18, 2000

114 STAT. 251

Public Law 106–200
106th Congress
An Act
To authorize a new trade and investment policy for sub-Saharan Africa, expand
trade benefits to the countries in the Caribbean Basin, renew the generalized
system of preferences, and reauthorize the trade adjustment assistance programs.

Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

(a) SHORT TITLE.—This Act may be cited as the ‘‘Trade and
Development Act of 2000’’.
(b) TABLE OF CONTENTS.—The table of contents for this Act
is as follows:

May 18, 2000
[H.R. 434]

Trade and
Development Act
of 2000.
19 USC 3701
note.

TITLE I—EXTENSION OF CERTAIN TRADE BENEFITS TO SUB-SAHARAN
AFRICA
Subtitle A—Trade Policy for Sub-Saharan Africa
Short title; table of contents.
Findings.
Statement of policy.
Eligibility requirements.
United States-Sub-Saharan Africa Trade and Economic Cooperation
Forum.
Sec. 106. Reporting requirement.
Sec. 107. Sub-Saharan Africa defined.
Sec.
Sec.
Sec.
Sec.
Sec.

101.
102.
103.
104.
105.

Sec.
Sec.
Sec.
Sec.
Sec.
Sec.
Sec.

111.
112.
113.
114.
115.
116.
117.

Subtitle B—Trade Benefits
Eligibility for certain benefits.
Treatment of certain textiles and apparel.
Protections against transshipment.
Termination.
Clerical amendments.
Free trade agreements with sub-Saharan African countries.
Assistant United States Trade Representative for African Affairs.

Subtitle C—Economic Development Related Issues
Sec. 121. Sense of the Congress regarding comprehensive debt relief for the world’s
poorest countries.
Sec. 122. Executive branch initiatives.
Sec. 123. Overseas Private Investment Corporation initiatives.
Sec. 124. Export-Import Bank initiatives.
Sec. 125. Expansion of the United States and Foreign Commercial Service in subSaharan Africa.
Sec. 126. Donation of air traffic control equipment to eligible sub-Saharan African
countries.
Sec. 127. Additional authorities and increased flexibility to provide assistance
under the Development Fund for Africa.
Sec. 128. Assistance from United States private sector to prevent and reduce HIV/
AIDS in sub-Saharan Africa.
Sec. 129. Sense of the Congress relating to HIV/AIDS crisis in sub-Saharan Africa.
Sec. 130. Study on improving African agricultural practices.
Sec. 131. Sense of the Congress regarding efforts to combat desertification in Africa
and other countries.

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114 STAT. 252

PUBLIC LAW 106–200—MAY 18, 2000
TITLE II—TRADE BENEFITS FOR CARIBBEAN BASIN

Subtitle A—Trade Policy for Caribbean Basin Countries
Sec. 201. Short title.
Sec. 202. Findings and policy.
Sec. 203. Definitions.
Subtitle B—Trade Benefits for Caribbean Basin Countries
Sec. 211. Temporary provisions to provide additional trade benefits to certain beneficiary countries.
Sec. 212. Duty-free treatment for certain beverages made with Caribbean rum.
Sec. 213. Meetings of trade ministers and USTR.
TITLE III—NORMAL TRADE RELATIONS
Sec. 301. Normal trade relations for Albania.
Sec. 302. Normal trade relations for Kyrgyzstan.
Sec.
Sec.
Sec.
Sec.
Sec.
Sec.
Sec.
Sec.

401.
402.
403.
404.
405.
406.
407.
408.

Sec.
Sec.
Sec.
Sec.

409.
410.
411.
412.

TITLE IV—OTHER TRADE PROVISIONS
Report on employment and trade adjustment assistance.
Trade adjustment assistance.
Reliquidation of certain nuclear fuel assemblies.
Reports to the Finance and Ways and Means committees.
Clarification of section 334 of the Uruguay Round Agreements Act.
Chief agricultural negotiator.
Revision of retaliation list or other remedial action.
Report on trade adjustment assistance for agricultural commodity producers.
Agricultural trade negotiating objectives and consultations with Congress.
Entry procedures for foreign trade zone operations.
Goods made with forced or indentured child labor.
Worst forms of child labor.

TITLE V—IMPORTS OF CERTAIN WOOL ARTICLES
Sec. 501. Temporary duty reductions.
Sec. 502. Temporary duty suspensions.
Sec. 503. Separate tariff line treatment for wool yarn and men’s or boys’ suits and
suit-type jackets and trousers of worsted wool fabric.
Sec. 504. Monitoring of market conditions and authority to modify tariff reductions.
Sec. 505. Refund of duties paid on imports of certain wool articles.
Sec. 506. Wool research, development, and promotion trust fund.
TITLE VI—REVENUE PROVISIONS
Sec. 601. Application of denial of foreign tax credit regarding trade and investment
with respect to certain foreign countries.
Sec. 602. Acceleration of cover over payments to Puerto Rico and Virgin Islands.
African Growth
and Opportunity
Act.

TITLE
I—EXTENSION
OF
CERTAIN
TRADE BENEFITS TO SUB-SAHARAN
AFRICA
Subtitle A—Trade Policy for Sub-Saharan
Africa

19 USC 3701
note.

SEC. 101. SHORT TITLE.

19 USC 3701.

SEC. 102. FINDINGS.

This title may be cited as the ‘‘African Growth and Opportunity
Act’’.
Congress finds that—
(1) it is in the mutual interest of the United States and
the countries of sub-Saharan Africa to promote stable and
sustainable economic growth and development in sub-Saharan
Africa;

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PUBLIC LAW 106–200—MAY 18, 2000

114 STAT. 253

(2) the 48 countries of sub-Saharan Africa form a region
richly endowed with both natural and human resources;
(3) sub-Saharan Africa represents a region of enormous
economic potential and of enduring political significance to the
United States;
(4) the region has experienced the strengthening of democracy as countries in sub-Saharan Africa have taken steps to
encourage broader participation in the political process;
(5) certain countries in sub-Saharan Africa have increased
their economic growth rates, taken significant steps towards
liberalizing their economies, and made progress toward regional
economic integration that can have positive benefits for the
region;
(6) despite those gains, the per capita income in sub-Saharan Africa averages approximately $500 annually;
(7) trade and investment, as the American experience has
shown, can represent powerful tools both for economic development and for encouraging broader participation in a political
process in which political freedom can flourish;
(8) increased trade and investment flows have the greatest
impact in an economic environment in which trading partners
eliminate barriers to trade and capital flows and encourage
the development of a vibrant private sector that offers individual African citizens the freedom to expand their economic
opportunities and provide for their families;
(9) offering the countries of sub-Saharan Africa enhanced
trade preferences will encourage both higher levels of trade
and direct investment in support of the positive economic and
political developments under way throughout the region; and
(10) encouraging the reciprocal reduction of trade and
investment barriers in Africa will enhance the benefits of trade
and investment for the region as well as enhance commercial
and political ties between the United States and sub-Saharan
Africa.
SEC. 103. STATEMENT OF POLICY.

19 USC 3702.

Congress supports—
(1) encouraging increased trade and investment between
the United States and sub-Saharan Africa;
(2) reducing tariff and nontariff barriers and other obstacles
to sub-Saharan African and United States trade;
(3) expanding United States assistance to sub-Saharan
Africa’s regional integration efforts;
(4) negotiating reciprocal and mutually beneficial trade
agreements, including the possibility of establishing free trade
areas that serve the interests of both the United States and
the countries of sub-Saharan Africa;
(5) focusing on countries committed to the rule of law,
economic reform, and the eradication of poverty;
(6) strengthening and expanding the private sector in subSaharan Africa, especially enterprises owned by women and
small businesses;
(7) facilitating the development of civil societies and political freedom in sub-Saharan Africa;
(8) establishing a United States-Sub-Saharan Africa Trade
and Economic Cooperation Forum; and

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114 STAT. 254

PUBLIC LAW 106–200—MAY 18, 2000
(9) the accession of the countries in sub-Saharan Africa
to the Organization for Economic Cooperation and Development
(OECD) Convention on Combating Bribery of Foreign Public
Officials in International Business Transactions.

President.
19 USC 3703.

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SEC. 104. ELIGIBILITY REQUIREMENTS.

(a) IN GENERAL.—The President is authorized to designate a
sub-Saharan African country as an eligible sub-Saharan African
country if the President determines that the country—
(1) has established, or is making continual progress toward
establishing—
(A) a market-based economy that protects private property rights, incorporates an open rules-based trading
system, and minimizes government interference in the
economy through measures such as price controls, subsidies, and government ownership of economic assets;
(B) the rule of law, political pluralism, and the right
to due process, a fair trial, and equal protection under
the law;
(C) the elimination of barriers to United States trade
and investment, including by—
(i) the provision of national treatment and measures to create an environment conducive to domestic
and foreign investment;
(ii) the protection of intellectual property; and
(iii) the resolution of bilateral trade and investment disputes;
(D) economic policies to reduce poverty, increase the
availability of health care and educational opportunities,
expand physical infrastructure, promote the development
of private enterprise, and encourage the formation of capital markets through micro-credit or other programs;
(E) a system to combat corruption and bribery, such
as signing and implementing the Convention on Combating
Bribery of Foreign Public Officials in International Business Transactions; and
(F) protection of internationally recognized worker
rights, including the right of association, the right to organize and bargain collectively, a prohibition on the use of
any form of forced or compulsory labor, a minimum age
for the employment of children, and acceptable conditions
of work with respect to minimum wages, hours of work,
and occupational safety and health;
(2) does not engage in activities that undermine United
States national security or foreign policy interests; and
(3) does not engage in gross violations of internationally
recognized human rights or provide support for acts of international terrorism and cooperates in international efforts to
eliminate human rights violations and terrorist activities.
(b) CONTINUING COMPLIANCE.—If the President determines that
an eligible sub-Saharan African country is not making continual
progress in meeting the requirements described in subsection (a)(1),
the President shall terminate the designation of the country made
pursuant to subsection (a).

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PUBLIC LAW 106–200—MAY 18, 2000

114 STAT. 255

SEC. 105. UNITED STATES-SUB-SAHARAN AFRICA TRADE AND ECONOMIC COOPERATION FORUM.

(a) DECLARATION OF POLICY.—The President shall convene
annual high-level meetings between appropriate officials of the
United States Government and officials of the governments of subSaharan African countries in order to foster close economic ties
between the United States and sub-Saharan Africa.
(b) ESTABLISHMENT.—Not later than 12 months after the date
of the enactment of this Act, the President, after consulting with
Congress and the governments concerned, shall establish a United
States-Sub-Saharan Africa Trade and Economic Cooperation Forum
(in this section referred to as the ‘‘Forum’’).
(c) REQUIREMENTS.—In creating the Forum, the President shall
meet the following requirements:
(1) The President shall direct the Secretary of Commerce,
the Secretary of the Treasury, the Secretary of State, and
the United States Trade Representative to host the first annual
meeting with their counterparts from the governments of subSaharan African countries eligible under section 104, and those
sub-Saharan African countries that the President determines
are taking substantial positive steps towards meeting the eligibility requirements in section 104. The purpose of the meeting
shall be to discuss expanding trade and investment relations
between the United States and sub-Saharan Africa and the
implementation of this title including encouraging joint ventures between small and large businesses. The President shall
also direct the Secretaries and the United States Trade Representative to invite to the meeting representatives from appropriate sub-Saharan African regional organizations and government officials from other appropriate countries in sub-Saharan
Africa.
(2)(A) The President, in consultation with the Congress,
shall encourage United States nongovernmental organizations
to host annual meetings with nongovernmental organizations
from sub-Saharan Africa in conjunction with the annual
meetings of the Forum for the purpose of discussing the issues
described in paragraph (1).
(B) The President, in consultation with the Congress, shall
encourage United States representatives of the private sector
to host annual meetings with representatives of the private
sector from sub-Saharan Africa in conjunction with the annual
meetings of the Forum for the purpose of discussing the issues
described in paragraph (1).
(3) The President shall, to the extent practicable, meet
with the heads of governments of sub-Saharan African countries
eligible under section 104, and those sub-Saharan African countries that the President determines are taking substantial positive steps toward meeting the eligibility requirements in section
104, not less than once every 2 years for the purpose of discussing the issues described in paragraph (1). The first such
meeting should take place not later than 12 months after
the date of the enactment of this Act.
(d) DISSEMINATION OF INFORMATION BY USIS.—In order to
assist in carrying out the purposes of the Forum, the United States
Information Service shall disseminate regularly, through multiple
media, economic information in support of the free market economic
reforms described in this title.

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President.
19 USC 3704.

Deadline.

Deadline.

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114 STAT. 256

PUBLIC LAW 106–200—MAY 18, 2000

(e) HIV/AIDS EFFECT ON THE SUB-SAHARAN AFRICAN
WORKFORCE.—In selecting issues of common interest to the United
States-Sub-Saharan Africa Trade and Economic Cooperation Forum,
the President shall instruct the United States delegates to the
Forum to promote a review by the Forum of the HIV/AIDS epidemic
in each sub-Saharan African country and the effect of the HIV/
AIDS epidemic on economic development in each country.
President.
Deadline.
19 USC 3705.

SEC. 106. REPORTING REQUIREMENT.

19 USC 3706.

SEC. 107. SUB-SAHARAN AFRICA DEFINED.

The President shall submit to the Congress, not later than
1 year after the date of the enactment of this Act, and annually
thereafter through 2008, a comprehensive report on the trade and
investment policy of the United States for sub-Saharan Africa,
and on the implementation of this title and the amendments made
by this title.
For purposes of this title, the terms ‘‘sub-Saharan Africa’’,
‘‘sub-Saharan African country’’, ‘‘country in sub-Saharan Africa’’,
and ‘‘countries in sub-Saharan Africa’’ refer to the following or
any successor political entities:
Republic of Angola (Angola).
Republic of Benin (Benin).
Republic of Botswana (Botswana).
Burkina Faso (Burkina).
Republic of Burundi (Burundi).
Republic of Cameroon (Cameroon).
Republic of Cape Verde (Cape Verde).
Central African Republic.
Republic of Chad (Chad).
Federal Islamic Republic of the Comoros (Comoros).
Democratic Republic of Congo.
Republic of the
ˆ Congo (Congo).
ˆ
Republic of Cote d’Ivoire (Cote d’Ivoire).
Republic of Djibouti (Djibouti).
Republic of Equatorial Guinea (Equatorial Guinea).
State of Eritrea (Eritrea).
Ethiopia.
Gabonese Republic (Gabon).
Republic of the Gambia (Gambia).
Republic of Ghana (Ghana).
Republic of Guinea (Guinea).
Republic of Guinea-Bissau (Guinea-Bissau).
Republic of Kenya (Kenya).
Kingdom of Lesotho (Lesotho).
Republic of Liberia (Liberia).
Republic of Madagascar (Madagascar).
Republic of Malawi (Malawi).
Republic of Mali (Mali).
Islamic Republic of Mauritania (Mauritania).
Republic of Mauritius (Mauritius).
Republic of Mozambique (Mozambique).
Republic of Namibia (Namibia).
Republic of Niger (Niger).
Federal Republic of Nigeria (Nigeria).
Republic of Rwanda (Rwanda). ´
´
Democratic Republic of Sao Tome and Principe (Sao Tome
and Principe).

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PUBLIC LAW 106–200—MAY 18, 2000

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Republic of Senegal (Senegal).
Republic of Seychelles (Seychelles).
Republic of Sierra Leone (Sierra Leone).
Somalia.
Republic of South Africa (South Africa).
Republic of Sudan (Sudan).
Kingdom of Swaziland (Swaziland).
United Republic of Tanzania (Tanzania).
Republic of Togo (Togo).
Republic of Uganda (Uganda).
Republic of Zambia (Zambia).
Republic of Zimbabwe (Zimbabwe).

Subtitle B—Trade Benefits
SEC. 111. ELIGIBILITY FOR CERTAIN BENEFITS.

(a) IN GENERAL.—Title V of the Trade Act of 1974 is amended
by inserting after section 506 the following new section:
‘‘SEC. 506A. DESIGNATION OF SUB-SAHARAN AFRICAN COUNTRIES FOR
CERTAIN BENEFITS.

19 USC 2466a.

‘‘(a) AUTHORITY TO DESIGNATE.—
‘‘(1) IN GENERAL.—Notwithstanding any other provision of
law, the President is authorized to designate a country listed
in section 107 of the African Growth and Opportunity Act
as a beneficiary sub-Saharan African country eligible for the
benefits described in subsection (b)—
‘‘(A) if the President determines that the country meets
the eligibility requirements set forth in section 104 of that
Act, as such requirements are in effect on the date of
the enactment of that Act; and
‘‘(B) subject to the authority granted to the President
under subsections (a), (d), and (e) of section 502, if the
country otherwise meets the eligibility criteria set forth
in section 502.
‘‘(2) MONITORING AND REVIEW OF CERTAIN COUNTRIES.—
The President shall monitor, review, and report to Congress
annually on the progress of each country listed in section 107
of the African Growth and Opportunity Act in meeting the
requirements described in paragraph (1) in order to determine
the current or potential eligibility of each country to be designated as a beneficiary sub-Saharan African country for purposes of this section. The President’s determinations, and explanations of such determinations, with specific analysis of the
eligibility requirements described in paragraph (1)(A), shall
be included in the annual report required by section 106 of
the African Growth and Opportunity Act.
‘‘(3) CONTINUING COMPLIANCE.—If the President determines
that a beneficiary sub-Saharan African country is not making
continual progress in meeting the requirements described in
paragraph (1), the President shall terminate the designation
of that country as a beneficiary sub-Saharan African country
for purposes of this section, effective on January 1 of the
year following the year in which such determination is made.
‘‘(b) PREFERENTIAL TARIFF TREATMENT FOR CERTAIN ARTICLES.—

President.

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114 STAT. 258

PUBLIC LAW 106–200—MAY 18, 2000

‘‘(1) IN GENERAL.—The President may provide duty-free
treatment for any article described in section 503(b)(1)(B)
through (G) that is the growth, product, or manufacture of
a beneficiary sub-Saharan African country described in subsection (a), if, after receiving the advice of the International
Trade Commission in accordance with section 503(e), the President determines that such article is not import-sensitive in
the context of imports from beneficiary sub-Saharan African
countries.
‘‘(2) RULES OF ORIGIN.—The duty-free treatment provided
under paragraph (1) shall apply to any article described in
that paragraph that meets the requirements of section
503(a)(2), except that—
‘‘(A) if the cost or value of materials produced in the
customs territory of the United States is included with
respect to that article, an amount not to exceed 15 percent
of the appraised value of the article at the time it is
entered that is attributed to such United States cost or
value may be applied toward determining the percentage
referred to in subparagraph (A) of section 503(a)(2); and
‘‘(B) the cost or value of the materials included with
respect to that article that are produced in one or more
beneficiary sub-Saharan African countries shall be applied
in determining such percentage.
‘‘(c) BENEFICIARY SUB-SAHARAN AFRICAN COUNTRIES, ETC.—
For purposes of this title, the terms ‘beneficiary sub-Saharan African country’ and ‘beneficiary sub-Saharan African countries’ mean
a country or countries listed in section 107 of the African Growth
and Opportunity Act that the President has determined is eligible
under subsection (a) of this section.’’.
(b) WAIVER OF COMPETITIVE NEED LIMITATION.—Section
503(c)(2)(D) of the Trade Act of 1974 (19 U.S.C. 2463(c)(2)(D))
is amended to read as follows:
‘‘(D) LEAST-DEVELOPED BENEFICIARY DEVELOPING COUNTRIES AND BENEFICIARY SUB-SAHARAN AFRICAN COUNTRIES.—Subparagraph (A) shall not apply to any leastdeveloped beneficiary developing country or any beneficiary
sub-Saharan African country.’’.
19 USC 3721.

SEC. 112. TREATMENT OF CERTAIN TEXTILES AND APPAREL.

(a) PREFERENTIAL TREATMENT.—Textile and apparel articles
described in subsection (b) that are imported directly into the customs territory of the United States from a beneficiary sub-Saharan
African country described in section 506A(c) of the Trade Act of
1974, shall enter the United States free of duty and free of any
quantitative limitations in accordance with the provisions set forth
in subsection (b), if the country has satisfied the requirements
set forth in section 113.
(b) PRODUCTS COVERED.—The preferential treatment described
in subsection (a) shall apply only to the following textile and apparel
products:
(1) APPAREL ARTICLES ASSEMBLED IN BENEFICIARY SUBSAHARAN AFRICAN COUNTRIES.—Apparel articles assembled in
one or more beneficiary sub-Saharan African countries from
fabrics wholly formed and cut in the United States, from yarns
wholly formed in the United States, (including fabrics not
formed from yarns, if such fabrics are classifiable under heading

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5602 or 5603 of the Harmonized Tariff Schedule of the United
States and are wholly formed and cut in the United States)
that are—
(A) entered under subheading 9802.00.80 of the Harmonized Tariff Schedule of the United States; or
(B) entered under chapter 61 or 62 of the Harmonized
Tariff Schedule of the United States, if, after such
assembly, the articles would have qualified for entry under
subheading 9802.00.80 of the Harmonized Tariff Schedule
of the United States but for the fact that the articles
were embroidered or subjected to stone-washing, enzymewashing, acid washing, perma-pressing, oven-baking,
bleaching, garment-dyeing, screen printing, or other similar
processes.
(2) APPAREL ARTICLES CUT AND ASSEMBLED IN BENEFICIARY
SUB-SAHARAN AFRICAN COUNTRIES.—Apparel articles cut in one
or more beneficiary sub-Saharan African countries from fabric
wholly formed in the United States from yarns wholly formed
in the United States, (including fabrics not formed from yarns,
if such fabrics are classifiable under heading 5602 or 5603
of the Harmonized Tariff Schedule of the United States and
are wholly formed in the United States) if such articles are
assembled in one or more beneficiary sub-Saharan African countries with thread formed in the United States.
(3) APPAREL ARTICLES ASSEMBLED FROM REGIONAL AND
OTHER FABRIC.—Apparel articles wholly assembled in one or
more beneficiary sub-Saharan African countries from fabric
wholly formed in one or more beneficiary sub-Saharan African
countries from yarn originating either in the United States
or one or more beneficiary sub-Saharan African countries
(including fabrics not formed from yarns, if such fabrics are
classifiable under heading 5602 or 5603 of the Harmonized
Tariff Schedule of the United States and are wholly formed
and cut in one or more beneficiary sub-Saharan African countries), subject to the following:
(A) LIMITATIONS ON BENEFITS.—
(i) IN GENERAL.—Preferential treatment under this
paragraph shall be extended in the 1-year period beginning on October 1, 2000, and in each of the seven
succeeding 1-year periods, to imports of apparel articles
in an amount not to exceed the applicable percentage
of the aggregate square meter equivalents of all
apparel articles imported into the United States in
the preceding 12-month period for which data are available.
(ii) APPLICABLE PERCENTAGE.—For purposes of this
subparagraph, the term ‘‘applicable percentage’’ means
1.5 percent for the 1-year period beginning October
1, 2000, increased in each of the seven succeeding
1-year periods by equal increments, so that for the
period beginning October 1, 2007, the applicable
percentage does not exceed 3.5 percent.
(B) SPECIAL RULE FOR LESSER DEVELOPED COUNTRIES.—
(i) IN GENERAL.—Subject to subparagraph (A), preferential treatment shall be extended through September 30, 2004, for apparel articles wholly assembled

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114 STAT. 260

PUBLIC LAW 106–200—MAY 18, 2000
in one or more lesser developed beneficiary sub-Saharan African countries regardless of the country of origin
of the fabric used to make such articles.
(ii) LESSER DEVELOPED BENEFICIARY SUB-SAHARAN
AFRICAN COUNTRY.—For purposes of this subparagraph
the term ‘‘lesser developed beneficiary sub-Saharan
African country’’ means a beneficiary sub-Saharan African country that had a per capita gross national
product of less than $1,500 a year in 1998, as measured
by the World Bank.
(C) SURGE MECHANISM.—
(i) IMPORT MONITORING.—The Secretary of Commerce shall monitor imports of articles described in
this paragraph on a monthly basis to determine if
there has been a surge in imports of such articles.
In order to permit public access to preliminary international trade data and to facilitate the early identification of potentially disruptive import surges, the
Director of the Office of Management and Budget may
grant an exception to the publication dates established
for the release of data on United States international
trade in covered articles, if the Director notifies Congress of the early release of the data.
(ii) DETERMINATION OF DAMAGE OR THREAT
THEREOF.—Whenever the Secretary of Commerce
determines, based on the data described in clause (i),
or pursuant to a written request made by an interested
party, that there has been a surge in imports of an
article described in this paragraph from a beneficiary
sub-Saharan African country, the Secretary shall determine whether such article from such country is being
imported in such increased quantities as to cause
serious damage, or threat thereof, to the domestic
industry producing a like or directly competitive
article. If the Secretary’s determination is affirmative,
the President shall suspend the duty-free treatment
provided for such article under this paragraph. If the
inquiry is initiated at the request of an interested
party, the Secretary shall make the determination
within 60 days after the date of the request.
(iii) FACTORS TO CONSIDER.—In determining
whether a domestic industry has been seriously damaged, or is threatened with serious damage, the Secretary shall examine the effect of the imports on relevant economic indicators such as domestic production,
sales, market share, capacity utilization, inventories,
employment, profits, exports, prices, and investment.
(iv) PROCEDURE.—
(I) INITIATION.—The Secretary of Commerce
shall initiate an inquiry within 10 days after
receiving a written request and supporting
information for an inquiry from an interested
party. Notice of initiation of an inquiry shall be
published in the Federal Register.

Deadline

Federal Register,
publication.

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114 STAT. 261

(II) PARTICIPATION BY INTERESTED PARTIES.—
The Secretary of Commerce shall establish procedures to ensure participation in the inquiry by
interested parties.
(III) NOTICE OF DETERMINATION.—The Secretary shall publish the determination described
in clause (ii) in the Federal Register.
(IV) INFORMATION AVAILABLE.—If relevant
information is not available on the record or any
party withholds information that has been
requested by the Secretary, the Secretary shall
make the determination on the basis of the facts
available. When the Secretary relies on information submitted in the inquiry as facts available,
the Secretary shall, to the extent practicable,
corroborate the information from independent
sources that are reasonably available to the Secretary.
(v) INTERESTED PARTY.—For purposes of this
subparagraph, the term ‘‘interested party’’ means any
producer of a like or directly competitive article, a
certified union or recognized union or group of workers
which is representative of an industry engaged in the
manufacture, production, or sale in the United States
of a like or directly competitive article, a trade or
business association representing producers or sellers
of like or directly competitive articles, producers
engaged in the production of essential inputs for like
or directly competitive articles, a certified union or
group of workers which is representative of an industry
engaged in the manufacture, production, or sale of
essential inputs for the like or directly competitive
article, or a trade or business association representing
companies engaged in the manufacture, production,
or sale of such essential inputs.
(4) SWEATERS KNIT-TO-SHAPE FROM CASHMERE OR MERINO
WOOL.—
(A) CASHMERE.—Sweaters, in chief weight of cashmere,
knit-to-shape in one or more beneficiary sub-Saharan African countries and classifiable under subheading 6110.10
of the Harmonized Tariff Schedule of the United States.
(B) MERINO WOOL.—Sweaters, 50 percent or more by
weight of wool measuring 18.5 microns in diameter or
finer, knit-to-shape in one or more beneficiary sub-Saharan
African countries.
(5) APPAREL ARTICLES WHOLLY ASSEMBLED FROM FABRIC

Federal Register,
publication.

OR YARN NOT AVAILABLE IN COMMERCIAL QUANTITIES IN THE
UNITED STATES.—
(A) IN GENERAL.—Apparel articles that are both cut

(or knit-to-shape) and sewn or otherwise assembled in one
or more beneficiary sub-Saharan African countries, from
fabric or yarn that is not formed in the United States
or a beneficiary sub-Saharan African country, to the extent
that apparel articles of such fabrics or yarns would be
eligible for preferential treatment, without regard to the
source of the fabric or yarn, under Annex 401 to the
NAFTA.

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114 STAT. 262
President.

Deadline.
Reports.

President.

President.
Deadlines.

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PUBLIC LAW 106–200—MAY 18, 2000

(B) ADDITIONAL APPAREL ARTICLES.—At the request of
any interested party and subject to the following requirements, the President is authorized to proclaim the treatment provided under subparagraph (A) for yarns or fabrics
not described in subparagraph (A) if—
(i) the President determines that such yarns or
fabrics cannot be supplied by the domestic industry
in commercial quantities in a timely manner;
(ii) the President has obtained advice regarding
the proposed action from the appropriate advisory committee established under section 135 of the Trade Act
of 1974 (19 U.S.C. 2155) and the United States International Trade Commission;
(iii) within 60 calendar days after the request,
the President has submitted a report to the Committee
on Ways and Means of the House of Representatives
and the Committee on Finance of the Senate that
sets forth—
(I) the action proposed to be proclaimed and
the reasons for such action; and
(II) the advice obtained under clause (ii);
(iv) a period of 60 calendar days, beginning with
the first day on which the President has met the
requirements of subclauses (I) and (II) of clause (iii),
has expired; and
(v) the President has consulted with such committees regarding the proposed action during the period
referred to in clause (iii).
(6) HANDLOOMED, HANDMADE, AND FOLKLORE ARTICLES.—
A handloomed, handmade, or folklore article of a beneficiary
sub-Saharan African country or countries that is certified as
such by the competent authority of such beneficiary country
or countries. For purposes of this paragraph, the President,
after consultation with the beneficiary sub-Saharan African
country or countries concerned, shall determine which, if any,
particular textile and apparel goods of the country (or countries)
shall be treated as being handloomed, handmade, or folklore
articles.
(c) TREATMENT OF QUOTAS ON TEXTILE AND APPAREL IMPORTS
FROM KENYA AND MAURITIUS.—The President shall eliminate the
existing quotas on textile and apparel articles imported into the
United States—
(1) from Kenya within 30 days after that country adopts
an effective visa system to prevent unlawful transshipment
of textile and apparel articles and the use of counterfeit documents relating to the importation of the articles into the United
States; and
(2) from Mauritius within 30 days after that country adopts
such a visa system.
The Customs Service shall provide the necessary technical assistance to Kenya and Mauritius in the development and implementation of the visa systems.
(d) SPECIAL RULES.—
(1) FINDINGS AND TRIMMINGS.—
(A) GENERAL RULE.—An article otherwise eligible for
preferential treatment under this section shall not be ineligible for such treatment because the article contains

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findings or trimmings of foreign origin, if the value of
such findings and trimmings do not exceed 25 percent
of the cost of the components of the assembled article.
Examples of findings and trimmings are sewing thread,
hooks and eyes, snaps, buttons, ‘‘bow buds’’, decorative
lace trim, elastic strips, and zippers, including zipper tapes
and labels. Elastic strips are considered findings or trimmings only if they are each less than 1 inch in width
and used in the production of brassieres.
(B) CERTAIN INTERLININGS.—
(i) GENERAL RULE.—An article otherwise eligible
for preferential treatment under this section shall not
be ineligible for such treatment because the article
contains certain interlinings of foreign origin, if the
value of such interlinings (and any findings and trimmings) does not exceed 25 percent of the cost of the
components of the assembled article.
(ii) INTERLININGS DESCRIBED.—Interlinings eligible
for the treatment described in clause (i) include only
a chest type plate, a ‘‘hymo’’ piece, or ‘‘sleeve header’’,
of woven or weft-inserted warp knit construction and
of coarse animal hair or man-made filaments.
(iii) TERMINATION OF TREATMENT.—The treatment
described in this subparagraph shall terminate if the
President makes a determination that United States
manufacturers are producing such interlinings in the
United States in commercial quantities.
(C) EXCEPTION.—In the case of an article described
in subsection (b)(2), sewing thread shall not be treated
as findings or trimmings under subparagraph (A).
(2) DE MINIMIS RULE.—An article otherwise eligible for
preferential treatment under this section shall not be ineligible
for such treatment because the article contains fibers or yarns
not wholly formed in the United States or one or more beneficiary sub-Saharan African countries if the total weight of
all such fibers and yarns is not more than 7 percent of the
total weight of the article.
(e) DEFINITIONS.—In this section and section 113:
(1) AGREEMENT ON TEXTILES AND CLOTHING.—The term
‘‘Agreement on Textiles and Clothing ’’ means the Agreement
on Textiles and Clothing referred to in section 101(d)(4) of
the Uruguay Round Agreements Act (19 U.S.C. 3511(d)(4)).
(2) BENEFICIARY SUB-SAHARAN AFRICAN COUNTRY, ETC.—
The terms ‘‘beneficiary sub-Saharan African country’’ and
‘‘beneficiary sub-Saharan African countries’’ have the same
meaning as such terms have under section 506A(c) of the Trade
Act of 1974.
(3) NAFTA.—The term ‘‘NAFTA’’ means the North American Free Trade Agreement entered into between the United
States, Mexico, and Canada on December 17, 1992.
(f ) EFFECTIVE DATE.—This section takes effect on October 1,
2000, and shall remain in effect through September 30, 2008.

Termination
date.

SEC. 113. PROTECTIONS AGAINST TRANSSHIPMENT.

19 USC 3722.

(a) PREFERENTIAL TREATMENT CONDITIONED
MEASURES.—

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(1) IN GENERAL.—The preferential treatment under section
112(a) shall not be provided to textile and apparel articles
that are imported from a beneficiary sub-Saharan African
country unless that country—
(A) has adopted an effective visa system, domestic laws,
and enforcement procedures applicable to covered articles
to prevent unlawful transshipment of the articles and the
use of counterfeit documents relating to the importation
of the articles into the United States;
(B) has enacted legislation or promulgated regulations
that would permit United States Customs Service
verification teams to have the access necessary to investigate thoroughly allegations of transshipment through
such country;
(C) agrees to report, on a timely basis, at the request
of the United States Customs Service, on the total exports
from and imports into that country of covered articles,
consistent with the manner in which the records are kept
by that country;
(D) will cooperate fully with the United States to
address and take action necessary to prevent circumvention
as provided in Article 5 of the Agreement on Textiles
and Clothing;
(E) agrees to require all producers and exporters of
covered articles in that country to maintain complete
records of the production and the export of covered articles,
including materials used in the production, for at least
2 years after the production or export (as the case may
be); and
(F) agrees to report, on a timely basis, at the request
of the United States Customs Service, documentation establishing the country of origin of covered articles as used
by that country in implementing an effective visa system.
(2) COUNTRY OF ORIGIN DOCUMENTATION.—For purposes
of paragraph (1)(F), documentation regarding the country of
origin of the covered articles includes documentation such as
production records, information relating to the place of production, the number and identification of the types of machinery
used in production, the number of workers employed in production, and certification from both the manufacturer and the
exporter.
(b) CUSTOMS PROCEDURES AND ENFORCEMENT.—
(1) IN GENERAL.—
(A) REGULATIONS.—Any importer that claims preferential treatment under section 112 shall comply with
customs procedures similar in all material respects to the
requirements of Article 502(1) of the NAFTA as implemented pursuant to United States law, in accordance with
regulations promulgated by the Secretary of the Treasury.
(B) DETERMINATION.—
(i) IN GENERAL.—In order to qualify for the preferential treatment under section 112 and for a Certificate of Origin to be valid with respect to any article
for which such treatment is claimed, there shall be
in effect a determination by the President that each
country described in clause (ii)—
(I) has implemented and follows; or

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PUBLIC LAW 106–200—MAY 18, 2000

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(II) is making substantial progress toward
implementing and following,
procedures and requirements similar in all material
respects to the relevant procedures and requirements
under chapter 5 of the NAFTA.
(ii) COUNTRY DESCRIBED.—A country is described
in this clause if it is a beneficiary sub-Saharan African
country—
(I) from which the article is exported; or
(II) in which materials used in the production
of the article originate or in which the article
or such materials, undergo production that contributes to a claim that the article is eligible for preferential treatment.
(2) CERTIFICATE OF ORIGIN.—The Certificate of Origin that
otherwise would be required pursuant to the provisions of paragraph (1) shall not be required in the case of an article imported
under section 112 if such Certificate of Origin would not be
required under Article 503 of the NAFTA (as implemented
pursuant to United States law), if the article were imported
from Mexico.
(3) PENALTIES FOR EXPORTERS.—If the President determines, based on sufficient evidence, that an exporter has
engaged in transshipment as defined in paragraph (4), then
the President shall deny for a period of 5 years all benefits
under section 112 to such exporter, any successor of such
exporter, and any other entity owned or operated by the principal of the exporter.
(4) TRANSSHIPMENT DESCRIBED.—Transshipment within the
meaning of this subsection has occurred when preferential
treatment for a textile or apparel article under this Act has
been claimed on the basis of material false information concerning the country of origin, manufacture, processing, or
assembly of the article or any of its components. For purposes
of this paragraph, false information is material if disclosure
of the true information would mean or would have meant
that the article is or was ineligible for preferential treatment
under section 112.
(5) MONITORING AND REPORTS TO CONGRESS.—The Customs
Service shall monitor and the Commissioner of Customs shall
submit to Congress, not later than March 31 of each year,
a report on the effectiveness of the visa systems and the
implementation of legislation and regulations described in subsection (a) and on measures taken by countries in sub-Saharan
Africa which export textiles or apparel to the United States
to prevent circumvention as described in Article 5 of the Agreement on Textiles and Clothing.
(c) CUSTOMS SERVICE ENFORCEMENT.—The Customs Service
shall—
(1) make available technical assistance to the beneficiary
sub-Saharan African countries—
(A) in the development and implementation of visa
systems, legislation, and regulations described in subsection (a)(1)(A); and
(B) to train their officials in anti-transshipment
enforcement;

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114 STAT. 266

PUBLIC LAW 106–200—MAY 18, 2000

(2) send production verification teams to at least four beneficiary sub-Saharan African countries each year; and
(3) to the extent feasible, place beneficiary sub-Saharan
African countries on the Electronic Visa (ELVIS) program.
(d) AUTHORIZATION OF APPROPRIATIONS.—There is authorized
to be appropriated to carry out subsection (c) the sum of $5,894,913.
SEC. 114. TERMINATION.

Title V of the Trade Act of 1974 is amended by inserting
after section 506A the following new section:
19 USC 2466b.

‘‘SEC. 506B. TERMINATION OF BENEFITS FOR SUB-SAHARAN AFRICAN
COUNTRIES.

‘‘In the case of a beneficiary sub-Saharan African country,
as defined in section 506A(c), duty-free treatment provided under
this title shall remain in effect through September 30, 2008.’’.
SEC. 115. CLERICAL AMENDMENTS.

The table of contents for title V of the Trade Act of 1974
is amended by inserting after the item relating to section 506
the following new items:
‘‘Sec. 506A. Designation of sub-Saharan African countries for certain benefits.
‘‘Sec. 506B. Termination of benefits for sub-Saharan African countries.’’.
19 USC 3723.

President.

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SEC. 116. FREE TRADE AGREEMENTS WITH SUB-SAHARAN AFRICAN
COUNTRIES.

(a) DECLARATION OF POLICY.—Congress declares that free trade
agreements should be negotiated, where feasible, with interested
countries in sub-Saharan Africa, in order to serve as the catalyst
for increasing trade between the United States and sub-Saharan
Africa and increasing private sector investment in sub-Saharan
Africa.
(b) PLAN REQUIREMENT.—
(1) IN GENERAL.—The President, taking into account the
provisions of the treaty establishing the African Economic
Community and the willingness of the governments of subSaharan African countries to engage in negotiations to enter
into free trade agreements, shall develop a plan for the purpose
of negotiating and entering into one or more trade agreements
with interested beneficiary sub-Saharan African countries.
(2) ELEMENTS OF PLAN.—The plan shall include the following:
(A) The specific objectives of the United States with
respect to negotiations described in paragraph (1) and a
suggested timetable for achieving those objectives.
(B) The benefits to both the United States and the
relevant sub-Saharan African countries with respect to the
applicable free trade agreement or agreements.
(C) A mutually agreed-upon timetable for the negotiations.
(D) The implications for and the role of regional and
sub-regional organizations in sub-Saharan Africa with
respect to such free trade agreement or agreements.
(E) Subject matter anticipated to be covered by the
negotiations and United States laws, programs, and policies, as well as the laws of participating eligible African

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countries and existing bilateral and multilateral and economic cooperation and trade agreements, that may be
affected by the agreement or agreements.
(F) Procedures to ensure the following:
(i) Adequate consultation with the Congress and
the private sector during the negotiations.
(ii) Consultation with the Congress regarding all
matters relating to implementation of the agreement
or agreements.
(iii) Approval by the Congress of the agreement
or agreements.
(iv) Adequate consultations with the relevant African governments and African regional and subregional
intergovernmental organizations during the negotiation of the agreement or agreements.
(c) REPORTING REQUIREMENT.—Not later than 12 months after
the date of the enactment of this Act, the President shall prepare
and transmit to the Congress a report containing the plan developed
pursuant to subsection (b).
SEC. 117. ASSISTANT UNITED STATES TRADE REPRESENTATIVE FOR
AFRICAN AFFAIRS.

Deadline.
President.

19 USC 3724.

It is the sense of the Congress that—
(1) the position of Assistant United States Trade Representative for African Affairs is integral to the United States commitment to increasing United States-sub-Saharan African trade
and investment;
(2) the position of Assistant United States Trade Representative for African Affairs should be maintained within the Office
of the United States Trade Representative to direct and coordinate interagency activities on United States-Africa trade policy
and investment matters and serve as—
(A) a primary point of contact in the executive branch
for those persons engaged in trade between the United
States and sub-Saharan Africa; and
(B) the chief advisor to the United States Trade Representative on issues of trade and investment with Africa;
and
(3) the United States Trade Representative should have
adequate funding and staff to carry out the duties of the Assistant United States Trade Representative for African Affairs
described in paragraph (2), subject to the availability of appropriations.

Subtitle C—Economic Development
Related Issues
SEC. 121. SENSE OF THE CONGRESS REGARDING COMPREHENSIVE
DEBT RELIEF FOR THE WORLD’S POOREST COUNTRIES.

19 USC 3731.

(a) FINDINGS.—Congress makes the following findings:
(1) The burden of external debt has become a major impediment to economic growth and poverty reduction in many of
the world’s poorest countries.
(2) Until recently, the United States Government and other
official creditors sought to address this problem by rescheduling
loans and in some cases providing limited debt reduction.

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PUBLIC LAW 106–200—MAY 18, 2000

(3) Despite such efforts, the cumulative debt of many of
the world’s poorest countries continued to grow beyond their
capacity to repay.
(4) In 1997, the Group of Seven, the World Bank, and
the International Monetary Fund adopted the Heavily Indebted
Poor Countries Initiative (HIPC), a commitment by the international community that all multilateral and bilateral creditors,
acting in a coordinated and concerted fashion, would reduce
poor country debt to a sustainable level.
(5) The HIPC Initiative is currently undergoing reforms
to address concerns raised about country conditionality, the
amount of debt forgiven, and the allocation of savings realized
through the debt forgiveness program to ensure that the Initiative accomplishes the goals of economic growth and poverty
alleviation in the world’s poorest countries.
(b) SENSE OF THE CONGRESS.—It is the sense of the Congress
that—
(1) Congress and the President should work together, without undue delay and in concert with the international community, to make comprehensive debt relief available to the world’s
poorest countries in a manner that promotes economic growth
and poverty alleviation;
(2) this program of bilateral and multilateral debt relief
should be designed to strengthen and expand the private sector,
encourage increased trade and investment, support the development of free markets, and promote broad-scale economic growth
in beneficiary countries;
(3) this program of debt relief should also support the
adoption of policies to alleviate poverty and to ensure that
benefits are shared widely among the population, such as
through initiatives to advance education, improve health, combat AIDS, and promote clean water and environmental protection;
(4) these debt relief agreements should be designed and
implemented in a transparent manner and with the broad
participation of the citizenry of the debtor country and should
ensure that country circumstances are adequately taken into
account;
(5) no country should receive the benefits of debt relief
if that country does not cooperate with the United States on
terrorism or narcotics enforcement, is a gross violator of the
human rights of its citizens, or is engaged in conflict or spends
excessively on its military; and
(6) in order to prevent adverse impact on a key industry
in many developing countries, the International Monetary Fund
must mobilize its own resources for providing debt relief to
eligible countries without allowing gold to reach the open
market, or otherwise adversely affecting the market price of
gold.
19 USC 3732.

SEC. 122. EXECUTIVE BRANCH INITIATIVES.

(a) STATEMENT OF THE CONGRESS.—The Congress recognizes
that the stated policy of the executive branch in 1997, the ‘‘Partnership for Growth and Opportunity in Africa’’ initiative, is a step
toward the establishment of a comprehensive trade and development policy for sub-Saharan Africa. It is the sense of the Congress

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that this Partnership is a companion to the policy goals set forth
in this title.
(b) TECHNICAL ASSISTANCE TO PROMOTE ECONOMIC REFORMS
AND DEVELOPMENT.—In addition to continuing bilateral and multilateral economic and development assistance, the President shall
target technical assistance toward—
(1) developing relationships between United States firms
and firms in sub-Saharan Africa through a variety of business
associations and networks;
(2) providing assistance to the governments of sub-Saharan
African countries to—
(A) liberalize trade and promote exports;
(B) bring their legal regimes into compliance with the
standards of the World Trade Organization in conjunction
with membership in that Organization;
(C) make financial and fiscal reforms; and
(D) promote greater agribusiness linkages;
(3) addressing such critical agricultural policy issues as
market liberalization, agricultural export development, and
agribusiness investment in processing and transporting agricultural commodities;
(4) increasing the number of reverse trade missions to
growth-oriented countries in sub-Saharan Africa;
(5) increasing trade in services; and
(6) encouraging greater sub-Saharan African participation
in future negotiations in the World Trade Organization on
services and making further commitments in their schedules
to the General Agreement on Trade in Services in order to
encourage the removal of tariff and nontariff barriers.
SEC. 123. OVERSEAS PRIVATE INVESTMENT CORPORATION INITIATIVES.

19 USC 3733.

(a) INITIATION OF FUNDS.—It is the sense of the Congress
that the Overseas Private Investment Corporation should exercise
the authorities it has to initiate an equity fund or equity funds
in support of projects in the countries in sub-Saharan Africa, in
addition to the existing equity fund for sub-Saharan Africa created
by the Corporation.
(b) STRUCTURE AND TYPES OF FUNDS.—
(1) STRUCTURE.—Each fund initiated under subsection (a)
should be structured as a partnership managed by professional
private sector fund managers and monitored on a continuing
basis by the Corporation.
(2) CAPITALIZATION.—Each fund should be capitalized with
a combination of private equity capital, which is not guaranteed
by the Corporation, and debt for which the Corporation provides
guaranties.
(3) INFRASTRUCTURE FUND.—One or more of the funds,
with combined assets of up to $500,000,000, should be used
in support of infrastructure projects in countries of sub-Saharan
Africa.
(4) EMPHASIS.—The Corporation shall ensure that the funds
are used to provide support in particular to women entrepreneurs and to innovative investments that expand opportunities for women and maximize employment opportunities for
poor individuals.
(c) OVERSEAS PRIVATE INVESTMENT CORPORATION.—

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114 STAT. 270
22 USC 2193.

Termination
date.
Deadline.

19 USC 3734.

PUBLIC LAW 106–200—MAY 18, 2000

(1) INVESTMENT ADVISORY COUNCIL.—Section 233 of the
Foreign Assistance Act of 1961 is amended by adding at the
end the following:
‘‘(e) INVESTMENT ADVISORY COUNCIL.—The Board shall take
prompt measures to increase the loan, guarantee, and insurance
programs, and financial commitments, of the Corporation in subSaharan Africa, including through the use of an investment advisory
council to assist the Board in developing and implementing policies,
programs, and financial instruments with respect to sub-Saharan
Africa. In addition, the investment advisory council shall make
recommendations to the Board on how the Corporation can facilitate
greater support by the United States for trade and investment
with and in sub-Saharan Africa. The investment advisory council
shall terminate 4 years after the date of the enactment of this
subsection.’’.
(2) REPORTS TO CONGRESS.—Within 6 months after the
date of the enactment of this Act, and annually for each of
the 4 years thereafter, the Board of Directors of the Overseas
Private Investment Corporation shall submit to Congress a
report on the steps that the Board has taken to implement
section 233(e) of the Foreign Assistance Act of 1961 (as added
by paragraph (1)) and any recommendations of the investment
advisory council established pursuant to such section.
SEC. 124. EXPORT-IMPORT BANK INITIATIVES.

(a) SENSE OF THE CONGRESS.—It is the sense of the Congress
that the Board of Directors of the Bank shall continue to take
comprehensive measures, consistent with the credit standards
otherwise required by law, to promote the expansion of the Bank’s
financial commitments in sub-Saharan Africa under the loan, guarantee and insurance programs of the Bank.
(b) SUB-SAHARAN AFRICA ADVISORY COMMITTEE.—The subSaharan Africa Advisory Committee (SAAC) is to be commended
for aiding the Bank in advancing the economic partnership between
the United States and the nations of sub-Saharan Africa by doubling
the number of sub-Saharan African countries in which the Bank
is open for traditional financing and by increasing by tenfold the
Bank’s support for sales to sub-Saharan Africa from fiscal year
1998 to fiscal year 1999. The Board of Directors of the Bank
and its staff shall continue to review carefully the sub-Saharan
Africa Advisory Committee recommendations on the development
and implementation of new and innovative policies and programs
designed to promote the Bank’s expansion in sub-Saharan Africa.
19 USC 3735.

SEC. 125. EXPANSION OF THE UNITED STATES AND FOREIGN COMMERCIAL SERVICE IN SUB-SAHARAN AFRICA.

(a) FINDINGS.—The Congress makes the following findings:
(1) The United States and Foreign Commercial Service
(hereafter in this section referred to as the ‘‘Commercial
Service’’) plays an important role in helping United States
businesses identify export opportunities and develop reliable
sources of information on commercial prospects in foreign countries.
(2) During the 1980s, the presence of the Commercial
Service in sub-Saharan Africa consisted of 14 professionals
providing services in eight countries. By early 1997, that presence had been reduced by half to seven professionals in only
four countries.

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(3) Since 1997, the Department of Commerce has slowly
begun to increase the presence of the Commercial Service in
sub-Saharan Africa, adding five full-time officers to established
posts.
(4) Although the Commercial Service Officers in these countries have regional responsibilities, this kind of coverage does
not adequately service the needs of United States businesses
attempting to do business in sub-Saharan Africa.
(5) The Congress has, on several occasions, encouraged
the Commercial Service to focus its resources and efforts in
countries or regions in Europe or Asia to promote greater
United States export activity in those markets, and similar
encouragement should be provided for countries in sub-Saharan
Africa as well.
(6) Because market information is not widely available
in many sub-Saharan African countries, the presence of additional Commercial Service Officers and resources can play a
significant role in assisting United States businesses in markets
in those countries.
(b) APPOINTMENTS.—Subject to the availability of appropriations, by not later than December 31, 2001, the Secretary of Commerce, acting through the Assistant Secretary of Commerce and
Director General of the United States and Foreign Commercial
Service, shall take steps to ensure that—
(1) at least 20 full-time Commercial Service employees
are stationed in sub-Saharan Africa; and
(2) full-time Commercial Service employees are stationed
in not less than 10 different sub-Saharan African countries.
(c) INITIATIVE FOR SUB-SAHARAN AFRICA.—In order to encourage
the export of United States goods and services to sub-Saharan
African countries, the International Trade Administration shall
make a special effort to—
(1) identify United States goods and services which are
the best prospects for export by United States companies to
sub-Saharan Africa;
(2) identify, where appropriate, tariff and nontariff barriers
that are preventing or hindering sales of United States goods
and services to, or the operation of United States companies
in, sub-Saharan Africa;
(3) hold discussions with appropriate authorities in subSaharan Africa on the matters described in paragraphs (1)
and (2) with a view to securing increased market access for
United States exporters of goods and services;
(4) identify current resource allocations and personnel
levels in sub-Saharan Africa for the Commercial Service and
consider plans for the deployment of additional resources or
personnel to that region; and
(5) make available to the public, through printed and electronic means of communication, the information derived pursuant to paragraphs (1) through (4) for each of the 4 years
after the date of the enactment of this Act.
SEC. 126. DONATION OF AIR TRAFFIC CONTROL EQUIPMENT TO
ELIGIBLE SUB-SAHARAN AFRICAN COUNTRIES.

Deadline.

Public
information.

19 USC 3736.

It is the sense of the Congress that, to the extent appropriate,
the United States Government should make every effort to donate
to governments of sub-Saharan African countries determined to

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be eligible under section 104 air traffic control equipment that
is no longer in use, including appropriate related reimbursable
technical assistance.
19 USC 3737.

SEC. 127. ADDITIONAL AUTHORITIES AND INCREASED FLEXIBILITY
TO PROVIDE ASSISTANCE UNDER THE DEVELOPMENT
FUND FOR AFRICA.

(a) USE OF SUSTAINABLE DEVELOPMENT ASSISTANCE TO SUPFURTHER ECONOMIC GROWTH.—It is the sense of the Congress
that sustained economic growth in sub-Saharan Africa depends
in large measure upon the development of a receptive environment
for trade and investment, and that to achieve this objective the
United States Agency for International Development should continue to support programs which help to create this environment.
Investments in human resources, development, and implementation
of free market policies, including policies to liberalize agricultural
markets and improve food security, and the support for the rule
of law and democratic governance should continue to be encouraged
and enhanced on a bilateral and regional basis.
(b) DECLARATIONS OF POLICY.—The Congress makes the following declarations:
(1) The Development Fund for Africa established under
chapter 10 of part I of the Foreign Assistance Act of 1961
(22 U.S.C. 2293 et seq.) has been an effective tool in providing
development assistance to sub-Saharan Africa since 1988.
(2) The Development Fund for Africa will complement the
other provisions of this title and lay a foundation for increased
trade and investment opportunities between the United States
and sub-Saharan Africa.
(3) Assistance provided through the Development Fund
for Africa will continue to support programs and activities
that promote the long term economic development of sub-Saharan Africa, such as programs and activities relating to the
following:
(A) Strengthening primary and vocational education
systems, especially the acquisition of middle-level technical
skills for operating modern private businesses and the
introduction of college level business education, including
the study of international business, finance, and stock
exchanges.
(B) Strengthening health care systems.
(C) Supporting democratization, good governance and
civil society and conflict resolution efforts.
(D) Increasing food security by promoting the expansion of agricultural and agriculture-based industrial
production and productivity and increasing real incomes
for poor individuals.
(E) Promoting an enabling environment for private
sector-led growth through sustained economic reform,
privatization programs, and market-led economic activities.
(F) Promoting decentralization and local participation
in the development process, especially linking the rural
production sectors and the industrial and market centers
throughout Africa.
(G) Increasing the technical and managerial capacity
of sub-Saharan African individuals to manage the economy
of sub-Saharan Africa.
PORT

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(H) Ensuring sustainable economic growth through
environmental protection.
(4) The African Development Foundation has a unique
congressional mandate to empower the poor to participate fully
in development and to increase opportunities for gainful
employment, poverty alleviation, and more equitable income
distribution in sub-Saharan Africa. The African Development
Foundation has worked successfully to enhance the role of
women as agents of change, strengthen the informal sector
with an emphasis on supporting micro and small sized enterprises, indigenous technologies, and mobilizing local financing.
The African Development Foundation should develop and implement strategies for promoting participation in the socioeconomic
development process of grassroots and informal sector groups
such as nongovernmental organizations, cooperatives, artisans,
and traders into the programs and initiatives established under
this title.
(c) ADDITIONAL AUTHORITIES.—
(1) IN GENERAL.—Section 496(h) of the Foreign Assistance
Act of 1961 (22 U.S.C. 2293(h)) is amended—
(A) by redesignating paragraph (3) as paragraph (4);
and
(B) by inserting after paragraph (2) the following:
‘‘(3) DEMOCRATIZATION AND CONFLICT RESOLUTION CAPABILITIES.—Assistance under this section may also include program
assistance—
‘‘(A) to promote democratization, good governance, and
strong civil societies in sub-Saharan Africa; and
‘‘(B) to strengthen conflict resolution capabilities of
governmental, intergovernmental, and nongovernmental
entities in sub-Saharan Africa.’’.
(2) CONFORMING AMENDMENT.—Section 496(h)(4) of such
Act, as amended by paragraph (1), is further amended by
striking ‘‘paragraphs (1) and (2)’’ in the first sentence and
inserting ‘‘paragraphs (1), (2), and (3)’’.
SEC. 128. ASSISTANCE FROM UNITED STATES PRIVATE SECTOR TO
PREVENT AND REDUCE HIV/AIDS IN SUB-SAHARAN
AFRICA.

19 USC 3738.

It is the sense of the Congress that United States businesses
should be encouraged to provide assistance to sub-Saharan African
countries to prevent and reduce the incidence of HIV/AIDS in
sub-Saharan Africa. In providing such assistance, United States
businesses should be encouraged to consider the establishment of
an HIV/AIDS Response Fund in order to provide for coordination
among such businesses in the collection and distribution of the
assistance to sub-Saharan African countries.
SEC. 129. SENSE OF THE CONGRESS RELATING TO HIV/AIDS CRISIS
IN SUB-SAHARAN AFRICA.

19 USC 3739.

(a) FINDINGS.—The Congress finds the following:
(1) Sustained economic development in sub-Saharan Africa
depends in large measure upon successful trade with and foreign assistance to the countries of sub-Saharan Africa.
(2) The HIV/AIDS crisis has reached epidemic proportions
in sub-Saharan Africa, where more than 21,000,000 men,
women, and children are infected with HIV.

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(3) Eighty-three percent of the estimated 11,700,000 deaths
from HIV/AIDS worldwide have been in sub-Saharan Africa.
(4) The HIV/AIDS crisis in sub-Saharan Africa is weakening the structure of families and societies.
(5)(A) The HIV/AIDS crisis threatens the future of the
workforce in sub-Saharan Africa.
(B) Studies show that HIV/AIDS in sub-Saharan Africa
most severely affects individuals between the ages of 15 and
49—the age group that provides the most support for the economies of sub-Saharan African countries.
(6) Clear evidence demonstrates that HIV/AIDS is destructive to the economies of sub-Saharan African countries.
(7) Sustained economic development is critical to creating
the public and private sector resources in sub-Saharan Africa
necessary to fight the HIV/AIDS epidemic.
(b) SENSE OF THE CONGRESS.—It is the sense of the Congress
that—
(1) addressing the HIV/AIDS crisis in sub-Saharan Africa
should be a central component of United States foreign policy
with respect to sub-Saharan Africa;
(2) significant progress needs to be made in preventing
and treating HIV/AIDS in sub-Saharan Africa in order to sustain a mutually beneficial trade relationship between the
United States and sub-Saharan African countries; and
(3) the HIV/AIDS crisis in sub-Saharan Africa is a global
threat that merits further attention through greatly expanded
public, private, and joint public-private efforts, and through
appropriate United States legislation.
19 USC 3740.

Deadline.

19 USC 3741.

SEC. 130. STUDY ON IMPROVING AFRICAN AGRICULTURAL PRACTICES.

(a) IN GENERAL.—The Secretary of Agriculture, in consultation
with American Land Grant Colleges and Universities and notfor-profit international organizations, is authorized to conduct a
2-year study on ways to improve the flow of American farming
techniques and practices to African farmers. The study shall include
an examination of ways of improving or utilizing—
(1) knowledge of insect and sanitation procedures;
(2) modern farming and soil conservation techniques;
(3) modern farming equipment (including maintaining the
equipment);
(4) marketing crop yields to prospective purchasers; and
(5) crop maximization practices.
The Secretary of Agriculture shall submit the study to the Committee on Agriculture, Nutrition, and Forestry of the Senate and
the Committee on Agriculture of the House of Representatives
not later than September 30, 2001.
(b) LAND GRANT COLLEGES AND NOT-FOR-PROFIT INSTITUTIONS.—In conducting the study under subsection (a), the Secretary
of Agriculture is encouraged to consult with American Land Grant
Colleges and not-for-profit international organizations that have
firsthand knowledge of current African farming practices.
SEC. 131. SENSE OF THE CONGRESS REGARDING EFFORTS TO COMBAT
DESERTIFICATION IN AFRICA AND OTHER COUNTRIES.

(a) FINDINGS.—The Congress finds that—
(1) desertification affects approximately one-sixth of the
world’s population and one-quarter of the total land area;

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(2) over 1,000,000 hectares of Africa are affected by
desertification;
(3) dryland degradation is an underlying cause of recurrent
famine in Africa;
(4) the United Nations Environment Programme estimates
that desertification costs the world $42,000,000,000 a year,
not including incalculable costs in human suffering; and
(5) the United States can strengthen its partnerships
throughout Africa and other countries affected by
desertification, help alleviate social and economic crises caused
by misuse of natural resources, and reduce dependence on
foreign aid, by taking a leading role to combat desertification.
(b) SENSE OF THE CONGRESS.—It is the sense of the Congress
that the United States should expeditiously work with the international community, particularly Africa and other countries affected
by desertification, to—
(1) strengthen international cooperation to combat
desertification;
(2) promote the development of national and regional
strategies to address desertification and increase public awareness of this serious problem and its effects;
(3) develop and implement national action programs that
identify the causes of desertification and measures to address
it; and
(4) recognize the essential role of local governments and
nongovernmental organizations in developing and implementing measures to address desertification.

TITLE II—TRADE BENEFITS FOR
CARIBBEAN BASIN

United StatesCaribbean Basin
Trades
Partnership Act.

Subtitle A—Trade Policy for Caribbean
Basin Countries
SEC. 201. SHORT TITLE.

This title may be cited as the ‘‘United States-Caribbean Basin
Trade Partnership Act’’.
SEC. 202. FINDINGS AND POLICY.

(a) FINDINGS.—Congress makes the following findings:
(1) The Caribbean Basin Economic Recovery Act (in this
title referred to as ‘‘CBERA’’) represents a permanent commitment by the United States to encourage the development of
strong democratic governments and revitalized economies in
neighboring countries in the Caribbean Basin.
(2) In 1998, Hurricane Mitch and Hurricane Georges devastated areas in the Caribbean Basin region, killing more than
10,000 people and leaving 3,000,000 homeless.
(3) The total direct impact of Hurricanes Mitch and Georges
on Honduras, Nicaragua, the Dominican Republic, El Salvador,
and Guatemala amounts to $4,200,000,000, representing a
severe loss to income levels in this underdeveloped region.
(4) In addition to short term disaster assistance, United
States policy toward the region should focus on expanding

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international trade with the Caribbean Basin region as an
enduring solution for successful economic growth and recovery.
(5) Thirty-four democratically elected leaders agreed at the
1994 Summit of the Americas to conclude negotiation of a
Free Trade Area of the Americas (in this title referred to
as ‘‘FTAA’’) by the year 2005.
(6) The economic security of the countries in the Caribbean
Basin will be enhanced by the completion of the FTAA.
(7) Offering temporary benefits to Caribbean Basin countries will preserve the United States commitment to Caribbean
Basin beneficiary countries, promote the growth of free enterprise and economic opportunity in these neighboring countries,
and thereby enhance the national security interests of the
United States.
(8) Given the greater propensity of countries located in
the Western Hemisphere to use United States components and
to purchase United States products compared to other countries,
increased trade and economic activity between the United
States and countries in the Western Hemisphere will create
new jobs in the United States as a result of expanding export
opportunities.
(b) POLICY.—It is the policy of the United States—
(1) to offer Caribbean Basin beneficiary countries willing
to prepare to become a party to the FTAA or another free
trade agreement, tariff treatment essentially equivalent to that
accorded to products of NAFTA countries for certain products
not currently eligible for duty-free treatment under the CBERA;
and
(2) to seek the participation of Caribbean Basin beneficiary
countries in the FTAA or another free trade agreement at
the earliest possible date, with the goal of achieving full participation in such agreement not later than 2005.

19 USC 2701
note.

SEC. 203. DEFINITIONS.

In this title:
(1) NAFTA.—The term ‘‘NAFTA’’ means the North American Free Trade Agreement entered into between the United
States, Mexico, and Canada on December 17, 1992.
(2) NAFTA COUNTRY.—The term ‘‘NAFTA country’’ means
any country with respect to which the NAFTA is in force.
(3) WTO AND WTO MEMBER.—The terms ‘‘WTO’’ and ‘‘WTO
member’’ have the meanings given those terms in section 2
of the Uruguay Round Agreements Act (19 U.S.C. 3501).

Subtitle B—Trade Benefits for Caribbean
Basin Countries
SEC. 211. TEMPORARY PROVISIONS TO PROVIDE ADDITIONAL TRADE
BENEFITS TO CERTAIN BENEFICIARY COUNTRIES.

(a) TEMPORARY PROVISIONS.—Section 213(b) of the Caribbean
Basin Economic Recovery Act (19 U.S.C. 2703(b)) is amended to
read as follows:
‘‘(b) IMPORT-SENSITIVE ARTICLES.—
‘‘(1) IN GENERAL.—Subject to paragraphs (2) through (5),
the duty-free treatment provided under this title does not apply
to—

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‘‘(A) textile and apparel articles which were not eligible
articles for purposes of this title on January 1, 1994, as
this title was in effect on that date;
‘‘(B) footwear not designated at the time of the effective
date of this title as eligible articles for the purpose of
the generalized system of preferences under title V of the
Trade Act of 1974;
‘‘(C) tuna, prepared or preserved in any manner, in
airtight containers;
‘‘(D) petroleum, or any product derived from petroleum,
provided for in headings 2709 and 2710 of the HTS;
‘‘(E) watches and watch parts (including cases, bracelets, and straps), of whatever type including, but not limited
to, mechanical, quartz digital or quartz analog, if such
watches or watch parts contain any material which is the
product of any country with respect to which HTS column
2 rates of duty apply; or
‘‘(F) articles to which reduced rates of duty apply under
subsection (h).
‘‘(2) TRANSITION PERIOD TREATMENT OF CERTAIN TEXTILE
AND APPAREL ARTICLES.—
‘‘(A) ARTICLES COVERED.—During the transition period,
the preferential treatment described in subparagraph (B)
shall apply to the following articles:
‘‘(i) APPAREL ARTICLES ASSEMBLED IN ONE OR MORE
articles
CBTPA
BENEFICIARY
COUNTRIES.—Apparel
assembled in one or more CBTPA beneficiary countries
from fabrics wholly formed and cut in the United
States, from yarns wholly formed in the United States,
(including fabrics not formed from yarns, if such fabrics
are classifiable under heading 5602 or 5603 of the
HTS and are wholly formed and cut in the United
States) that are—
‘‘(I) entered under subheading 9802.00.80 of
the HTS; or
‘‘(II) entered under chapter 61 or 62 of the
HTS, if, after such assembly, the articles would
have qualified for entry under subheading
9802.00.80 of the HTS but for the fact that the
articles were embroidered or subjected to stonewashing, enzyme-washing, acid washing, permapressing, oven-baking, bleaching, garment-dyeing,
screen printing, or other similar processes.
‘‘(ii) APPAREL ARTICLES CUT AND ASSEMBLED IN ONE
OR MORE CBTPA BENEFICIARY COUNTRIES.—Apparel articles cut in one or more CBTPA beneficiary countries
from fabric wholly formed in the United States from
yarns wholly formed in the United States (including
fabrics not formed from yarns, if such fabrics are classifiable under heading 5602 or 5603 of the HTS and
are wholly formed in the United States), if such articles
are assembled in one or more such countries with
thread formed in the United States.
‘‘(iii) CERTAIN KNIT APPAREL ARTICLES.—(I) Apparel
articles knit to shape (other than socks provided for
in heading 6115 of the HTS) in a CBTPA beneficiary
country from yarns wholly formed in the United States,

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and knit apparel articles (other than t-shirts described
in subclause (III)) cut and wholly assembled in one
or more CBTPA beneficiary countries from fabric
formed in one or more CBTPA beneficiary countries
or the United States from yarns wholly formed in
the United States (including fabrics not formed from
yarns, if such fabrics are classifiable under heading
5602 or 5603 of the HTS and are formed in one or
more CBTPA beneficiary countries), in an amount not
exceeding the amount set forth in subclause (II).
‘‘(II) The amount referred to in subclause (I) is—
‘‘(aa) 250,000,000 square meter equivalents
during the 1-year period beginning on October 1,
2000, increased by 16 percent, compounded
annually, in each succeeding 1-year period through
September 30, 2004; and
‘‘(bb) in each 1-year period thereafter through
September 30, 2008, the amount in effect for the
1-year period ending on September 30, 2004, or
such other amount as may be provided by law.
‘‘(III) T-shirts, other than underwear, classifiable
under subheadings 6109.10.00 and 6109.90.10 of the
HTS, made in one or more CBTPA beneficiary countries from fabric formed in one or more CBTPA beneficiary countries from yarns wholly formed in the
United States, in an amount not exceeding the amount
set forth in subclause (IV).
‘‘(IV) the amount referred to in subclause (III)
is—
‘‘(aa) 4,200,000 dozen during the 1-year period
beginning on October 1, 2000, increased by 16
percent, compounded annually, in each succeeding
1-year period through September 30, 2004; and
‘‘(bb) in each 1-year period thereafter, the
amount in effect for the 1-year period ending on
September 30, 2004, or such other amount as may
be provided by law.
‘‘(V) It is the sense of the Congress that the Congress should determine, based on the record of expansion of exports from the United States as a result
of the preferential treatment of articles under this
clause, the percentage by which the amount provided
in subclauses (II) and (IV) should be compounded for
the 1-year periods occurring after the 1-year period
ending on September 30, 2004.
‘‘(iv) CERTAIN OTHER APPAREL ARTICLES.—(I) Subject to subclause (II), any apparel article classifiable
under subheading 6212.10 of the HTS, if the article
is both cut and sewn or otherwise assembled in the
United States, or one or more of the CBTPA beneficiary
countries, or both.
‘‘(II) During the 1-year period beginning on October
1, 2001, and during each of the six succeeding 1-year
periods, apparel articles described in subclause (I) of
a producer or an entity controlling production shall

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be eligible for preferential treatment under subparagraph (B) only if the aggregate cost of fabric components formed in the United States that are used in
the production of all such articles of that producer
or entity during the preceding 1-year period is at least
75 percent of the aggregate declared customs value
of the fabric contained in all such articles of that
producer or entity that are entered during the preceding 1-year period.
‘‘(III) The United States Customs Service shall
develop and implement methods and procedures to
ensure ongoing compliance with the requirement set
forth in subclause (II). If the Customs Service finds
that a producer or an entity controlling production
has not satisfied such requirement in a 1-year period,
then apparel articles described in subclause (I) of that
producer or entity shall be ineligible for preferential
treatment under subparagraph (B) during any succeeding 1-year period until the aggregate cost of fabric
components formed in the United States used in the
production of such articles of that producer or entity
in the preceding 1-year period is at least 85 percent
of the aggregate declared customs value of the fabric
contained in all such articles of that producer or entity
that are entered during the preceding 1-year period.
‘‘(v) APPAREL ARTICLES ASSEMBLED FROM FABRICS
OR YARN NOT WIDELY AVAILABLE IN COMMERCIAL QUANTITIES.—(I) Apparel articles that are both cut (or knitto-shape) and sewn or otherwise assembled in one or
more CBTPA beneficiary countries, from fabrics or yarn
that is not formed in the United States or in one
or more CBTPA beneficiary countries, to the extent
that apparel articles of such fabrics or yarn would
be eligible for preferential treatment, without regard
to the source of the fabrics or yarn, under Annex
401 of the NAFTA.
‘‘(II) At the request of any interested party, the
President is authorized to proclaim additional fabrics
and yarn as eligible for preferential treatment under
subclause (I) if—
‘‘(aa) the President determines that such fabrics or yarn cannot be supplied by the domestic
industry in commercial quantities in a timely
manner;
‘‘(bb) the President has obtained advice
regarding the proposed action from the appropriate
advisory committee established under section 135
of the Trade Act of 1974 (19 U.S.C. 2155) and
the United States International Trade Commission;
‘‘(cc) within 60 days after the request, the
President has submitted a report to the Committee
on Ways and Means of the House of Representatives and the Committee on Finance of the Senate
that sets forth the action proposed to be proclaimed
and the reasons for such actions, and the advice
obtained under division (bb);

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‘‘(dd) a period of 60 calendar days, beginning
with the first day on which the President has
met the requirements of division (cc), has expired;
and
‘‘(ee) the President has consulted with such
committees regarding the proposed action during
the period referred to in division (cc).
‘‘(vi) HANDLOOMED, HANDMADE, AND FOLKLORE
ARTICLES.—A handloomed, handmade, or folklore
article of a CBTPA beneficiary country identified under
subparagraph (C) that is certified as such by the competent authority of such beneficiary country.
‘‘(vii) SPECIAL RULES.—
‘‘(I) EXCEPTION FOR FINDINGS AND TRIMMINGS.—(aa) An article otherwise eligible for preferential treatment under this paragraph shall not
be ineligible for such treatment because the article
contains findings or trimmings of foreign origin,
if such findings and trimmings do not exceed 25
percent of the cost of the components of the assembled product. Examples of findings and trimmings
are sewing thread, hooks and eyes, snaps, buttons,
‘bow buds’, decorative lace, trim, elastic strips, zippers, including zipper tapes and labels, and other
similar products. Elastic strips are considered
findings or trimmings only if they are each less
than 1 inch in width and are used in the production of brassieres.
‘‘(bb) In the case of an article described in
clause (ii) of this subparagraph, sewing thread
shall not be treated as findings or trimmings under
this subclause.
‘‘(II) CERTAIN INTERLINING.—(aa) An article
otherwise eligible for preferential treatment under
this paragraph shall not be ineligible for such
treatment because the article contains certain
interlinings of foreign origin, if the value of such
interlinings (and any findings and trimmings) does
not exceed 25 percent of the cost of the components
of the assembled article.
‘‘(bb) Interlinings eligible for the treatment
described in division (aa) include only a chest type
plate, ‘hymo’ piece, or ‘sleeve header’, of woven
or weft-inserted warp knit construction and of
coarse animal hair or man-made filaments.
‘‘(cc) The treatment described in this subclause
shall terminate if the President makes a determination that United States manufacturers are
producing such interlinings in the United States
in commercial quantities.
‘‘(III) DE MINIMIS RULE.—An article that would
otherwise be ineligible for preferential treatment
under this paragraph because the article contains
fibers or yarns not wholly formed in the United
States or in one or more CBTPA beneficiary countries shall not be ineligible for such treatment
if the total weight of all such fibers or yarns is

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not more than 7 percent of the total weight of
the good. Notwithstanding the preceding sentence,
an apparel article containing elastomeric yarns
shall be eligible for preferential treatment under
this paragraph only if such yarns are wholly
formed in the United States.
‘‘(IV) SPECIAL ORIGIN RULE.—An article otherwise eligible for preferential treatment under
clause (i) or (ii) of this subparagraph shall not
be ineligible for such treatment because the article
contains nylon filament yarn (other than elastomeric yarn) that is classifiable under subheading
5402.10.30, 5402.10.60, 5402.31.30, 5402.31.60,
5402.32.30, 5402.32.60, 5402.41.10, 5402.41.90,
5402.51.00, or 5402.61.00 of the HTS duty-free
from a country that is a party to an agreement
with the United States establishing a free trade
area, which entered into force before January 1,
1995.
‘‘(viii) TEXTILE LUGGAGE.—Textile luggage—
‘‘(I) assembled in a CBTPA beneficiary country
from fabric wholly formed and cut in the United
States, from yarns wholly formed in the United
States, that is entered under subheading
9802.00.80 of the HTS; or
‘‘(II) assembled from fabric cut in a CBTPA
beneficiary country from fabric wholly formed in
the United States from yarns wholly formed in
the United States.
‘‘(B) PREFERENTIAL TREATMENT.—Except as provided
in subparagraph (E), during the transition period, the articles to which this subparagraph applies shall enter the
United States free of duty and free of any quantitative
restrictions, limitations, or consultation levels.
‘‘(C) HANDLOOMED, HANDMADE, AND FOLKLORE ARTICLES.—For purposes of subparagraph (A)(vi), the President
shall consult with representatives of the CBTPA beneficiary
countries concerned for the purpose of identifying particular
textile and apparel goods that are mutually agreed upon
as being handloomed, handmade, or folklore goods of a
kind described in section 2.3(a), (b), or (c) of the Annex
or Appendix 3.1.B.11 of the Annex.
‘‘(D) PENALTIES FOR TRANSSHIPMENTS.—
‘‘(i) PENALTIES FOR EXPORTERS.—If the President
determines, based on sufficient evidence, that an
exporter has engaged in transshipment with respect
to textile or apparel articles from a CBTPA beneficiary
country, then the President shall deny all benefits
under this title to such exporter, and any successor
of such exporter, for a period of 2 years.
‘‘(ii) PENALTIES FOR COUNTRIES.—Whenever the
President finds, based on sufficient evidence, that
transshipment has occurred, the President shall
request that the CBTPA beneficiary country or countries through whose territory the transshipment has
occurred take all necessary and appropriate actions

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to prevent such transshipment. If the President determines that a country is not taking such actions, the
President shall reduce the quantities of textile and
apparel articles that may be imported into the United
States from such country by the quantity of the transshipped articles multiplied by 3, to the extent consistent with the obligations of the United States under
the WTO.
‘‘(iii) TRANSSHIPMENT DESCRIBED.—Transshipment
within the meaning of this subparagraph has occurred
when preferential treatment under subparagraph (B)
has been claimed for a textile or apparel article on
the basis of material false information concerning the
country of origin, manufacture, processing, or assembly
of the article or any of its components. For purposes
of this clause, false information is material if disclosure
of the true information would mean or would have
meant that the article is or was ineligible for preferential treatment under subparagraph (B).
‘‘(E) BILATERAL EMERGENCY ACTIONS.—
‘‘(i) IN GENERAL.—The President may take bilateral
emergency tariff actions of a kind described in section
4 of the Annex with respect to any apparel article
imported from a CBTPA beneficiary country if the
application of tariff treatment under subparagraph (B)
to such article results in conditions that would be
cause for the taking of such actions under such section
4 with respect to a like article described in the same
8-digit subheading of the HTS that is imported from
Mexico.
‘‘(ii) RULES RELATING TO BILATERAL EMERGENCY
ACTION.—For purposes of applying bilateral emergency
action under this subparagraph—
‘‘(I) the requirements of paragraph (5) of section 4 of the Annex (relating to providing compensation) shall not apply;
‘‘(II) the term ‘transition period’ in section 4
of the Annex shall have the meaning given that
term in paragraph (5)(D) of this subsection; and
‘‘(III) the requirements to consult specified in
section 4 of the Annex shall be treated as satisfied
if the President requests consultations with the
CBTPA beneficiary country in question and the
country does not agree to consult within the time
period specified under section 4.
‘‘(3) TRANSITION PERIOD TREATMENT OF CERTAIN OTHER
ARTICLES ORIGINATING IN BENEFICIARY COUNTRIES.—
‘‘(A) EQUIVALENT TARIFF TREATMENT.—
‘‘(i) IN GENERAL.—Subject to clause (ii), the tariff
treatment accorded at any time during the transition
period to any article referred to in any of subparagraphs (B) through (F) of paragraph (1) that is a
CBTPA originating good shall be identical to the tariff
treatment that is accorded at such time under Annex
302.2 of the NAFTA to an article described in the
same 8-digit subheading of the HTS that is a good
of Mexico and is imported into the United States.

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‘‘(ii) EXCEPTION.—Clause (i) does not apply to any
article accorded duty-free treatment under U.S. Note
2(b) to subchapter II of chapter 98 of the HTS.
‘‘(B) RELATIONSHIP TO SUBSECTION (h) DUTY REDUCTIONS.—If at any time during the transition period the
rate of duty that would (but for action taken under subparagraph (A)(i) in regard to such period) apply with respect
to any article under subsection (h) is a rate of duty that
is lower than the rate of duty resulting from such action,
then such lower rate of duty shall be applied for the purposes of implementing such action.
‘‘(4) CUSTOMS PROCEDURES.—
‘‘(A) IN GENERAL.—
‘‘(i) REGULATIONS.—Any importer that claims preferential treatment under paragraph (2) or (3) shall
comply with customs procedures similar in all material
respects to the requirements of Article 502(1) of the
NAFTA as implemented pursuant to United States
law, in accordance with regulations promulgated by
the Secretary of the Treasury.
‘‘(ii) DETERMINATION.—
‘‘(I) IN GENERAL.—In order to qualify for the
preferential treatment under paragraph (2) or (3)
and for a Certificate of Origin to be valid with
respect to any article for which such treatment
is claimed, there shall be in effect a determination
by the President that each country described in
subclause (II)—
‘‘(aa) has implemented and follows; or
‘‘(bb) is making substantial progress
toward implementing and following,
procedures and requirements similar in all material respects to the relevant procedures and
requirements under chapter 5 of the NAFTA.
‘‘(II) COUNTRY DESCRIBED.—A country is
described in this subclause if it is a CBTPA beneficiary country—
‘‘(aa) from which the article is exported;
or
‘‘(bb) in which materials used in the
production of the article originate or in which
the article or such materials undergo production that contributes to a claim that the article
is eligible for preferential treatment under
paragraph (2) or (3).
‘‘(B) CERTIFICATE OF ORIGIN.—The Certificate of Origin
that otherwise would be required pursuant to the provisions
of subparagraph (A) shall not be required in the case of
an article imported under paragraph (2) or (3) if such
Certificate of Origin would not be required under Article
503 of the NAFTA (as implemented pursuant to United
States law), if the article were imported from Mexico.
‘‘(C) REPORT BY USTR ON COOPERATION OF OTHER COUNTRIES CONCERNING CIRCUMVENTION.—The United States
Commissioner of Customs shall conduct a study analyzing
the extent to which each CBTPA beneficiary country—

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PUBLIC LAW 106–200—MAY 18, 2000
‘‘(i) has cooperated fully with the United States,
consistent with its domestic laws and procedures, in
instances of circumvention or alleged circumvention
of existing quotas on imports of textile and apparel
goods, to establish necessary relevant facts in the
places of import, export, and, where applicable, transshipment, including investigation of circumvention
practices, exchanges of documents, correspondence,
reports, and other relevant information, to the extent
such information is available;
‘‘(ii) has taken appropriate measures, consistent
with its domestic laws and procedures, against
exporters and importers involved in instances of false
declaration concerning fiber content, quantities,
description, classification, or origin of textile and
apparel goods; and
‘‘(iii) has penalized the individuals and entities
involved in any such circumvention, consistent with
its domestic laws and procedures, and has worked
closely to seek the cooperation of any third country
to prevent such circumvention from taking place in
that third country.
The Trade Representative shall submit to Congress, not
later than October 1, 2001, a report on the study conducted
under this subparagraph.
‘‘(5) DEFINITIONS AND SPECIAL RULES.—For purposes of this
subsection—
‘‘(A) ANNEX.—The term ‘the Annex’ means Annex 300–
B of the NAFTA.
‘‘(B) CBTPA BENEFICIARY COUNTRY.—The term ‘CBTPA
beneficiary country’ means any ‘beneficiary country’, as
defined in section 212(a)(1)(A) of this title, which the President designates as a CBTPA beneficiary country, taking
into account the criteria contained in subsections (b) and
(c) of section 212 and other appropriate criteria, including
the following:
‘‘(i) Whether the beneficiary country has demonstrated a commitment to—
‘‘(I) undertake its obligations under the WTO,
including those agreements listed in section 101(d)
of the Uruguay Round Agreements Act, on or
ahead of schedule; and
‘‘(II) participate in negotiations toward the
completion of the FTAA or another free trade
agreement.
‘‘(ii) The extent to which the country provides
protection of intellectual property rights consistent
with or greater than the protection afforded under
the Agreement on Trade-Related Aspects of Intellectual
Property Rights described in section 101(d)(15) of the
Uruguay Round Agreements Act.
‘‘(iii) The extent to which the country provides
internationally recognized worker rights, including—
‘‘(I) the right of association;
‘‘(II) the right to organize and bargain collectively;

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‘‘(III) a prohibition on the use of any form
of forced or compulsory labor;
‘‘(IV) a minimum age for the employment of
children; and
‘‘(V) acceptable conditions of work with respect
to minimum wages, hours of work, and occupational safety and health;
‘‘(iv) Whether the country has implemented its
commitments to eliminate the worst forms of child
labor, as defined in section 507(6) of the Trade Act
of 1974.
‘‘(v) The extent to which the country has met the
counter-narcotics certification criteria set forth in section 490 of the Foreign Assistance Act of 1961 (22
U.S.C. 2291j) for eligibility for United States assistance.
‘‘(vi) The extent to which the country has taken
steps to become a party to and implements the InterAmerican Convention Against Corruption.
‘‘(vii) The extent to which the country—
‘‘(I) applies transparent, nondiscriminatory,
and competitive procedures in government
procurement equivalent to those contained in the
Agreement on Government Procurement described
in section 101(d)(17) of the Uruguay Round Agreements Act; and
‘‘(II) contributes to efforts in international fora
to develop and implement international rules in
transparency in government procurement.
‘‘(C) CBTPA ORIGINATING GOOD.—
‘‘(i) IN GENERAL.—The term ‘CBTPA originating
good’ means a good that meets the rules of origin
for a good set forth in chapter 4 of the NAFTA as
implemented pursuant to United States law.
‘‘(ii) APPLICATION OF CHAPTER 4.—In applying
chapter 4 of the NAFTA with respect to a CBTPA
beneficiary country for purposes of this subsection—
‘‘(I) no country other than the United States
and a CBTPA beneficiary country may be treated
as being a party to the NAFTA;
‘‘(II) any reference to trade between the United
States and Mexico shall be deemed to refer to
trade between the United States and a CBTPA
beneficiary country;
‘‘(III) any reference to a party shall be deemed
to refer to a CBTPA beneficiary country or the
United States; and
‘‘(IV) any reference to parties shall be deemed
to refer to any combination of CBTPA beneficiary
countries or to the United States and one or more
CBTPA beneficiary countries (or any combination
thereof ).
‘‘(D) TRANSITION PERIOD.—The term ‘transition period’
means, with respect to a CBTPA beneficiary country, the
period that begins on October 1, 2000, and ends on the
earlier of—
‘‘(i) September 30, 2008; or

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Deadline.

Federal Register,
publication.

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‘‘(ii) the date on which the FTAA or another free
trade agreement that makes substantial progress in
achieving the negotiating objectives set forth in
108(b)(5) of Public Law 103–182 (19 U.S.C. 3317(b)(5))
enters into force with respect to the United States
and the CBTPA beneficiary country.
‘‘(E) CBTPA.—The term ‘CBTPA’ means the United
States-Caribbean Basin Trade Partnership Act.
‘‘(F) FTAA.—The term ‘FTAA’ means the Free Trade
Area of the Americas.’’.
(b) DETERMINATION REGARDING RETENTION OF DESIGNATION.—
Section 212(e) of the Caribbean Basin Economic Recovery Act (19
U.S.C. 2702(e)) is amended—
(1) in paragraph (1)—
(A) by redesignating subparagraphs (A) and (B) as
clauses (i) and (ii), respectively;
(B) by inserting ‘‘(A)’’ after ‘‘(1)’’; and
(C) by adding at the end the following:
‘‘(B) The President may, after the requirements of subsection
(a)(2) and paragraph (2) have been met—
‘‘(i) withdraw or suspend the designation of any country
as a CBTPA beneficiary country; or
‘‘(ii) withdraw, suspend, or limit the application of preferential treatment under section 213(b)(2) and (3) to any article
of any country,
if, after such designation, the President determines that, as a
result of changed circumstances, the performance of such country
is not satisfactory under the criteria set forth in section
213(b)(5)(B).’’; and
(2) by adding after paragraph (2) the following new paragraph:
‘‘(3) If preferential treatment under section 213(b)(2) and (3)
is withdrawn, suspended, or limited with respect to a CBTPA beneficiary country, such country shall not be deemed to be a ‘party’
for the purposes of applying section 213(b)(5)(C) to imports of articles for which preferential treatment has been withdrawn, suspended, or limited with respect to such country.’’.
(c) REPORTING REQUIREMENTS.—
(1) Section 212(f ) of the Caribbean Basin Economic
Recovery Act (19 U.S.C. 2702(f )) is amended to read as follows:
‘‘(f ) REPORTING REQUIREMENTS.—
‘‘(1) IN GENERAL.—Not later than December 31, 2001, and
every 2 years thereafter during the period this title is in effect,
the United States Trade Representative shall submit to Congress a report regarding the operation of this title, including—
‘‘(A) with respect to subsections (b) and (c), the results
of a general review of beneficiary countries based on the
considerations described in such subsections; and
‘‘(B) the performance of each beneficiary country or
CBTPA beneficiary country, as the case may be, under
the criteria set forth in section 213(b)(5)(B).
‘‘(2) PUBLIC COMMENT.—Before submitting the report
described in paragraph (1), the United States Trade Representative shall publish a notice in the Federal Register requesting
public comments on whether beneficiary countries are meeting
the criteria listed in section 213(b)(5)(B).’’.

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(2) Section 203(f ) of the Andean Trade Preference Act
(19 U.S.C. 3202(f )) is amended—
(A) by striking ‘‘TRIENNIAL REPORT’’ in the heading
and inserting ‘‘REPORT’’; and
(B) by striking ‘‘On or before’’ and all that follows
through ‘‘enactment of this title’’ and inserting ‘‘Not later
than January 31, 2001’’.
(d) INTERNATIONAL TRADE COMMISSION REPORTS.—
(1) Section 215(a) of the Caribbean Basin Economic
Recovery Act (19 U.S.C. 2704(a)) is amended to read as follows:
‘‘(a) REPORTING REQUIREMENT.—
‘‘(1) IN GENERAL.—The United States International Trade
Commission (in this section referred to as the ‘Commission’)
shall submit to Congress and the President biennial reports
regarding the economic impact of this title on United States
industries and consumers and on the economy of the beneficiary
countries.
‘‘(2) FIRST REPORT.—The first report shall be submitted
not later than September 30, 2001.
‘‘(3) TREATMENT OF PUERTO RICO, ETC.—For purposes of
this section, industries in the Commonwealth of Puerto Rico
and the insular possessions of the United States are considered
to be United States industries.’’.
(2) Section 206(a) of the Andean Trade Preference Act
(19 U.S.C. 3204(a)) is amended to read as follows:
‘‘(a) REPORTING REQUIREMENTS.—
‘‘(1) IN GENERAL.—The United States International Trade
Commission (in this section referred to as the ‘Commission’)
shall submit to Congress and the President biennial reports
regarding the economic impact of this title on United States
industries and consumers, and, in conjunction with other agencies, the effectiveness of this title in promoting drug-related
crop eradication and crop substitution efforts of the beneficiary
countries.
‘‘(2) SUBMISSION.—During the period that this title is in
effect, the report required by paragraph (1) shall be submitted
on December 31 of each year that the report required by section
215 of the Caribbean Basin Economic Recovery Act is not
submitted.
‘‘(3) TREATMENT OF PUERTO RICO, ETC.—For purposes of
this section, industries in the Commonwealth of Puerto Rico
and the insular possessions of the United States are considered
to be United States industries.’’.
(e) TECHNICAL AND CONFORMING AMENDMENTS.—
(1) IN GENERAL.—
(A) Section 211 of the Caribbean Basin Economic
Recovery Act (19 U.S.C. 2701) is amended by inserting
‘‘(or other preferential treatment)’’ after ‘‘treatment’’.
(B) Section 213(a)(1) of the Caribbean Basin Economic
Recovery Act (19 U.S.C. 2703(a)(1)) is amended by inserting
‘‘and except as provided in subsection (b)(2) and (3),’’ after
‘‘Tax Reform Act of 1986,’’.
(2) DEFINITIONS.—Section 212(a)(1) of the Caribbean Basin
Economic Recovery Act (19 U.S.C. 2702(a)(1)) is amended by
adding at the end the following new subparagraphs:

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‘‘(D) The term ‘NAFTA’ means the North American
Free Trade Agreement entered into between the United
States, Mexico, and Canada on December 17, 1992.
‘‘(E) The terms ‘WTO’ and ‘WTO member’ have the
meanings given those terms in section 2 of the Uruguay
Round Agreements Act (19 U.S.C. 3501).’’.

SEC. 212. DUTY-FREE TREATMENT FOR CERTAIN BEVERAGES MADE
WITH CARIBBEAN RUM.

Section 213(a) of the Caribbean Basin Economic Recovery Act
(19 U.S.C. 2703(a)) is amended—
(1) in paragraph (5), by striking ‘‘chapter’’ and inserting
‘‘title’’; and
(2) by adding at the end the following new paragraph:
‘‘(6) Notwithstanding paragraph (1), the duty-free treatment
provided under this title shall apply to liqueurs and spirituous
beverages produced in the territory of Canada from rum if—
‘‘(A) such rum is the growth, product, or manufacture of
a beneficiary country or of the Virgin Islands of the United
States;
‘‘(B) such rum is imported directly from a beneficiary
country or the Virgin Islands of the United States into the
territory of Canada, and such liqueurs and spirituous beverages
are imported directly from the territory of Canada into the
customs territory of the United States;
‘‘(C) when imported into the customs territory of the United
States, such liqueurs and spirituous beverages are classified
in subheading 2208.90 or 2208.40 of the HTS; and
‘‘(D) such rum accounts for at least 90 percent by volume
of the alcoholic content of such liqueurs and spirituous beverages.’’.
19 USC 2701
note.
President.

SEC. 213. MEETINGS OF TRADE MINISTERS AND USTR.

(a) SCHEDULE OF MEETINGS.—The President shall take the
necessary steps to convene a meeting with the trade ministers
of the CBTPA beneficiary countries in order to establish a schedule
of regular meetings, to commence as soon as is practicable, of
the trade ministers and the Trade Representative, for the purpose
set forth in subsection (b).
(b) PURPOSE.—The purpose of the meetings scheduled under
subsection (a) is to reach agreement between the United States
and CBTPA beneficiary countries on the likely timing and procedures for initiating negotiations for CBTPA beneficiary countries
to enter into mutually advantageous free trade agreements with
the United States that contain provisions comparable to those in
the NAFTA and would make substantial progress in achieving
the negotiating objectives set forth in section 108(b)(5) of Public
Law 103–182 (19 U.S.C. 3317(b)(5)).
(c) DEFINITION.—In this section, the term ‘‘CBTPA beneficiary
country’’ has the meaning given that term in section 213(b)(5)(B)
of the Caribbean Basin Economic Recovery Act.

TITLE III—NORMAL TRADE RELATIONS
19 USC 2434
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SEC. 301. NORMAL TRADE RELATIONS FOR ALBANIA.

21:44 May 23, 2000

(a) FINDINGS.—Congress makes the following findings:

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(1) Albania has been found to be in full compliance with
the freedom of emigration requirements under title IV of the
Trade Act of 1974.
(2) Since its emergence from communism, Albania has
made progress toward democratic rule and the creation of a
free-market economy.
(3) Albania has concluded a bilateral investment treaty
with the United States.
(4) Albania has demonstrated a strong desire to build a
friendly relationship with the United States and has been very
cooperative with NATO and the international community
during and after the Kosova crisis.
(5) The extension of unconditional normal trade relations
treatment to the products of Albania will enable the United
States to avail itself of all rights under the World Trade
Organization with respect to Albania when that country
becomes a member of the World Trade Organization.
(b) TERMINATION OF APPLICATION OF TITLE IV OF THE TRADE
ACT OF 1974 TO ALBANIA.—
(1) PRESIDENTIAL DETERMINATIONS AND EXTENSIONS OF
NONDISCRIMINATORY TREATMENT.—Notwithstanding any provision of title IV of the Trade Act of 1974 (19 U.S.C. 2431
et seq.), the President may—
(A) determine that such title should no longer apply
to Albania; and
(B) after making a determination under subparagraph
(A) with respect to Albania, proclaim the extension of nondiscriminatory treatment (normal trade relations treatment) to the products of that country.
(2) TERMINATION OF APPLICATION OF TITLE IV.—On or after
the effective date of the extension under paragraph (1)(B) of
nondiscriminatory treatment to the products of Albania, title
IV of the Trade Act of 1974 shall cease to apply to that country.
SEC. 302. NORMAL TRADE RELATIONS FOR KYRGYZSTAN.

(a) FINDINGS.—Congress makes the following findings:
(1) Kyrgyzstan has been found to be in full compliance
with the freedom of emigration requirements under title IV
of the Trade Act of 1974.
(2) Since its independence from the Soviet Union in 1991,
Kyrgyzstan has made great progress toward democratic rule
and toward creating a free-market economic system.
(3) Kyrgyzstan concluded a bilateral investment treaty with
the United States in 1994.
(4) Kyrgyzstan has demonstrated a strong desire to build
a friendly and cooperative relationship with the United States.
(5) The extension of unconditional normal trade relations
treatment to the products of Kyrgyzstan will enable the United
States to avail itself of all rights under the World Trade
Organization with respect to Kyrgyzstan.
(b) TERMINATION OF APPLICATION OF TITLE IV OF THE TRADE
ACT OF 1974 TO KYRGYZSTAN.—
(1) PRESIDENTIAL DETERMINATIONS AND EXTENSIONS OF
NONDISCRIMINATORY TREATMENT.—Notwithstanding any provision of title IV of the Trade Act of 1974 (19 U.S.C. 2431
et seq.), the President may—

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(A) determine that such title should no longer apply
to Kyrgyzstan; and
(B) after making a determination under subparagraph
(A) with respect to Kyrgyzstan, proclaim the extension
of nondiscriminatory treatment (normal trade relations
treatment) to the products of that country.
(2) TERMINATION OF APPLICATION OF TITLE IV.—On or after
the effective date of the extension under paragraph (1)(B) of
nondiscriminatory treatment to the products of Kyrgyzstan,
title IV of the Trade Act of 1974 shall cease to apply to that
country.

TITLE IV—OTHER TRADE PROVISIONS
SEC. 401. REPORT ON EMPLOYMENT AND TRADE ADJUSTMENT ASSISTANCE.
Deadline.

VerDate 11-MAY-2000

(a) IN GENERAL.—Not later than 9 months after the date of
the enactment of this section, the Comptroller General of the United
States shall submit to Congress a report regarding the efficiency
and effectiveness of Federal and State coordination of employment
and retraining activities associated with the following programs
and legislation:
(1) Trade adjustment assistance (including NAFTA trade
adjustment assistance) provided for under title II of the Trade
Act of 1974.
(2) The Job Training Partnership Act.
(3) The Workforce Investment Act of 1998.
(4) Unemployment insurance.
(b) PERIOD COVERED.—The report shall cover the activities
involved in the programs and legislation listed in subsection (a)
from January 1, 1994, to December 31, 1999.
(c) DATA AND RECOMMENDATIONS.—The report shall at a minimum include specific data and recommendations regarding—
(1) the compatibility of program requirements related to
the employment and retraining of dislocated workers in the
United States, with particular emphasis on the trade adjustment assistance programs provided for under title II of the
Trade Act of 1974;
(2) the compatibility of application procedures related to
the employment and retraining of dislocated workers in the
United States;
(3) the capacity of the programs in addressing foreign trade
and the transfer of production to other countries on workers
in the United States measured in terms of loss of employment
and wages;
(4) the capacity of the programs in addressing foreign trade
and the transfer of production to other countries on secondary
workers in the United States measured in terms of loss of
employment and wages;
(5) how the impact of foreign trade and the transfer of
production to other countries would have changed the number
of beneficiaries covered under the trade adjustment assistance
program if the trade adjustment assistance program covered
secondary workers in the United States; and
(6) the effectiveness of the programs described in subsection
(a) in achieving reemployment of United States workers and

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maintaining wage levels of United States workers who have
been dislocated as a result of foreign trade and the transfer
of production to other countries.
SEC. 402. TRADE ADJUSTMENT ASSISTANCE.

(a) CERTIFICATION OF ELIGIBILITY FOR WORKERS REQUIRED FOR
DECOMMISSIONING OR CLOSURE OF FACILITY.—
(1) IN GENERAL.—Notwithstanding any other provision of
law or any decision by the Secretary of Labor denying certification or eligibility for certification for adjustment assistance
under title II of the Trade Act of 1974, a qualified worker
described in paragraph (2) shall be certified by the Secretary
as eligible to apply for adjustment assistance under such title
II.
(2) QUALIFIED WORKER.—For purposes of this subsection,
a ‘‘qualified worker’’ means a worker who—
(A) was determined to be covered under Trade Adjustment Assistance Certification TA–W–28,438; and
(B) was necessary for the decommissioning or closure
of a nuclear power facility.
(b) EFFECTIVE DATE.—The amendment made by this section
shall take effect on the date of the enactment of this Act.
SEC. 403. RELIQUIDATION OF CERTAIN NUCLEAR FUEL ASSEMBLIES.

(a) IN GENERAL.—Notwithstanding section 514 of the Tariff
Act of 1930 (19 U.S.C. 1514) or any other provision of law, upon
proper request filed with the Secretary of the Treasury not later
than 90 days after the date of the enactment of this Act, the
Secretary shall—
(1) reliquidate as free of duty the entries listed in subsection (b); and
(2) refund any duties paid with respect to such entries
as shown on Customs Service Collection Receipt Number
527006753.
(b) ENTRIES.—The entries referred to in subsection (a) are
as follows:
Entry number
062–2320014–5 ...................................

Deadline.

Date of entry
January 16, 1996

062–2320085–5 ...................................

February 13, 1996

839–4030989–7 ...................................

November 25, 1996

839–4031053–1 ...................................

December 2, 1996

839–4031591–0 ...................................

January 21, 1997.

SEC. 404. REPORTS TO THE FINANCE AND WAYS AND MEANS COMMITTEES.

(a) REPORTS REGARDING INITIATIVES TO UPDATE THE INTERMONETARY FUND.—Section 607 of the Foreign Operations,
Export Financing, and Related Appropriations Act, 1999 (as contained in section 101(d) of division A of the Omnibus Consolidated
and Emergency Supplemental Appropriations Act, 1999) (Public
Law 105–277; 112 Stat. 2681–224), relating to international financial programs and reform, is amended—
(1) by inserting ‘‘Finance,’’ after ‘‘Foreign Relations,’’; and
(2) by inserting ‘‘, Ways and Means,’’ before ‘‘and Banking
and Financial Services’’.
NATIONAL

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Deadline.

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(b) REPORTS ON FINANCIAL STABILIZATION PROGRAMS.—Section
1704(b) of the International Financial Institutions Act (22 U.S.C.
262r–3(b)) is amended to read as follows:
‘‘(b) TIMING.—Not later than March 15, 1999, and semiannually
thereafter, the Secretary of the Treasury shall submit to the
Committees on Banking and Financial Services, Ways and Means,
and International Relations of the House of Representatives and
the Committees on Finance, Foreign Relations, and Banking,
Housing, and Urban Affairs of the Senate a report on the matters
described in subsection (a).’’.
(c) ANNUAL REPORT ON THE STATE OF THE INTERNATIONAL
FINANCIAL SYSTEM, IMF REFORM, AND COMPLIANCE WITH IMF
AGREEMENTS.—Section 1705(a) of the International Financial
Institutions Act (22 U.S.C. 262r–4(a)) is amended by striking ‘‘Committee on Banking and Financial Services of the House of Representatives and the Committee on Foreign Relations of the Senate’’
and inserting ‘‘Committees on Banking and Financial Services and
on Ways and Means of the House of Representatives and the
Committees on Finance and on Foreign Relations of the Senate’’.
(d) AUDITS OF THE IMF.—Section 1706(a) of the International
Financial Institutions Act (22 U.S.C. 262r–5(a)) is amended by
striking ‘‘Committee on Banking and Financial Services of the
House of Representatives and the Committee on Foreign Relations
of the Senate’’ and inserting ‘‘Committees on Banking and Financial
Services and on Ways and Means of the House of Representatives
and the Committees on Finance and on Foreign Relations of the
Senate’’.
(e) REPORT ON PROTECTION OF BORDERS AGAINST DRUG
TRAFFIC.—Section 629 of the Treasury and General Government
Appropriations Act, 1999 (as contained in section 101(h) of division
A of the Omnibus Consolidated and Emergency Supplemental
Appropriations Act, 1999) (Public Law 105–277; 112 Stat. 2681–
522), relating to general provisions, is amended by adding at the
end the following new paragraph:
‘‘(3) For purposes of paragraph (1), the term ‘appropriate
congressional committees’ includes the Committee on Finance of
the Senate and the Committee on Ways and Means of the House
of Representatives.’’.
SEC. 405. CLARIFICATION OF SECTION 334 OF THE URUGUAY ROUND
AGREEMENTS ACT.

(a) IN GENERAL.—Section 334(b)(2) of the Uruguay Round
Agreements Act (19 U.S.C. 3592(b)(2)) is amended—
(1) by redesignating subparagraphs (A) and (B) as clauses
(i) and (ii), respectively;
(2) in the matter preceding clause (i) (as redesignated),
by striking ‘‘Notwithstanding paragraph (1)(D)’’ and inserting
‘‘(A) Notwithstanding paragraph (1)(D) and except as provided
in subparagraphs (B) and (C)’’; and
(3) by adding at the end the following:
‘‘(B) Notwithstanding paragraph (1)(C), fabric classified
under the HTS as of silk, cotton, man-made fiber, or vegetable
fiber shall be considered to originate in, and be the growth,
product, or manufacture of, the country, territory, or possession
in which the fabric is both dyed and printed when accompanied
by two or more of the following finishing operations: bleaching,

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shrinking, fulling, napping, decating, permanent stiffening,
weighting, permanent embossing, or moireing.
‘‘(C) Notwithstanding paragraph (1)(D), goods classified
under HTS heading 6117.10, 6213.00, 6214.00, 6302.22,
6302.29, 6302.52, 6302.53, 6302.59, 6302.92, 6302.93, 6302.99,
6303.92, 6303.99, 6304.19, 6304.93, 6304.99, 9404.90.85, or
9404.90.95, except for goods classified under such headings
as of cotton or of wool or consisting of fiber blends containing
16 percent or more by weight of cotton, shall be considered
to originate in, and be the growth, product, or manufacture
of, the country, territory, or possession in which the fabric
is both dyed and printed when accompanied by two or more
of the following finishing operations: bleaching, shrinking,
fulling, napping, decating, permanent stiffening, weighting,
permanent embossing, or moireing.’’.
(b) EFFECTIVE DATE.—The amendments made by this section
apply to goods entered, or withdrawn from warehouse for consumption, on or after the date of the enactment of this Act.

Applicability.
19 USC 3592
note.

SEC. 406. CHIEF AGRICULTURAL NEGOTIATOR.

Section 141 of the Trade Act of 1974 (19 U.S.C. 2171) is
amended—
(1) by amending subsection (b)(2) to read as follows:
‘‘(2) There shall be in the Office three Deputy United States
Trade Representatives and one Chief Agricultural Negotiator
who shall be appointed by the President, by and with the
advice and consent of the Senate. As an exercise of the rulemaking power of the Senate, any nomination of a Deputy
United States Trade Representative or the Chief Agricultural
Negotiator submitted to the Senate for its advice and consent,
and referred to a committee, shall be referred to the Committee
on Finance. Each Deputy United States Trade Representative
and the Chief Agricultural Negotiator shall hold office at the
pleasure of the President and shall have the rank of Ambassador.’’; and
(2) in subsection (c), by adding at the end the following
new paragraph:
‘‘(5) The principal function of the Chief Agricultural Negotiator shall be to conduct trade negotiations and to enforce
trade agreements relating to United States agricultural products and services. The Chief Agricultural Negotiator shall be
a vigorous advocate on behalf of United States agricultural
interests. The Chief Agricultural Negotiator shall perform such
other functions as the United States Trade Representative may
direct.’’.

President.

SEC. 407. REVISION OF RETALIATION LIST OR OTHER REMEDIAL
ACTION.

Section 306(b)(2) of the Trade Act of 1974 (19 U.S.C. 2416(b)(2))
is amended—
(1) by striking ‘‘If the’’ and inserting the following:
‘‘(A) FAILURE TO IMPLEMENT RECOMMENDATION.—If
the’’; and
(2) by adding at the end the following:
‘‘(B) REVISION OF RETALIATION LIST AND ACTION.—
‘‘(i) IN GENERAL.—Except as provided in clause
(ii), in the event that the United States initiates a
retaliation list or takes any other action described in

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PUBLIC LAW 106–200—MAY 18, 2000
section 301(c)(1)(A) or (B) against the goods of a foreign
country or countries because of the failure of such
country or countries to implement the recommendation
made pursuant to a dispute settlement proceeding
under the World Trade Organization, the Trade Representative shall periodically revise the list or action
to affect other goods of the country or countries that
have failed to implement the recommendation.
‘‘(ii) EXCEPTION.—The Trade Representative is not
required to revise the retaliation list or the action
described in clause (i) with respect to a country, if—
‘‘(I) the Trade Representative determines that
implementation of a recommendation made pursuant to a dispute settlement proceeding described
in clause (i) by the country is imminent; or
‘‘(II) the Trade Representative together with
the petitioner involved in the initial investigation
under this chapter (or if no petition was filed,
the affected United States industry) agree that
it is unnecessary to revise the retaliation list.
‘‘(C) SCHEDULE FOR REVISING LIST OR ACTION.—The
Trade Representative shall, 120 days after the date the
retaliation list or other section 301(a) action is first taken,
and every 180 days thereafter, review the list or action
taken and revise, in whole or in part, the list or action
to affect other goods of the subject country or countries.
‘‘(D) STANDARDS FOR REVISING LIST OR ACTION.—In
revising any list or action against a country or countries
under this subsection, the Trade Representative shall act
in a manner that is most likely to result in the country
or countries implementing the recommendations adopted
in the dispute settlement proceeding or in achieving a
mutually satisfactory solution to the issue that gave rise
to the dispute settlement proceeding. The Trade Representative shall consult with the petitioner, if any, involved
in the initial investigation under this chapter.
‘‘(E) RETALIATION LIST.—The term ‘retaliation list’
means the list of products of a foreign country or countries
that have failed to comply with the report of the panel
or Appellate Body of the WTO and with respect to which
the Trade Representative is imposing duties above the
level that would otherwise be imposed under the Harmonized Tariff Schedule of the United States.
‘‘(F) REQUIREMENT TO INCLUDE RECIPROCAL GOODS ON
RETALIATION LIST.—The Trade Representative shall include
on the retaliation list, and on any revised lists, reciprocal
goods of the industries affected by the failure of the foreign
country or countries to implement the recommendation
made pursuant to a dispute settlement proceeding under
the World Trade Organization, except in cases where
existing retaliation and its corresponding preliminary
retaliation list do not already meet this requirement.’’.

Deadline.

SEC. 408. REPORT ON TRADE ADJUSTMENT ASSISTANCE FOR AGRICULTURAL COMMODITY PRODUCERS.
Deadline.

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(a) IN GENERAL.—Not later than 4 months after the date of
the enactment of this Act, the Secretary of Labor, in consultation

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with the Secretary of Agriculture and the Secretary of Commerce,
shall submit to the Committee on Ways and Means of the House
of Representatives and the Committee on Finance of the Senate
a report that—
(1) examines the applicability to agricultural commodity
producers of trade adjustment assistance programs established
under title II of the Trade Act of 1974; and
(2) sets forth recommendations to improve the operation
of those programs as the programs apply to agricultural commodity producers or to establish a new trade adjustment assistance program for agricultural commodity producers.
(b) CONTENTS.—In preparing the report required by subsection
(a), the Secretary of Labor shall—
(1) assess the degree to which the existing trade adjustment
assistance programs address the adverse effects on agricultural
commodity producers due to price suppression caused by
increased imports of like or directly competitive agricultural
commodities; and
(2) examine the effectiveness of the program benefits
authorized under subchapter B of chapter 2 and chapter 3
of title II of the Trade Act of 1974 in remedying the adverse
effects, including price suppression, caused by increased imports
of like or directly competitive agricultural commodities.
(c) DEFINITIONS.—In this section:
(1) AGRICULTURAL COMMODITY.—The term ‘‘agricultural
commodity’’ means any agricultural commodity, including livestock, fish or harvested seafood in its raw or natural state.
(2) AGRICULTURAL COMMODITY PRODUCER.—The term ‘‘agricultural commodity producer’’ means any person who is engaged
in the production and sale of an agricultural commodity in
the United States and who owns or shares the ownership
and risk of loss of the agricultural commodity.
SEC. 409. AGRICULTURAL TRADE NEGOTIATING OBJECTIVES AND CONSULTATIONS WITH CONGRESS.

7 USC 1736r
note.

(a) FINDINGS.—Congress finds that—
(1) United States agriculture contributes positively to the
United States balance of trade and United States agricultural
exports support in excess of 1,000,000 United States jobs;
(2) United States agriculture competes successfully worldwide despite the fact that United States producers are at a
competitive disadvantage because of the trade distorting support and subsidy practices of other countries and despite the
fact that significant tariff and nontariff barriers exist to United
States exports; and
(3) a successful conclusion of the current World Trade
Organization agricultural negotiations is critically important
to the United States agricultural sector.
(b) OBJECTIVES.—The agricultural trade negotiating objectives
of the United States with respect to the current World Trade
Organization agricultural negotiations include as matters of the
highest priority—
(1) the expeditious elimination of all export subsidies worldwide while maintaining bona fide food aid and preserving
United States market development and export credit programs
that allow the United States to compete with other foreign
export promotion efforts;

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PUBLIC LAW 106–200—MAY 18, 2000
(2) leveling the playing field for United States producers
of agricultural products by eliminating blue box subsidies and
disciplining domestic supports in a way that forces producers
to face world prices on all production in excess of domestic
food security needs while allowing the preservation of nontrade
distorting programs to support family farms and rural communities;
(3) the elimination of state trading enterprises or the adoption of rigorous disciplines that ensure operational transparency, competition, and the end of discriminatory pricing
practices, including policies supporting cross-subsidization and
price undercutting in export markets;
(4) affirming that the World Trade Organization Agreement
on the Application of Sanitary and Phytosanitary Measures
applies to new technologies, including biotechnology, and that
labeling requirements to allow consumers to make choices
regarding biotechnology products or other regulatory requirements may not be used as disguised barriers to trade;
(5) increasing opportunities for United States exports of
agricultural products by reducing tariffs to the same levels
that exist in the United States or to lower levels and by eliminating all nontariff barriers, including—
(A) restrictive or trade distorting practices, including
those that adversely impact perishable or cyclical products;
(B) restrictive rules in the administration of tariffrate quotas; and
(C) other barriers to agriculture trade, including
unjustified restrictions or commercial requirements
affecting new technologies, including biotechnology;
(6) eliminating government policies that create pricedepressing surpluses; and
(7) strengthening dispute settlement procedures to ensure
prompt compliance by foreign governments with their World
Trade Organization obligations including commitments not to
maintain unjustified restrictions on United States exports.
(c) CONSULTATION WITH CONGRESSIONAL COMMITTEES.—
(1) CONSULTATION BEFORE OFFER MADE.—In developing and
before submitting an initial or revised negotiating proposal
that would reduce United States tariffs on agricultural products
or require a change in United States agricultural law, the
United States Trade Representative shall consult with the Committee on Agriculture, Nutrition, and Forestry and the Committee on Finance of the Senate and the Committee on Agriculture and the Committee on Ways and Means of the House
of Representatives.
(2) CONSULTATION WITH CONGRESSIONAL TRADE ADVISERS.—
Prior to and during the course of current negotiations on agricultural trade, the United States Trade Representative shall
consult closely with the congressional trade advisers.
(3) CONSULTATION BEFORE AGREEMENT INITIALED.—Not less
than 48 hours before initialing an agreement reached as part
of current World Trade Organization agricultural negotiations,
the United States Trade Representative shall consult closely
with the committees referred to in paragraph (1) regarding—
(A) the details of the agreement;
(B) the potential impact of the agreement on United
States agricultural producers; and

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(C) any changes in United States law necessary to
implement the agreement.
(4) DISCLOSURE OF COMMITMENTS.—Any agreement or other
understanding addressing agricultural trade with a foreign
government or governments (whether oral or in writing) that
relates to a trade agreement with respect to which Congress
must enact implementing legislation and that is not disclosed
to Congress before legislation implementing that agreement
is introduced in either House of Congress shall not be considered to be part of the agreement approved by Congress and
shall have no force and effect under United States law or
in any dispute settlement body.
(d) SENSE OF THE CONGRESS.—It is the sense of the Congress
that—
(1) granting the President trade negotiating authority is
essential to the successful conclusion of the new round of World
Trade Organization agricultural negotiations;
(2) reaching a successful agreement on agriculture should
be the top priority of United States negotiators; and
(3) if by the conclusion of the negotiations, the primary
agricultural competitors of the United States do not agree to
reduce their trade distorting domestic supports and eliminate
export subsidies in accordance with the negotiating objectives
expressed in this section, the United States should take steps
to increase the leverage of United States negotiators and level
the playing field for United States producers.
SEC. 410. ENTRY PROCEDURES FOR FOREIGN TRADE ZONE OPERATIONS.

(a) IN GENERAL.—Section 484 of the Tariff Act of 1930 (19
U.S.C. 1484) is amended by adding at the end the following new
subsection:
‘‘(i) SPECIAL RULE FOR FOREIGN TRADE ZONE OPERATIONS.—
‘‘(1) IN GENERAL.—Notwithstanding any other provision of
law and except as provided in paragraph (3), all merchandise
(including merchandise of different classes, types, and categories), withdrawn from a foreign trade zone during any 7day period, shall, at the option of the operator or user of
the zone, be the subject of a single estimated entry or release
filed on or before the first day of the 7-day period in which
the merchandise is to be withdrawn from the zone. The estimated entry or release shall be treated as a single entry and
a single release of merchandise for purposes of section
13031(a)(9)(A) of the Consolidated Omnibus Budget Reconciliation Act of 1985 (19 U.S.C. 58c(a)(9)(A)) and all fee exclusions
and limitations of such section 13031 shall apply, including
the maximum and minimum fee amounts provided for under
subsection (b)(8)(A)(i) of such section. The entry summary for
the estimated entry or release shall cover only the merchandise
actually withdrawn from the foreign trade zone during the
7-day period.
‘‘(2) OTHER REQUIREMENTS.—The Secretary of the Treasury
may require that the operator or user of the zone—
‘‘(A) use an electronic data interchange approved by
the Customs Service—
‘‘(i) to file the entries described in paragraph (1);
and

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19 USC 1484
note.

PUBLIC LAW 106–200—MAY 18, 2000

‘‘(ii) to pay the applicable duties, fees, and taxes
with respect to the entries; and
‘‘(B) satisfy the Customs Service that accounting,
transportation, and other controls over the merchandise
are adequate to protect the revenue and meet the requirements of other Federal agencies.
‘‘(3) EXCEPTION.—The provisions of paragraph (1) shall not
apply to merchandise the entry of which is prohibited by law
or merchandise for which the filing of an entry summary is
required before the merchandise is released from customs custody.
‘‘(4) FOREIGN TRADE ZONE; ZONE.—In this subsection, the
terms ‘foreign trade zone’ and ‘zone’ mean a zone established
pursuant to the Act of June 18, 1934, commonly known as
the Foreign Trade Zones Act (19 U.S.C. 81a et seq.).’’.
(b) EFFECTIVE DATE.—The amendment made by this section
shall take effect on the date that is 60 days after the date of
the enactment of this Act.
SEC. 411. GOODS MADE WITH FORCED OR INDENTURED CHILD LABOR.

19 USC 1307
note.

(a) IN GENERAL.—Section 307 of the Tariff Act of 1930 (19
U.S.C. 1307) is amended by adding at the end the following new
sentence: ‘‘For purposes of this section, the term ‘forced labor or/
and indentured labor’ includes forced or indentured child labor.’’.
(b) EFFECTIVE DATE.—The amendment made by this section
shall take effect on the date of the enactment of this Act.
SEC. 412. WORST FORMS OF CHILD LABOR.

(a) IN GENERAL.—Section 502(b)(2) of the Trade Act of 1974
(19 U.S.C. 2462(b)(2)) is amended—
(1) by inserting after subparagraph (G) the following new
subparagraph:
‘‘(H) Such country has not implemented its commitments to eliminate the worst forms of child labor.’’; and
(2) in the flush paragraph at the end, by striking ‘‘and
(G)’’ and inserting ‘‘(G), and (H) (to the extent described in
section 507(6)(D))’’.
(b) DEFINITION OF WORST FORMS OF CHILD LABOR.—Section
507 of the Trade Act of 1974 (19 U.S.C. 2467) is amended by
adding at the end the following new paragraph:
‘‘(6) WORST FORMS OF CHILD LABOR.—The term ‘worst forms
of child labor’ means—
‘‘(A) all forms of slavery or practices similar to slavery,
such as the sale or trafficking of children, debt bondage
and serfdom, or forced or compulsory labor, including forced
or compulsory recruitment of children for use in armed
conflict;
‘‘(B) the use, procuring, or offering of a child for prostitution, for the production of pornography or for pornographic purposes;
‘‘(C) the use, procuring, or offering of a child for illicit
activities in particular for the production and trafficking
of drugs; and
‘‘(D) work which, by its nature or the circumstances
in which it is carried out, is likely to harm the health,
safety, or morals of children.

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The work referred to in subparagraph (D) shall be determined
by the laws, regulations, or competent authority of the beneficiary developing country involved.’’.
(c) ANNUAL REPORT.—Section 504 of the Trade Act of 1974
(19 U.S.C. 2464) is amended by inserting ‘‘, including the findings
of the Secretary of Labor with respect to the beneficiary country’s
implementation of its international commitments to eliminate the
worst forms of child labor’’ before the end period.

TITLE V—IMPORTS OF CERTAIN WOOL
ARTICLES
SEC. 501. TEMPORARY DUTY REDUCTIONS.

(a) CERTAIN WORSTED WOOL FABRICS WITH AVERAGE FIBER
DIAMETERS GREATER THAN 18.5 MICRON.—
(1) IN GENERAL.—Subchapter II of chapter 99 of the Harmonized Tariff Schedule of the United States is amended by
inserting in numerical sequence the following new heading:
‘‘

9902.51.11

Fabrics, of worsted wool,
with average fiber diameters greater than 18.5 micron, all the foregoing
certified by the importer
as suitable for use in
making suits, suit-type
jackets, or trousers (provided for in subheading
5111.11.70, 5111.19.60,
5112.11.20, or 5112.19.90)

19.3%

No change

No change

On or before
12/31/2003

’’.

(2) STAGED RATE REDUCTIONS.—Any staged rate reduction
of a rate of duty set forth in subheading 6203.31.00 of the
Harmonized Tariff Schedule of the United States that is proclaimed by the President shall also apply to the corresponding
rate of duty set forth in heading 9902.51.11 of such Schedule,
as added by paragraph (1).
(b) CERTAIN WORSTED WOOL FABRICS WITH AVERAGE FIBER
DIAMETERS OF 18.5 MICRON OR LESS.—
(1) IN GENERAL.—Subchapter II of chapter 99 of the Harmonized Tariff Schedule of the United States is amended by
inserting in numerical sequence the following new heading:
‘‘

9902.51.12

Fabrics, of worsted wool,
with average fiber diameters of 18.5 micron or
less, all the foregoing certified by the importer as
suitable for use in making suits, suit-type jackets, or trousers (provided
for in subheading
5111.11.70, 5111.19.60,
5112.11.20, or 5112.19.90)

6%

No change

No change

On or before
12/31/2003

Applicability.

’’.

(2) EQUALIZATION WITH CANADIAN DUTY RATES.—The President is authorized to proclaim a reduction in the rate of duty
applicable to imports of worsted wool fabrics classified under
subheading 9902.51.12 of the Harmonized Tariff Schedule of
the United States, as added by paragraph (1), that is necessary
to equalize such rate of duty with the most favored nation

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President.

Applicability.

PUBLIC LAW 106–200—MAY 18, 2000

rate of duty applicable to imports of worsted wool fabrics of
the kind described in such subheading imported into Canada.
(c) DEFINITIONS.—The U.S. Notes to subchapter II of chapter
99 of the Harmonized Tariff Schedule of the United States are
amended by adding at the end the following:
‘‘13. For purposes of headings 9902.51.11 and 9902.51.12, the
term ‘suit’ has the meaning given such term under note 3(a) of
chapter 62 for purposes of headings 6203 and 6204.
‘‘14. For purposes of headings 9902.51.11 and 9902.51.12, the
term ‘making’ means cut and sewn in the United States.’’.
(d) LIMITATION ON QUANTITY OF IMPORTS.—The U.S. Notes
to subchapter II of chapter 99 of the Harmonized Tariff Schedule
of the United States, as amended by subsection (c), are further
amended by adding at the end the following:
‘‘15. The aggregate quantity of worsted wool fabrics entered
under heading 9902.51.11 from January 1 to December 31 of each
year, inclusive, shall be limited to 2,500,000 square meter equivalents, or such other quantity proclaimed by the President pursuant
to section 504(b)(3) of the Trade and Development Act of 2000.
‘‘16. The aggregate quantity of worsted wool fabrics entered
under subheading 9902.51.12 from January 1 to December 31 of
each year, inclusive, shall be limited to 1,500,000 square meter
equivalents, or such other quantity proclaimed by the President
pursuant to section 504(b)(3) of the Trade and Development Act
of 2000.’’.
(e) ALLOCATION OF TARIFF-RATE QUOTAS.—In implementing the
limitation on the quantity of imports of worsted wool fabrics under
headings 9902.51.11 and 9902.51.12 of the Harmonized Tariff
Schedule of the United States, as required by U.S. Notes 15 and
16 of subchapter II of chapter 99 of such Schedule, respectively,
for the entry, or withdrawal from warehouse for consumption, the
President, consistent with United States international obligations,
shall take such action as determined appropriate by the President
to ensure that such fabrics are fairly allocated to persons (including
firms, corporations, or other legal entities) who cut and sew men’s
and boys’ worsted wool suits and suit-like jackets and trousers
in the United States and who apply for an allocation based on
the amount of such suits cut and sewn during the prior calendar
year.
(f ) EFFECTIVE DATE.—The amendments made by this section
apply with respect to goods entered, or withdrawn from warehouse
for consumption, on or after January 1, 2001.
SEC. 502. TEMPORARY DUTY SUSPENSIONS.

(a) WOOL YARN WITH AVERAGE FIBER DIAMETERS OF 18.5
MICRON OR LESS.—Subchapter II of chapter 99 of the Harmonized
Tariff Schedule of the United States is amended by inserting in
numerical sequence the following new heading:
‘‘

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Yarn, of combed wool, not
put up for retail sale, containing 85 percent or
more by weight of wool,
formed with wool fibers
having diameters of 18.5
micron or less (provided
for in subheading
5107.10.00) .......................

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PUBLIC LAW 106–200—MAY 18, 2000

114 STAT. 301

(b) WOOL FIBER AND WOOL TOP WITH AVERAGE DIAMETERS
18.5 MICRON OR LESS.—Subchapter II of chapter 99 of the
Harmonized Tariff Schedule of the United States is amended by
inserting in numerical sequence the following new heading:

OF

‘‘

9902.51.14

Wool fiber, waste,
garnetted stock, combed
wool, or wool top, having
average fiber diameters of
18.5 micron or less (provided for in subheading
5101.11, 5101.19,
5101.21, 5101.29,
5101.30, 5103.10,
5103.20, 5104.00,
5105.21, or 5105.29) ........

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’’.

(c) EFFECTIVE DATE.—The amendments made by this section
apply with respect to goods entered, or withdrawn from warehouse
for consumption, on or after January 1, 2001.

Applicability.

SEC. 503. SEPARATE TARIFF LINE TREATMENT FOR WOOL YARN AND
MEN’S OR BOYS’ SUITS AND SUIT-TYPE JACKETS AND
TROUSERS OF WORSTED WOOL FABRIC.

President.

(a) SEPARATE TARIFF LINE TREATMENT.—The President shall
proclaim 8-digit tariff categories, without changes in existing duty
rates, in chapters 51 and 62 of the Harmonized Tariff Schedule
of the United States in order to provide separate tariff treatment
for—
(1) wool yarn made of wool fiber with an average fiber
diameter of 18.5 micron or less, and wool fabrics made from
yarns with an average fiber diameter of 18.5 micron or less;
and
(2) men’s or boys’ suits, suit-type jackets, and trousers
of worsted wool fabric, made of wool yarn having an average
diameter of 18.5 micron or less.
(b) CONFORMING CHANGES.—The President is authorized to
make conforming changes in headings 9902.51.11, 9902.51.12,
9902.51.13, and 9902.51.14 of the Harmonized Tariff Schedule of
the United States to take into account the new permanent tariff
categories proclaimed under subsection (a).
SEC. 504. MONITORING OF MARKET CONDITIONS AND AUTHORITY TO
MODIFY TARIFF REDUCTIONS.

(a) MONITORING OF MARKET CONDITIONS.—Beginning on the
date of the enactment of this Act, the President shall monitor
market conditions in the United States, including domestic demand,
domestic supply, and increases in domestic production, of worsted
wool fabrics and their components in the market for—
(1) men’s or boys’ worsted wool suits, suit-type jackets,
and trousers;
(2) worsted wool fabric and yarn used in the manufacture
of such suits, jackets, and trousers; and
(3) wool used in the production of such fabrics and yarn.
(b) AUTHORITY TO MODIFY LIMITATION ON QUANTITY OF WORSTED WOOL FABRICS SUBJECT TO TARIFF REDUCTION.—
(1) IN GENERAL.—The President shall, on an annual basis,
consider requests made by United States manufacturers of
apparel products made of worsted wool fabrics described in
subsection (a) to modify the limitation on the quantity of
imports of worsted wool fabrics under headings 9902.51.11 and

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114 STAT. 302

Regulations.

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PUBLIC LAW 106–200—MAY 18, 2000

9902.51.12 of the Harmonized Tariff Schedule of the United
States, as required by U.S. Notes 15 and 16 of subchapter
II of chapter 99 of such Schedule, respectively.
(2) CONSIDERATION OF CERTAIN MARKET CONDITIONS.—In
determining whether to modify the limitation on the quantity
of imports of worsted wool fabrics described in paragraph (1),
the President shall consider the following United States market
conditions:
(A) Increases or decreases in sales of the domesticallyproduced worsted wool fabrics described in subsection (a).
(B) Increases or decreases in domestic production of
such fabrics.
(C) Increases or decreases in domestic production and
consumption of the apparel items described in subsection
(a).
(D) The ability of domestic producers of worsted wool
fabrics described in subsection (a) to meet the needs of
domestic manufacturers of the apparel items described in
subsection (a) in terms of quantity and ability to meet
market demands for the apparel items.
(E) Evidence that domestic manufacturers of worsted
wool fabrics have lost sales due to the temporary duty
reductions on certain worsted wool fabrics under headings
9902.51.11 and 9902.51.12 of the Harmonized Tariff
Schedule of the United States (as added by subsections
(a) and (b) of section 501).
(F) Evidence that domestic manufacturers of apparel
items described in subsection (a) have lost sales due to
the inability to purchase adequate supplies of worsted wool
fabrics on a cost competitive basis.
(G) Price per square meter of imports and domestic
sales of worsted wool fabrics.
(3) MODIFICATION OF LIMITATION ON QUANTITY OF FABRICS.—
(A) IN GENERAL.—If the President determines that the
limitation on the quantity of imports of worsted wool fabrics
under headings 9902.51.11 and 9902.51.12 of the Harmonized Tariff Schedule of the United States should be
modified, the President shall proclaim such changes to
U.S. Note 15 or 16 to subchapter II of chapter 99 of such
Schedule (as added by section 501(d)), as the President
determines to be appropriate.
(B) ADDITIONAL REQUIREMENT.—In any calendar year,
any modification of the limitation on the quantity of
imports of worsted wool fabrics under headings 9902.51.11
and 9902.51.12 of the Harmonized Tariff Schedule of the
United States shall not exceed—
(i) 1,000,000 square meter equivalents for worsted
wool fabrics under heading 9902.51.11; and
(ii) 1,000,000 square meter equivalents for worsted
wool fabrics under heading 9902.51.12.
(c) IMPLEMENTATION.—The President shall issue regulations
necessary to implement the provisions of this section.

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PUBLIC LAW 106–200—MAY 18, 2000

114 STAT. 303

SEC. 505. REFUND OF DUTIES PAID ON IMPORTS OF CERTAIN WOOL
ARTICLES.

(a) WORSTED WOOL FABRICS.—In each of the calendar years
2000, 2001, and 2002, a manufacturer of men’s or boys’ suits,
suit-type jackets, or trousers (not a broker or other individual
acting on behalf of the manufacturer to process the import) of
imported worsted wool fabrics of the kind described in heading
9902.51.11 or 9902.51.12 of the Harmonized Tariff Schedule of
the United States shall be eligible for a refund of duties paid
on entries of such fabrics in each such calendar year in an amount
equal to one-third of the amount of duties paid by the importer
on such worsted wool fabrics (without regard to micron level)
imported in calendar year 1999.
(b) WOOL YARN.—In each of the calendar years 2000, 2001,
and 2002, a manufacturer of worsted wool fabrics who imports
wool yarn of the kind described in heading 9902.51.13 of the Harmonized Tariff Schedule of the United States shall be eligible for
a refund of duties paid on entries of such wool yarn in each
such calendar year in an amount equal to one-third of the amount
of duties paid by the manufacturer on such wool yarn (without
regard to micron level) imported in calendar year 1999.
(c) WOOL FIBER AND WOOL TOP.—In each of the calendar years
2000, 2001, and 2002, a manufacturer of wool yarn or wool fabric
who imports wool fiber or wool top of the kind described in heading
9902.51.14 of the Harmonized Tariff Schedule of the United States
shall be eligible for a refund of duties paid on entries of such
wool fiber in each such calendar year in an amount equal to onethird of the amount of duties paid by the manufacturer on such
wool fiber (without regard to micron level) imported in calendar
year 1999.
(d) PROPER IDENTIFICATION AND APPROPRIATE CLAIM.—Any person applying for a rebate under this section shall properly identify
and make appropriate claim to the United States Customs Service
for each entry involved.
SEC. 506. WOOL RESEARCH, DEVELOPMENT, AND PROMOTION TRUST
FUND.

7 USC 7101 note.

(a) ESTABLISHMENT.—There is hereby established within the
Treasury of the United States a trust fund to be known as the
Wool Research, Development, and Promotion Trust Fund (hereafter
in this section referred to as the ‘‘Trust Fund’’), consisting of such
amounts as may be transferred to the Trust Fund under subsection
(b)(1) and any amounts as may be credited to the Trust Fund
under subsection (c)(2).
(b) TRANSFER OF AMOUNTS.—
(1) IN GENERAL.—The Secretary of the Treasury shall
transfer to the Trust Fund out of the general fund of the
Treasury of the United States amounts determined by the
Secretary of the Treasury to be equivalent to the amounts
received into such general fund that are attributable to the
duty received on articles under chapters 51 and 52 of the
Harmonized Tariff Schedule of the United States, subject to
the limitation in paragraph (2).
(2) LIMITATION.—The Secretary shall not transfer more
than $2,250,000 to the Trust Fund in any fiscal year.

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114 STAT. 304

Effective date.

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PUBLIC LAW 106–200—MAY 18, 2000

(3) TRANSFERS BASED ON ESTIMATES.—The amounts
required to be transferred under paragraph (1) shall be transferred at least quarterly from the general fund of the Treasury
of the United States to the Trust Fund on the basis of estimates
made by the Secretary of the Treasury of the amounts referred
to in paragraph (1) that are received into the Treasury. Proper
adjustments shall be made in the amounts subsequently transferred to the extent prior estimates were in excess of, or less
than, the amounts required to be transferred.
(c) INVESTMENT OF TRUST FUND.—
(1) IN GENERAL.—It shall be the duty of the Secretary
of the Treasury to invest such portion of the Trust Fund as
is not, in the Secretary’s judgment, required to meet current
withdrawals. Such investments may be made only in interestbearing obligations of the United States or in obligations
guaranteed as to both principal and interest by the United
States. For such purpose, such obligations may be acquired
on original issue at the issue price or by purchase of outstanding
obligations at the market price. Any obligation acquired by
the Trust Fund may be sold by the Secretary of the Treasury
at the market price.
(2) INTEREST AND PROCEEDS FROM SALE OR REDEMPTION
OF OBLIGATIONS.—The interest on, and the proceeds from the
sale or redemption of, any obligations held in the Trust Fund
shall be credited to and form a part of the Trust Fund.
(d) AVAILABILITY OF AMOUNTS FROM TRUST FUND.—From
amounts available in the Trust Fund (including any amounts not
obligated in previous fiscal years), the Secretary of Agriculture
is authorized to provide grants to a nationally-recognized council
established for the development of the United States wool market
for the following purposes:
(1) Assist United States wool producers to improve the
quality of wool produced in the United States, including to
improve wool production methods.
(2) Disseminate information on improvements described
in paragraph (1) to United States wool producers generally.
(3) Assist United States wool producers in the development
and promotion of the wool market.
(e) REPORTS TO CONGRESS.—The Secretary of the Treasury,
in consultation with the Secretary of Agriculture, shall prepare
and submit to Congress an annual report on the financial condition
and the results of the operations of the Trust Fund, including
a description of the use of amounts of grants provided under subsection (d), during the preceding fiscal year and on its expected
condition and operations during the next fiscal year.
(f ) SUNSET PROVISION.—Effective January 1, 2004, the Trust
Fund shall be abolished and all amounts in the Trust Fund on
such date shall be transferred to the general fund of the Treasury
of the United States.

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PUBLIC LAW 106–200—MAY 18, 2000

114 STAT. 305

TITLE VI—REVENUE PROVISIONS
SEC.

601.

APPLICATION OF DENIAL OF FOREIGN TAX CREDIT
REGARDING TRADE AND INVESTMENT WITH RESPECT TO
CERTAIN FOREIGN COUNTRIES.

(a) IN GENERAL.—Section 901( j) of the Internal Revenue Code
of 1986 (relating to denial of foreign tax credit, etc., regarding
trade and investment with respect to certain foreign countries)
is amended by adding at the end the following new paragraph:
‘‘(5) WAIVER OF DENIAL.—
‘‘(A) IN GENERAL.—Paragraph (1) shall not apply with
respect to taxes paid or accrued to a country if the
President—
‘‘(i) determines that a waiver of the application
of such paragraph is in the national interest of the
United States and will expand trade and investment
opportunities for United States companies in such
country; and
‘‘(ii) reports such waiver under subparagraph (B).
‘‘(B) REPORT.—Not less than 30 days before the date
on which a waiver is granted under this paragraph, the
President shall report to Congress—
‘‘(i) the intention to grant such waiver; and
‘‘(ii) the reason for the determination under
subparagraph (A)(i).’’.
(b) EFFECTIVE DATE.—The amendment made by this section
shall apply on or after February 1, 2001.

26 USC 901.

Deadline.

Deadline.
26 USC 901 note.

SEC. 602. ACCELERATION OF COVER OVER PAYMENTS TO PUERTO
RICO AND VIRGIN ISLANDS.

(a) INITIAL PAYMENT.—Section 512(b) of the Ticket to Work
and Work Incentives Improvement Act of 1999 is amended—
(1) by striking ‘‘October 1, 2000,’’ in the matter preceding
paragraph (1) and inserting ‘‘the first day of the month within
which the date of the enactment of the Trade and Development
Act of 2000 occurs,’’; and
(2) by striking paragraph (2) and inserting the following
new paragraph:
‘‘(2) SECOND TRANSFER OF INCREMENTAL INCREASE IN COVER
OVER ATTRIBUTABLE TO PERIODS BEFORE RESUMPTION OF REGULAR PAYMENTS.—The Secretary of the Treasury shall transfer
on the first payment date after the date of the enactment
of the Trade and Development Act of 2000 an amount equal
to the excess of—
‘‘(A) the amount of such increase otherwise required
to be covered over after June 30, 1999, and before the
first day of the month within which such date of enactment
occurs, over
‘‘(B) the amount of the transfer described in paragraph
(1).’’.
(b) CLARIFICATION OF DISPOSITION OF TAXES TO VIRGIN
ISLANDS.—So much of paragraph (3) of section 7652(b) of the
Internal Revenue Code of 1986 (relating to Virgin Islands) as precedes subparagraph (B) thereof is amended to read as follows:
‘‘(3) DISPOSITION OF INTERNAL REVENUE COLLECTIONS.—The
Secretary shall determine the amount of all taxes imposed

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114 STAT. 306

26 USC 7652.

Applicability.
26 USC 7652
note.

PUBLIC LAW 106–200—MAY 18, 2000

by, and collected under the internal revenue laws of the United
States on articles produced in the Virgin Islands and transported to the United States. The amount so determined less
1 percent and less the estimated amount of refunds or credits
shall be subject to disposition as follows:
‘‘(A) The payment of an estimated amount shall be
made to the government of the Virgin Islands before the
commencement of each fiscal year as set forth in section
4(c)(2) of the Act entitled ‘An Act to authorize appropriations for certain insular areas of the United States, and
for other purposes’, approved August 18, 1978 (48 U.S.C.
1645), as in effect on the date of the enactment of the
Trade and Development Act of 2000. The payment so made
shall constitute a separate fund in the treasury of the
Virgin Islands and may be expended as the legislature
may determine.’’.
(c) RESOLUTION OF STATUTORY CONFLICT.—Section 7652 of the
Internal Revenue Code of 1986 (relating to shipments to the United
States) is amended by adding at the end the following new subsection:
‘‘(h) MANNER OF COVER OVER OF TAX MUST BE DERIVED FROM
THIS TITLE.—No amount shall be covered into the treasury of Puerto
Rico or the Virgin Islands with respect to taxes for which cover
over is provided under this section unless made in the manner
specified in this section without regard to—
‘‘(1) any provision of law which is not contained in this
title or in a revenue Act; and
‘‘(2) whether such provision of law is a subsequently
enacted provision or directly or indirectly seeks to waive the
application of this subsection.’’.
(d) EFFECTIVE DATE.—The amendments made by this section
shall apply with respect to transfers or payments made after the
date of the enactment of this Act.
Approved May 18, 2000.

LEGISLATIVE HISTORY—H.R. 434 (S. 1387):
HOUSE REPORTS: Nos. 106–19, Pt. 1 (Comm. on International Relations) and, Pt.
2 (Comm. on Ways and Means), and 106–606 (Comm. of Conference).
SENATE REPORTS: No. 106–112 accompanying S. 1387 (Comm. on Finance).
CONGRESSIONAL RECORD:
Vol. 145 (1999): July 16, considered and passed House.
Oct. 27–29, Nov. 1–3, considered and passed Senate,
amended.
Vol. 146 (2000): May 4, House agreed to conference report.
May 10, 11, Senate considered and agreed to conference
report.
WEEKLY COMPILATION OF PRESIDENTIAL DOCUMENTS, Vol. 36 (2000):
May 18, Presidential remarks.

Æ

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