U.S.-Austrailia PL

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Free Trade Agreements

U.S.-Austrailia PL

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PUBLIC LAW 108–286—AUG. 3, 2004

118 STAT. 919

Public Law 108–286
108th Congress
An Act
To implement the United States-Australia Free Trade Agreement.

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 ‘‘United StatesAustralia Free Trade Agreement Implementation Act’’.
(b) TABLE OF CONTENTS.—The table of contents for this Act
is as follows:

Aug. 3, 2004
[H.R. 4759]
United StatesAustralia Free
Trade Agreement
Implementation
Act.
19 USC 3805
note.

Sec. 1. Short title; table of contents.
Sec. 2. Purposes.
Sec. 3. Definitions.
TITLE I—APPROVAL OF, AND GENERAL PROVISIONS RELATING TO, THE
AGREEMENT
Sec. 101. Approval and entry into force of the Agreement.
Sec. 102. Relationship of the Agreement to United States and State law.
Sec. 103. Implementing actions in anticipation of entry into force and initial regulations.
Sec. 104. Consultation and layover provisions for, and effective date of, proclaimed
actions.
Sec. 105. Administration of dispute settlement proceedings.
Sec. 106. Effective dates; effect of termination.
Sec.
Sec.
Sec.
Sec.
Sec.
Sec.
Sec.

201.
202.
203.
204.
205.
206.
207.

TITLE II—CUSTOMS PROVISIONS
Tariff modifications.
Additional duties on certain agricultural goods.
Rules of origin.
Customs user fees.
Disclosure of incorrect information.
Enforcement relating to trade in textile and apparel goods.
Regulations.
TITLE III—RELIEF FROM IMPORTS

Sec. 301. Definitions.

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

311.
312.
313.
314.
315.
316.

Subtitle A—Relief From Imports Benefiting From the Agreement
Commencing of action for relief.
Commission action on petition.
Provision of relief.
Termination of relief authority.
Compensation authority.
Confidential business information.

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

321.
322.
323.
324.
325.
326.

Subtitle B—Textile and Apparel Safeguard Measures
Commencement of action for relief.
Determination and provision of relief.
Period of relief.
Articles exempt from relief.
Rate after termination of import relief.
Termination of relief authority.

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118 STAT. 920

PUBLIC LAW 108–286—AUG. 3, 2004

Sec. 327. Compensation authority.
Sec. 328. Business confidential information.
Subtitle C—Cases Under Title II of the Trade Act of 1974
Sec. 331. Findings and action on goods from Australia.
TITLE IV—PROCUREMENT
Sec. 401. Eligible products.
19 USC 3805
note.

SEC. 2. PURPOSES.

19 USC 3805
note.

SEC. 3. DEFINITIONS.

The purposes of this Act are—
(1) to approve and implement the Free Trade Agreement
between the United States and Australia, entered into under
the authority of section 2103(b) of the Bipartisan Trade Promotion Authority Act of 2002 (19 U.S.C. 3803(b));
(2) to strengthen and develop economic relations between
the United States and Australia for their mutual benefit;
(3) to establish free trade between the 2 nations through
the reduction and elimination of barriers to trade in goods
and services and to investment; and
(4) to lay the foundation for further cooperation to expand
and enhance the benefits of such Agreement.
In this Act:
(1) AGREEMENT.—The term ‘‘Agreement’’ means the United
States-Australia Free Trade Agreement approved by Congress
under section 101(a)(1).
(2) HTS.—The term ‘‘HTS’’ means the Harmonized Tariff
Schedule of the United States.
(3) TEXTILE OR APPAREL GOOD.—The term ‘‘textile or
apparel good’’ means a good listed in the Annex to 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)).

TITLE I—APPROVAL OF, AND GENERAL
PROVISIONS
RELATING
TO,
THE
AGREEMENT
19 USC 3805
note.

SEC. 101. APPROVAL AND ENTRY INTO FORCE OF THE AGREEMENT.

(a) APPROVAL OF AGREEMENT AND STATEMENT OF ADMINISTRAACTION.—Pursuant to section 2105 of the Bipartisan Trade
Promotion Authority Act of 2002 (19 U.S.C. 3805) and section
151 of the Trade Act of 1974 (19 U.S.C. 2191), Congress approves—
(1) the United States-Australia Free Trade Agreement
entered into on May 18, 2004, with the Government of Australia
and submitted to Congress on July 6, 2004; and
(2) the statement of administrative action proposed to
implement the Agreement that was submitted to Congress on
July 6, 2004.
(b) CONDITIONS FOR ENTRY INTO FORCE OF THE AGREEMENT.—
At such time as the President determines that Australia has taken
measures necessary to bring it into compliance with those provisions
of the Agreement that are to take effect on the date on which
the Agreement enters into force, the President is authorized to
exchange notes with the Government of Australia providing for
TIVE

President.

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PUBLIC LAW 108–286—AUG. 3, 2004

118 STAT. 921

the entry into force, on or after January 1, 2005, of the Agreement
with respect to the United States.
SEC. 102. RELATIONSHIP OF THE AGREEMENT TO UNITED STATES
AND STATE LAW.

19 USC 3805
note.

(a) RELATIONSHIP OF AGREEMENT TO UNITED STATES LAW.—
(1) UNITED STATES LAW TO PREVAIL IN CONFLICT.—No provision of the Agreement, nor the application of any such provision
to any person or circumstance, which is inconsistent with any
law of the United States shall have effect.
(2) CONSTRUCTION.—Nothing in this Act shall be
construed—
(A) to amend or modify any law of the United States,
or
(B) to limit any authority conferred under any law
of the United States,
unless specifically provided for in this Act.
(b) RELATIONSHIP OF AGREEMENT TO STATE LAW.—
(1) LEGAL CHALLENGE.—No State law, or the application
thereof, may be declared invalid as to any person or circumstance on the ground that the provision or application
is inconsistent with the Agreement, except in an action brought
by the United States for the purpose of declaring such law
or application invalid.
(2) DEFINITION OF STATE LAW.—For purposes of this subsection, the term ‘‘State law’’ includes—
(A) any law of a political subdivision of a State; and
(B) any State law regulating or taxing the business
of insurance.
(c) EFFECT OF AGREEMENT WITH RESPECT TO PRIVATE REMEDIES.—No person other than the United States—
(1) shall have any cause of action or defense under the
Agreement or by virtue of congressional approval thereof; or
(2) may challenge, in any action brought under any provision of law, any action or inaction by any department, agency,
or other instrumentality of the United States, any State, or
any political subdivision of a State, on the ground that such
action or inaction is inconsistent with the Agreement.
SEC. 103. IMPLEMENTING ACTIONS IN ANTICIPATION OF ENTRY INTO
FORCE AND INITIAL REGULATIONS.

19 USC 3805
note.

(a) IMPLEMENTING ACTIONS.—
(1) PROCLAMATION AUTHORITY.—After the date of the enactment of this Act—
(A) the President may proclaim such actions, and
(B) other appropriate officers of the United States
Government may issue such regulations,
as may be necessary to ensure that any provision of this Act,
or amendment made by this Act, that takes effect on the
date the Agreement enters into force is appropriately implemented on such date, but no such proclamation or regulation
may have an effective date earlier than the date on which
the Agreement enters into force.
(2) EFFECTIVE DATE OF CERTAIN PROCLAIMED ACTIONS.—
Any action proclaimed by the President under the authority
of this Act that is not subject to the consultation and layover
provisions under section 104, may not take effect before the

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118 STAT. 922

Deadlines.

President.
19 USC 3805
note.

Reports.

PUBLIC LAW 108–286—AUG. 3, 2004

15th day after the date on which the text of the proclamation
is published in the Federal Register.
(3) WAIVER OF 15-DAY RESTRICTION.—The 15-day restriction
in paragraph (2) on the taking effect of proclaimed actions
is waived to the extent that the application of such restriction
would prevent the taking effect on the date the Agreement
enters into force of any action proclaimed under this section.
(b) INITIAL REGULATIONS.—Initial regulations necessary or
appropriate to carry out the actions required by or authorized
under this Act or proposed in the statement of administrative
action submitted under section 101(a)(2) to implement the Agreement shall, to the maximum extent feasible, be issued within 1
year after the date on which the Agreement enters into force.
In the case of any implementing action that takes effect on a
date after the date on which the Agreement enters into force,
initial regulations to carry out that action shall, to the maximum
extent feasible, be issued within 1 year after such effective date.
SEC. 104. CONSULTATION AND LAYOVER PROVISIONS FOR, AND EFFECTIVE DATE OF, PROCLAIMED ACTIONS.

If a provision of this Act provides that the implementation
of an action by the President by proclamation is subject to the
consultation and layover requirements of this section, such action
may be proclaimed only if—
(1) the President has obtained advice regarding the proposed action from—
(A) the appropriate advisory committees established
under section 135 of the Trade Act of 1974 (19 U.S.C.
2155); and
(B) the United States International Trade Commission;
(2) the President has submitted a report to the Committee
on Finance of the Senate and the Committee on Ways and
Means of the House of Representatives that sets forth—
(A) the action proposed to be proclaimed and the reasons therefor; and
(B) the advice obtained under paragraph (1);
(3) a period of 60 calendar days, beginning on the first
day on which the requirements set forth in paragraphs (1)
and (2) have been met has expired; and
(4) the President has consulted with such Committees
regarding the proposed action during the period referred to
in paragraph (3).
SEC. 105. ADMINISTRATION OF DISPUTE SETTLEMENT PROCEEDINGS.

President.
19 USC 3805
note.

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(a) ESTABLISHMENT OR DESIGNATION OF OFFICE.—The President
is authorized to establish or designate within the Department of
Commerce an office that shall be responsible for providing administrative assistance to panels established under chapter 21 of the
Agreement. The office may not be considered to be an agency
for purposes of section 552 of title 5, United States Code.
(b) AUTHORIZATION OF APPROPRIATIONS.—There are authorized
to be appropriated for each fiscal year after fiscal year 2004 to
the Department of Commerce such sums as may be necessary
for the establishment and operations of the office under subsection
(a) and for the payment of the United States share of the expenses
of panels established under chapter 21 of the Agreement.

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PUBLIC LAW 108–286—AUG. 3, 2004

118 STAT. 923

SEC. 106. EFFECTIVE DATES; EFFECT OF TERMINATION.

(a) EFFECTIVE DATES.—Except as provided in subsection (b),
the provisions of this Act and the amendments made by this Act
take effect on the date on which the Agreement enters into force.
(b) EXCEPTIONS.—Sections 1 through 3 and this title take effect
on the date of the enactment of this Act.
(c) TERMINATION OF THE AGREEMENT.—On the date on which
the Agreement terminates, the provisions of this Act (other than
this subsection) and the amendments made by this Act shall cease
to be effective.

19 USC 3805
note.

TITLE II—CUSTOMS PROVISIONS
SEC. 201. TARIFF MODIFICATIONS.

(a) TARIFF MODIFICATIONS PROVIDED FOR IN THE AGREEMENT.—
The President may proclaim—
(1) such modifications or continuation of any duty,
(2) such continuation of duty-free or excise treatment, or
(3) such additional duties,
as the President determines to be necessary or appropriate to
carry out or apply articles 2.3, 2.5, and 2.6, and Annex 2–B of
the Agreement.
(b) OTHER TARIFF MODIFICATIONS.—Subject to the consultation
and layover provisions of section 104, the President may proclaim—
(1) such modifications or continuation of any duty,
(2) such modifications as the United States may agree
to with Australia regarding the staging of any duty treatment
set forth in Annex 2–B of the Agreement,
(3) such continuation of duty-free or excise treatment, or
(4) such additional duties,
as the President determines to be necessary or appropriate to
maintain the general level of reciprocal and mutually advantageous
concessions with respect to Australia provided for by the Agreement.
(c) CONVERSION TO AD VALOREM RATES.—For purposes of subsections (a) and (b), with respect to any good for which the base
rate in the Schedule of the United States to Annex 2–B of the
Agreement is a specific or compound rate of duty, the President
may substitute for the base rate an ad valorem rate that the
President determines to be equivalent to the base rate.
SEC. 202. ADDITIONAL DUTIES ON CERTAIN AGRICULTURAL GOODS.

(a) GENERAL PROVISIONS.—
(1) APPLICABILITY OF SUBSECTION.—This subsection applies
to additional duties assessed under subsections (b), (c), and
(d).
(2) APPLICABLE NTR (MFN) RATE OF DUTY.—For purposes
of subsections (b), (c), and (d), the term ‘‘applicable NTR (MFN)
rate of duty’’ means, with respect to a safeguard good, a rate
of duty that is the lesser of—
(A) the column 1 general rate of duty that would have
been imposed under the HTS on the same safeguard good
entered, without a claim for preferential treatment, at the
time the additional duty is imposed under subsection (b),
(c), or (d), as the case may be; or
(B) the column 1 general rate of duty that would have
been imposed under the HTS on the same safeguard good

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19 USC 3805
note.

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note.

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118 STAT. 924

Deadline.

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PUBLIC LAW 108–286—AUG. 3, 2004

entered, without a claim for preferential treatment, on
December 31, 2004.
(3) SCHEDULE RATE OF DUTY.—For purposes of subsections
(b) and (c), the term ‘‘schedule rate of duty’’ means, with respect
to a safeguard good, the rate of duty for that good set out
in the Schedule of the United States to Annex 2–B of the
Agreement.
(4) SAFEGUARD GOOD.—In this subsection, the term ‘‘safeguard good’’ means—
(A) a horticulture safeguard good described subsection
(b)(1)(B); or
(B) a beef safeguard good described in subsection (c)(1)
or subsection (d)(1)(A).
(5) EXCEPTIONS.—No additional duty shall be assessed on
a good under subsection (b), (c), or (d) if, at the time of entry,
the good is subject to import relief under—
(A) subtitle A of title III of this Act; or
(B) chapter 1 of title II of the Trade Act of 1974
(19 U.S.C. 2251 et seq.).
(6) TERMINATION.—The assessment of an additional duty
on a good under subsection (b) or (c), whichever is applicable,
shall cease to apply to that good on the date on which dutyfree treatment must be provided to that good under the
Schedule of the United States to Annex 2–B of the Agreement.
(7) NOTICE.—Not later than 60 days after the date on
which the Secretary of the Treasury assesses an additional
duty on a good under subsection (b), (c), or (d), the Secretary
shall notify the Government of Australia in writing of such
action and shall provide to that Government data supporting
the assessment of the additional duty.
(b) ADDITIONAL DUTIES ON HORTICULTURE SAFEGUARD
GOODS.—
(1) DEFINITIONS.—In this subsection:
(A) F.O.B.—The term ‘‘F.O.B.’’ means free on board,
regardless of the mode of transportation, at the point of
direct shipment by the seller to the buyer.
(B) HORTICULTURE SAFEGUARD GOOD.—The term ‘‘horticulture safeguard good’’ means a good—
(i) that qualifies as an originating good under section 203;
(ii) that is included in the United States Horticulture Safeguard List set forth in Annex 3–A of the
Agreement; and
(iii) for which a claim for preferential treatment
under the Agreement has been made.
(C) UNIT IMPORT PRICE.—The ‘‘unit import price’’ of
a good means the price of the good determined on the
basis of the F.O.B. import price of the good, expressed
in either dollars per kilogram or dollars per liter, whichever
unit of measure is indicated for the good in the United
States Horticulture Safeguard List set forth in Annex 3–
A of the Agreement.
(D) TRIGGER PRICE.—The ‘‘trigger price’’ for a good
is the trigger price indicated for that good in the United
States Horticulture Safeguard List set forth in Annex 3–
A of the Agreement or any amendment thereto.

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118 STAT. 925

(2) ADDITIONAL DUTIES.—In addition to any duty proclaimed under subsection (a) or (b) of section 201, and subject
to subsection (a) of this section, the Secretary of the Treasury
shall assess a duty on a horticulture safeguard good, in the
amount determined under paragraph (3), if the Secretary determines that the unit import price of the good when it enters
the United States is less than the trigger price for that good.
(3) CALCULATION OF ADDITIONAL DUTY.—The additional
duty assessed under this subsection on a horticulture safeguard
good shall be an amount determined in accordance with the
following table:
If the excess of the trigger price
over the unit import price is:
Not more than 10 percent of the trigger price ...........................................
More than 10 percent but not more
than 40 percent of the trigger price

More than 40 percent but not more
than 60 percent of the trigger price
More than 60 percent but not more
than 75 percent of the trigger price
More than 75 percent of the trigger
price ..................................................

The additional duty is an
amount equal to:
0.
30 percent of the excess of the
applicable NTR (MFN) rate of
duty over the schedule rate of
duty.
50 percent of such excess.
70 percent of such excess.
100 percent of such excess.

(c) ADDITIONAL DUTIES ON BEEF SAFEGUARD GOODS BASED
ON QUANTITY OF IMPORTS.—
(1) DEFINITION.—In this subsection, the term ‘‘beef safeguard good’’ means a good—
(A) that qualifies as an originating good under section
203;
(B) that is listed in paragraph 3 of Annex I of the
General Notes to the Schedule of the United States to
Annex 2–B of the Agreement; and
(C) for which a claim for preferential treatment under
the Agreement has been made.
(2) ADDITIONAL DUTIES.—In addition to any duty proclaimed under subsection (a) or (b) of section 201, and subject
to subsection (a) of this section and paragraphs (4) and (5)
of this subsection, the Secretary of the Treasury shall assess
a duty, in the amount determined under paragraph (3), on
a beef safeguard good imported into the United States in a
calendar year if the Secretary determines that, prior to such
importation, the total volume of beef safeguard goods imported
into the United States in that calendar year is equal to or
greater than 110 percent of the volume set out for beef safeguard goods in the corresponding year in the table contained
in paragraph 3(a) of Annex I of the General Notes to the
Schedule of the United States to Annex 2–B of the Agreement.
For purposes of this subsection, the years 1 through 19 set
out in the table contained in paragraph 3(a) of such Annex
I correspond to the calendar years 2005 through 2023.
(3) CALCULATION OF ADDITIONAL DUTY.—The additional
duty on a beef safeguard good under this subsection shall

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118 STAT. 926

Federal Register,
publication.

Termination
date.

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be an amount equal to 75 percent of the excess of the applicable
NTR (MFN) rate of duty over the schedule rate of duty.
(4) WAIVER.—
(A) IN GENERAL.—The United States Trade Representative is authorized to waive the application of this subsection, if the Trade Representative determines that
extraordinary market conditions demonstrate that the
waiver would be in the national interest of the United
States, after the requirements of subparagraph (B) are
met.
(B) NOTICE AND CONSULTATIONS.—Promptly after
receiving a request for a waiver of this subsection, the
Trade Representative shall notify the Committee on Ways
and Means of the House of Representatives and the Committee on Finance of the Senate, and may make the determination provided for in subparagraph (A) only after consulting with—
(i) appropriate private sector advisory committees
established under section 135 of the Trade Act of 1974
(19 U.S.C. 2155); and
(ii) the Committee on Ways and Means of the
House of Representatives and the Committee on
Finance of the Senate regarding—
(I) the reasons supporting the determination
to grant the waiver; and
(II) the proposed scope and duration of the
waiver.
(C) NOTIFICATION OF THE SECRETARY OF THE
TREASURY AND PUBLICATION.—Upon granting a waiver
under this paragraph, the Trade Representative shall
promptly notify the Secretary of the Treasury of the
period in which the waiver will be in effect, and shall
publish notice of the waiver in the Federal Register.
(5) EFFECTIVE DATES.—This subsection takes effect on
January 1, 2013, and shall not be effective after December
31, 2022.
(d) ADDITIONAL DUTIES ON BEEF SAFEGUARD GOODS BASED
ON PRICE.—
(1) DEFINITIONS.—In this subsection:
(A) BEEF SAFEGUARD GOOD.—The term ‘‘beef safeguard
good’’ means a good—
(i) that qualifies as an originating good under section 203;
(ii) that is classified under subheading 0201.10.50,
0201.20.80, 0201.30.80, 0202.10.50, 0202.20.80, or
0202.30.80 of the HTS; and
(iii) for which a claim for preferential treatment
under the Agreement has been made.
(B) CALENDAR QUARTER.—
(i) IN GENERAL.—The term ‘‘calendar quarter’’
means any 3-month period beginning on January 1,
April 1, July 1, or October 1 of a calendar year.
(ii) FIRST CALENDAR QUARTER.—The term ‘‘first calendar quarter’’ means the calendar quarter beginning
on January 1.

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118 STAT. 927

(iii) SECOND CALENDAR QUARTER.—The term
‘‘second calendar quarter’’ means the calendar quarter
beginning on April 1.
(iv) THIRD CALENDAR QUARTER.—The term ‘‘third
calendar quarter’’ means the calendar quarter beginning on July 1.
(v) FOURTH CALENDAR QUARTER.—The term ‘‘fourth
calendar quarter’’ means the calendar quarter beginning on October 1.
(C) MONTHLY AVERAGE INDEX PRICE.—The term
‘‘monthly average index price’’ means the simple average,
as determined by the Secretary of Agriculture, for a calendar month of the daily average index prices for Wholesale
Boxed Beef Cut-Out Value Select 1–3 Central U.S. 600–
750 lbs., or its equivalent, as such simple average is
reported by the Agricultural Marketing Service of the
Department of Agriculture in Report LM–XB459 or any
equivalent report.
(D) 24-MONTH TRIGGER PRICE.—The term ‘‘24-month
trigger price’’ means, with respect to any calendar month,
the average of the monthly average index prices for the
24 preceding calendar months, multiplied by 0.935.
(2) ADDITIONAL DUTIES.—In addition to any duty proclaimed under subsection (a) or (b) of section 201, and subject
to subsection (a) of this section and paragraphs (4) through
(6) of this subsection, the Secretary of the Treasury shall assess
a duty, in the amount determined under paragraph (3), on
a beef safeguard good imported into the United States if—
(A)(i) the good is imported in the first calendar quarter,
second calendar quarter, or third calendar quarter of a
calendar year; and
(ii) the monthly average index price, in any 2 calendar
months of the preceding calendar quarter, is less than
the 24-month trigger price; or
(B)(i) the good is imported in the fourth calendar
quarter of a calendar year; and
(ii)(I) the monthly average index price, in any 2 calendar months of the preceding calendar quarter, is less
than the 24-month trigger price; or
(II) the monthly average index price, in any of the
4 calendar months preceding January 1 of the succeeding
calendar year, is less than the 24-month trigger price.
(3) CALCULATION OF ADDITIONAL DUTY.—The additional
duty on a beef safeguard good under this subsection shall
be an amount equal to 65 percent of the applicable NTR (MFN)
rate of duty for that good.
(4) LIMITATION.—An additional duty shall be assessed
under this subsection on a beef safeguard good imported into
the United States in a calendar year only if, prior to the
importation of that good, the total quantity of beef safeguard
goods imported into the United States in that calendar year
is equal to or greater than the sum of—
(A) the quantity of goods of Australia eligible to enter
the United States in that year specified in Additional
United States Note 3 to Chapter 2 of the HTS; and
(B)(i) in 2023, 70,420 metric tons; or

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118 STAT. 928

(ii) in 2024, and in each year thereafter, a quantity
that is 0.6 percent greater than the quantity provided
for in the preceding year under this subparagraph.
(5) WAIVER.—
(A) IN GENERAL.—The United States Trade Representative is authorized to waive the application of this subsection, if the Trade Representative determines that
extraordinary market conditions demonstrate that the
waiver would be in the national interest of the United
States, after the requirements of subparagraph (B) are
met.
(B) NOTICE AND CONSULTATIONS.—Promptly after
receiving a request for a waiver of this subsection, the
Trade Representative shall notify the Committee on Ways
and Means of the House of Representatives and the Committee on Finance of the Senate, and may make the determination provided for in subparagraph (A) only after consulting with—
(i) appropriate private sector advisory committees
established under section 135 of the Trade Act of 1974
(19 U.S.C. 2155); and
(ii) the Committee on Ways and Means of the
House of Representatives and the Committee on
Finance of the Senate regarding—
(I) the reasons supporting the determination
to grant the waiver; and
(II) the proposed scope and duration of the
waiver.
(C) NOTIFICATION OF THE SECRETARY OF THE
TREASURY AND PUBLICATION.—Upon granting a waiver
under this paragraph, the Trade Representative shall
promptly notify the Secretary of the Treasury of the
period in which the waiver will be in effect, and shall
publish notice of the waiver in the Federal Register.
(6) EFFECTIVE DATE.—This subsection takes effect on
January 1, 2023.

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SEC. 203. RULES OF ORIGIN.

(a) APPLICATION AND INTERPRETATION.—In this section:
(1) TARIFF CLASSIFICATION.—The basis for any tariff classification is the HTS.
(2) REFERENCE TO HTS.—Whenever in this section there
is a reference to a heading or subheading, such reference shall
be a reference to a heading or subheading of the HTS.
(3) COST OR VALUE.—Any cost or value referred to in this
section shall be recorded and maintained in accordance with
the generally accepted accounting principles applicable in the
territory of the country in which the good is produced (whether
Australia or the United States).
(b) ORIGINATING GOODS.—For purposes of this Act and for
purposes of implementing the preferential treatment provided for
under the Agreement, a good is an originating good if—
(1) the good is a good wholly obtained or produced entirely
in the territory of Australia, the United States, or both;
(2) the good—
(A) is produced entirely in the territory of Australia,
the United States, or both, and—

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(i) each of the nonoriginating materials used in
the production of the good undergoes an applicable
change in tariff classification specified in Annex 4–
A or Annex 5–A of the Agreement;
(ii) the good otherwise satisfies any applicable
regional value-content requirement referred to in
Annex 5–A of the Agreement; or
(iii) the good meets any other requirements specified in Annex 4–A or Annex 5–A of the Agreement;
and
(B) the good satisfies all other applicable requirements
of this section;
(3) the good is produced entirely in the territory of Australia, the United States, or both, exclusively from materials
described in paragraph (1) or (2); or
(4) the good otherwise qualifies as an originating good
under this section.
(c) DE MINIMIS AMOUNTS OF NONORIGINATING MATERIALS.—
(1) IN GENERAL.—Except as provided in paragraphs (2)
and (3), a good that does not undergo a change in tariff classification pursuant to Annex 5–A of the Agreement is an originating good if—
(A) the value of all nonoriginating materials that—
(i) are used in the production of the good, and
(ii) do not undergo the required change in tariff
classification,
does not exceed 10 percent of the adjusted value of the
good;
(B) the good meets all other applicable requirements
of this section; and
(C) the value of such nonoriginating materials is
included in the value of nonoriginating materials for any
applicable regional value-content requirement for the good.
(2) EXCEPTIONS.—Paragraph (1) does not apply to the following:
(A) A nonoriginating material provided for in chapter
4 of the HTS or in subheading 1901.90 that is used in
the production of a good provided for in chapter 4 of the
HTS.
(B) A nonoriginating material provided for in chapter
4 of the HTS or in subheading 1901.90 that is used in
the production of a good provided for in subheading
1901.10, 1901.20, or 1901.90, heading 2105, or subheading
2106.90, 2202.90, or 2309.90.
(C) A nonoriginating material provided for in heading
0805 or any of subheadings 2009.11 through 2009.39 that
is used in the production of a good provided for in any
of subheadings 2009.11 through 2009.39, or in subheading
2106.90 or 2202.90.
(D) A nonoriginating material provided for in chapter
15 of the HTS that is used in the production of a good
provided for in any of headings 1501.00.00 through 1508,
or in heading 1512, 1514, or 1515.
(E) A nonoriginating material provided for in heading
1701 that is used in the production of a good provided
for in any of headings 1701 through 1703.

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PUBLIC LAW 108–286—AUG. 3, 2004
(F) A nonoriginating material provided for in chapter
17 of the HTS or heading 1805.00.00 that is used in the
production of a good provided for in subheading 1806.10.
(G) A nonoriginating material provided for in any of
headings 2203 through 2208 that is used in the production
of a good provided for in heading 2207 or 2208.
(H) A nonoriginating material used in the production
of a good provided for in any of chapters 1 through 21
of the HTS unless the nonoriginating material is provided
for in a different subheading than the good for which
origin is being determined under this section.
(3) TEXTILE AND APPAREL GOODS.—
(A) IN GENERAL.—Except as provided in subparagraph
(B), a textile or apparel good that is not an originating
good because certain fibers or yarns used in the production
of the component of the good that determines the tariff
classification of the good do not undergo an applicable
change in tariff classification set out in Annex 4–A of
the Agreement shall be considered to be an originating
good if the total weight of all such fibers or yarns in
that component is not more than 7 percent of the total
weight of that component.
(B) CERTAIN TEXTILE OR APPAREL GOODS.—A textile
or apparel good containing elastomeric yarns in the component of the good that determines the tariff classification
of the good shall be considered to be an originating good
only if such yarns are wholly formed in the territory of
Australia or the United States.
(C) YARN, FABRIC, OR FIBER.—For purposes of this paragraph, in the case of a textile or apparel good that is
a yarn, fabric, or group of fibers, the term ‘‘component
of the good that determines the tariff classification of the
good’’ means all of the fibers in the yarn, fabric, or group
of fibers.
(d) ACCUMULATION.—
(1) ORIGINATING MATERIALS USED IN PRODUCTION OF GOODS
OF OTHER COUNTRY.—Originating materials from the territory
of Australia or the United States that are used in the production
of a good in the territory of the other country shall be considered
to originate in the territory of the other country.
(2) MULTIPLE PROCEDURES.—A good that is produced in
the territory of Australia, the United States, or both, by 1
or more producers, is an originating good if the good satisfies
the requirements of subsection (b) and all other applicable
requirements of this section.
(e) REGIONAL VALUE-CONTENT.—
(1) IN GENERAL.—For purposes of subsection (b)(2), the
regional value-content of a good referred to in Annex 5–A
of the Agreement, except for goods to which paragraph (4)
applies, shall be calculated by the importer, exporter, or producer of the good, on the basis of the build-down method
described in paragraph (2) or the build-up method described
in paragraph (3).
(2) BUILD-DOWN METHOD.—
(A) IN GENERAL.—The regional value-content of a good
may be calculated on the basis of the following builddown method:

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AV–VNM
RVC

= ———— × 100
AV

(B) DEFINITIONS.—In subparagraph (A):
(i) RVC.—The term ‘‘RVC’’ means the regional
value-content of the good, expressed as a percentage.
(ii) AV.—The term ‘‘AV’’ means the adjusted value
of the good.
(iii) VNM.—The term ‘‘VNM’’ means the value of
nonoriginating materials that are acquired and used
by the producer in the production of the good, but
does not include the value of a material that is selfproduced.
(3) BUILD-UP METHOD.—
(A) IN GENERAL.—The regional value-content of a good
may be calculated on the basis of the following buildup method:
VOM
RVC

= ———— × 100
AV

(B) DEFINITIONS.—In subparagraph (A):
(i) RVC.—The term ‘‘RVC’’ means the regional
value-content of the good, expressed as a percentage.
(ii) AV.—The term ‘‘AV’’ means the adjusted value
of the good.
(iii) VOM.—The term ‘‘VOM’’ means the value of
originating materials that are acquired or self-produced, and used by the producer in the production
of the good.
(4) SPECIAL RULE FOR CERTAIN AUTOMOTIVE GOODS.—
(A) IN GENERAL.—For purposes of subsection (b)(2),
the regional value-content of an automotive good referred
to in Annex 5–A of the Agreement shall be calculated
by the importer, exporter, or producer of the good, on
the basis of the following net cost method:
NC–VNM
RVC

= ———— × 100
NC

(B) DEFINITIONS.—In subparagraph (A):
(i) AUTOMOTIVE GOOD.—The term ‘‘automotive
good’’ means a good provided for in any of subheadings
8407.31 through 8407.34, subheading 8408.20, heading
8409, or in any of headings 8701 through 8708.
(ii) RVC.—The term ‘‘RVC’’ means the regional
value-content of the automotive good, expressed as a
percentage.
(iii) NC.—The term ‘‘NC’’ means the net cost of
the automotive good.
(iv) VNM.—The term ‘‘VNM’’ means the value of
nonoriginating materials that are acquired and used
by the producer in the production of the automotive
good, but does not include the value of a material
that is self-produced.
(C) MOTOR VEHICLES.—

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PUBLIC LAW 108–286—AUG. 3, 2004
(i) BASIS OF CALCULATION.—For purposes of determining the regional value-content under subparagraph
(A) for an automotive good that is a motor vehicle
provided for in any of headings 8701 through 8705,
an importer, exporter, or producer may average the
amounts calculated under the formula contained in
subparagraph (A), over the producer’s fiscal year—
(I) with respect to all motor vehicles in any
one of the categories described in clause (ii); or
(II) with respect to all motor vehicles in any
such category that are exported to the territory
of the United States or Australia.
(ii) CATEGORIES.—A category is described in this
clause if it—
(I) is the same model line of motor vehicles,
is in the same class of vehicles, and is produced
in the same plant in the territory of Australia
or the United States, as the good described in
clause (i) for which regional value-content is being
calculated;
(II) is the same class of motor vehicles, and
is produced in the same plant in the territory
of Australia or the United States, as the good
described in clause (i) for which regional valuecontent is being calculated; or
(III) is the same model line of motor vehicles
produced in either the territory of Australia or
the United States, as the good described in clause
(i) for which regional value-content is being calculated.
(D) OTHER AUTOMOTIVE GOODS.—For purposes of determining the regional value-content under subparagraph (A)
for automotive goods provided for in any of subheadings
8407.31 through 8407.34, in subheading 8408.20, or in
heading 8409, 8706, 8707, or 8708, that are produced in
the same plant, an importer, exporter, or producer may—
(i) average the amounts calculated under the formula contained in subparagraph (A) over—
(I) the fiscal year of the motor vehicle producer
to whom the automotive goods are sold,
(II) any quarter or month, or
(III) its own fiscal year,
if the goods were produced during the fiscal year,
quarter, or month that is the basis for the calculation;
(ii) determine the average referred to in clause
(i) separately for such goods sold to one or more motor
vehicle producers; or
(iii) make a separate determination under clause
(i) or (ii) for automotive goods that are exported to
the territory of the United States or Australia.
(E) CALCULATING NET COST.—Consistent with the
provisions regarding allocation of costs set out in generally
accepted accounting principles, the net cost of the automotive good under subparagraph (B) shall be calculated
by—
(i) calculating the total cost incurred with respect
to all goods produced by the producer of the automotive

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good, subtracting any sales promotion, marketing and
after-sales service costs, royalties, shipping and
packing costs, and nonallowable interest costs that are
included in the total cost of all such goods, and then
reasonably allocating the resulting net cost of those
goods to the automotive good;
(ii) calculating the total cost incurred with respect
to all goods produced by that producer, reasonably
allocating the total cost to the automotive good, and
then subtracting any sales promotion, marketing and
after-sales service costs, royalties, shipping and
packing costs, and nonallowable interest costs that are
included in the portion of the total cost allocated to
the automotive good; or
(iii) reasonably allocating each cost that forms part
of the total cost incurred with respect to the automotive
good so that the aggregate of these costs does not
include any sales promotion, marketing and after-sales
service costs, royalties, shipping and packing costs,
or nonallowable interest costs.
(f) VALUE OF MATERIALS.—
(1) IN GENERAL.—For the purpose of calculating the
regional value-content of a good under subsection (e), and for
purposes of applying the de minimis rules under subsection
(c), the value of a material is—
(A) in the case of a material that is imported by the
producer of the good, the adjusted value of the material;
(B) in the case of a material acquired in the territory
in which the good is produced, the value, determined in
accordance with Articles 1 through 8, article 15, and the
corresponding interpretive notes of the Agreement on
Implementation of Article VII of the General Agreement
on Tariffs and Trade 1994 referred to in section 101(d)(8)
of the Uruguay Round Agreements Act, as set forth in
regulations promulgated by the Secretary of the Treasury
providing for the application of such Articles in the absence
of an importation; or
(C) in the case of a material that is self-produced,
the sum of—
(i) all expenses incurred in the production of the
material, including general expenses; and
(ii) an amount for profit equivalent to the profit
added in the normal course of trade.
(2) FURTHER ADJUSTMENTS TO THE VALUE OF MATERIALS.—
(A) ORIGINATING MATERIAL.—The following expenses,
if not included in the value of an originating material
calculated under paragraph (1), may be added to the value
of the originating material:
(i) The costs of freight, insurance, packing, and
all other costs incurred in transporting the material
within or between the territory of Australia, the United
States, or both, to the location of the producer.
(ii) Duties, taxes, and customs brokerage fees on
the material paid in the territory of Australia, the
United States, or both, other than duties or taxes
that are waived, refunded, refundable, or otherwise -

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PUBLIC LAW 108–286—AUG. 3, 2004
recoverable, including credit against duty or tax paid
or payable.
(iii) The cost of waste and spoilage resulting from
the use of the material in the production of the good,
less the value of renewable scrap or byproducts.
MATERIAL.—The
following
(B)
NONORIGINATING
expenses, if included in the value of a nonoriginating material calculated under paragraph (1), may be deducted from
the value of the nonoriginating material:
(i) The costs of freight, insurance, packing, and
all other costs incurred in transporting the material
within or between the territory of Australia, the United
States, or both, to the location of the producer.
(ii) Duties, taxes, and customs brokerage fees on
the material paid in the territory of Australia, the
United States, or both, other than duties or taxes
that are waived, refunded, refundable, or otherwise
recoverable, including credit against duty or tax paid
or payable.
(iii) The cost of waste and spoilage resulting from
the use of the material in the production of the good,
less the value of renewable scrap or byproducts.
(iv) The cost of processing incurred in the territory
of Australia, the United States, or both, in the production of the nonoriginating material.
(v) The cost of originating materials used in the
production of the nonoriginating material in the territory of Australia, the United States, or both.
(g) ACCESSORIES, SPARE PARTS, OR TOOLS.—
(1) IN GENERAL.—Subject to paragraph (2), accessories,
spare parts, or tools delivered with a good that form part
of the good’s standard accessories, spare parts, or tools shall—
(A) be treated as originating goods if the good is an
originating good; and
(B) be disregarded in determining whether all the nonoriginating materials used in the production of the good
undergo the applicable change in tariff classification set
out in Annex 5–A of the Agreement.
(2) CONDITIONS.—Paragraph (1) shall apply only if—
(A) the accessories, spare parts, or tools are not
invoiced separately from the good;
(B) the quantities and value of the accessories, spare
parts, or tools are customary for the good; and
(C) if the good is subject to a regional value-content
requirement, the value of the accessories, spare parts, or
tools is taken into account as originating or nonoriginating
materials, as the case may be, in calculating the regional
value-content of the good.
(h) FUNGIBLE GOODS AND MATERIALS.—
(1) IN GENERAL.—
(A) CLAIM FOR PREFERENTIAL TREATMENT.—A person
claiming that a fungible good or fungible material is an
originating good may base the claim either on the physical
segregation of the fungible good or fungible material or
by using an inventory management method with respect
to the fungible good or fungible material.

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(B) INVENTORY MANAGEMENT METHOD.—In this subsection, the term ‘‘inventory management method’’ means—
(i) averaging;
(ii) ‘‘last-in, first-out’’;
(iii) ‘‘first-in, first-out’’; or
(iv) any other method—
(I) recognized in the generally accepted
accounting principles of the country in which the
production is performed (whether Australia or the
United States); or
(II) otherwise accepted by that country.
(2) ELECTION OF INVENTORY METHOD.—A person selecting
an inventory management method under paragraph (1) for
a particular fungible good or fungible material shall continue
to use that method for that fungible good or fungible material
throughout the fiscal year of that person.
(i) PACKAGING MATERIALS AND CONTAINERS FOR RETAIL SALE.—
Packaging materials and containers in which a good is packaged
for retail sale, if classified with the good, shall be disregarded
in determining whether all the nonoriginating materials used in
the production of the good undergo the applicable change in tariff
classification set out in Annex 4–A or Annex 5–A of the Agreement,
and, if the good is subject to a regional value-content requirement,
the value of such packaging materials and containers shall be
taken into account as originating or nonoriginating materials, as
the case may be, in calculating the regional value-content of the
good.
(j) PACKING MATERIALS AND CONTAINERS FOR SHIPMENT.—
Packing materials and containers for shipment shall be disregarded
in determining whether—
(1) the nonoriginating materials used in the production
of a good undergo the applicable change in tariff classification
set out in Annex 4–A or Annex 5–A of the Agreement; and
(2) the good satisfies a regional value-content requirement.
(k) INDIRECT MATERIALS.—An indirect material shall be treated
as an originating material without regard to where it is produced,
and its value shall be the cost registered in the accounting records
of the producer of the good.
(l) THIRD COUNTRY OPERATIONS.—A good that has undergone
production necessary to qualify as an originating good under subsection (b) shall not be considered to be an originating good if,
subsequent to that production, the good undergoes further production or any other operation outside the territory of Australia or
the United States, other than unloading, reloading, or any other
operation necessary to preserve the good in good condition or to
transport the good to the territory of Australia or the United States.
(m) TEXTILE AND APPAREL GOODS CLASSIFIABLE AS GOODS PUT
UP IN SETS.—Notwithstanding the rules set forth in Annex 4–
A of the Agreement, textile or apparel goods classifiable as goods
put up in sets for retail sale as provided for in General Rule
of Interpretation 3 of the HTS shall not be considered to be originating goods unless each of the goods in the set is an originating
good or the total value of the nonoriginating goods in the set
does not exceed 10 percent of the value of the set determined
for purposes of assessing customs duties.
(n) DEFINITIONS.—In this section:

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(1) ADJUSTED VALUE.—The term ‘‘adjusted value’’ means
the value determined under Articles 1 through 8, Article 15,
and the corresponding interpretive notes of the Agreement on
Implementation of Article VII of the General Agreement on
Tariffs and Trade 1994 referred to in section 101(d)(8) of the
Uruguay Round Agreements Act, adjusted to exclude any costs,
charges, or expenses incurred for transportation, insurance,
and related services incident to the international shipment
of the good from the country of exportation to the place of
importation.
(2) CLASS OF MOTOR VEHICLES.—The term ‘‘class of motor
vehicles’’ means any one of the following categories of motor
vehicles:
(A) Motor vehicles provided for in subheading 8701.20,
8704.10, 8704.22, 8704.23, 8704.32, or 8704.90, or heading
8705 or 8706, or motor vehicles for the transport of 16
or more persons provided for in subheading 8702.10 or
8702.90.
(B) Motor vehicles provided for in subheading 8701.10
or any of subheadings 8701.30 through 8701.90.
(C) Motor vehicles for the transport of 15 or fewer
persons provided for in subheading 8702.10 or 8702.90,
or motor vehicles provided for in subheading 8704.21 or
8704.31.
(D) Motor vehicles provided for in any of subheadings
8703.21 through 8703.90.
(3) FUNGIBLE GOOD OR FUNGIBLE MATERIAL.—The term
‘‘fungible good’’ or ‘‘fungible material’’ means a good or material,
as the case may be, that is interchangeable with another good
or material for commercial purposes and the properties of which
are essentially identical to such other good or material.
(4) GENERALLY ACCEPTED ACCOUNTING PRINCIPLES.—The
term ‘‘generally accepted accounting principles’’ means the recognized consensus or substantial authoritative support in the
territory of Australia or the United States, as the case may
be, with respect to the recording of revenues, expenses, costs,
assets, and liabilities, the disclosure of information, and the
preparation of financial statements. These standards may
encompass broad guidelines of general application as well as
detailed standards, practices, and procedures.
(5) GOOD WHOLLY OBTAINED OR PRODUCED ENTIRELY IN
THE TERRITORY OF AUSTRALIA, THE UNITED STATES, OR BOTH.—
The term ‘‘good wholly obtained or produced entirely in the
territory of Australia, the United States, or both’’ means—
(A) a mineral good extracted in the territory of Australia, the United States, or both;
(B) a vegetable good, as such goods are provided for
in the HTS, harvested in the territory of Australia, the
United States, or both;
(C) a live animal born and raised in the territory
of Australia, the United States, or both;
(D) a good obtained from hunting, trapping, fishing,
or aquaculture conducted in the territory of Australia, the
United States, or both;

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(E) a good (fish, shellfish, and other marine life) taken
from the sea by vessels registered or recorded with Australia or the United States and flying the flag of that
country;
(F) a good produced exclusively from products referred
to in subparagraph (E) on board factory ships registered
or recorded with Australia or the United States and flying
the flag of that country;
(G) a good taken by Australia or the United States
or a person of Australia or the United States from the
seabed or beneath the seabed outside territorial waters,
if Australia or the United States has rights to exploit
such seabed;
(H) a good taken from outer space, if such good is
obtained by Australia or the United States or a person
of Australia or the United States and not processed in
the territory of a country other than Australia or the United
States;
(I) waste and scrap derived from—
(i) production in the territory of Australia, the
United States, or both; or
(ii) used goods collected in the territory of Australia, the United States, or both, if such goods are
fit only for the recovery of raw materials;
(J) a recovered good derived in the territory of Australia or the United States from goods that have passed
their life expectancy, or are no longer usable due to defects,
and utilized in the territory of that country in the production of remanufactured goods; or
(K) a good produced in the territory of Australia, the
United States, or both, exclusively—
(i) from goods referred to in any of subparagraphs
(A) through (I), or
(ii) from the derivatives of goods referred to in
clause (i),
at any stage of production.
(6) INDIRECT MATERIAL.—The term ‘‘indirect material’’
means a good used in the production, testing, or inspection
of a good but not physically incorporated into the good, or
a good used in the maintenance of buildings or the operation
of equipment associated with the production of a good,
including—
(A) fuel and energy;
(B) tools, dies, and molds;
(C) spare parts and materials used in the maintenance
of equipment or buildings;
(D) lubricants, greases, compounding materials, and
other materials used in production or used to operate equipment or buildings;
(E) gloves, glasses, footwear, clothing, safety equipment, and supplies;
(F) equipment, devices, and supplies used for testing
or inspecting the good;
(G) catalysts and solvents; and
(H) any other goods that are not incorporated into
the good but the use of which in the production of the

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good can reasonably be demonstrated to be a part of that
production.
(7) MATERIAL.—The term ‘‘material’’ means a good that
is used in the production of another good.
(8) MATERIAL THAT IS SELF-PRODUCED.—The term ‘‘material
that is self-produced’’ means an originating material that is
produced by a producer of a good and used in the production
of that good.
(9) MODEL LINE.—The term ‘‘model line’’ means a group
of motor vehicles having the same platform or model name.
(10) NONALLOWABLE INTEREST COSTS.—The term ‘‘nonallowable interest costs’’ means interest costs incurred by a producer
that exceed 700 basis points above the applicable official
interest rate for comparable maturities of the country (whether
Australia or the United States).
(11) NONORIGINATING MATERIAL.—The term ‘‘nonoriginating
material’’ means a material that does not qualify as originating
under this section.
(12) PREFERENTIAL TREATMENT.—The term ‘‘preferential
treatment’’ means the customs duty rate, and the treatment
under article 2.12 of the Agreement, that are applicable to
an originating good pursuant to the Agreement.
(13) PRODUCER.—The term ‘‘producer’’ means a person who
engages in the production of a good in the territory of Australia
or the United States.
(14) PRODUCTION.—The term ‘‘production’’ means growing,
raising, mining, harvesting, fishing, trapping, hunting, manufacturing, processing, assembling, or disassembling a good.
(15) REASONABLY ALLOCATE.—The term ‘‘reasonably allocate’’ means to apportion in a manner that would be appropriate
under generally accepted accounting principles.
(16) RECOVERED GOODS.—The term ‘‘recovered goods’’
means materials in the form of individual parts that result
from—
(A) the complete disassembly of goods which have
passed their life expectancy, or are no longer usable due
to defects, into individual parts; and
(B) the cleaning, inspecting, or testing, or other processing that is necessary for improvement to sound working
condition of such individual parts.
(17) REMANUFACTURED GOOD.—The term ‘‘remanufactured
good’’ means an industrial good that is assembled in the territory of Australia or the United States, that is classified under
chapter 84, 85, or 87 of the HTS or heading 9026, 9031, or
9032, other than a good classified under heading 8418 or 8516
or any of headings 8701 through 8706, and that—
(A) is entirely or partially comprised of recovered goods;
(B) has a similar life expectancy to, and meets the
same performance standards as, a like good that is new;
and
(C) enjoys a factory warranty similar to a like good
that is new.
(18) TOTAL COST.—The term ‘‘total cost’’ means all product
costs, period costs, and other costs for a good incurred in
the territory of Australia, the United States, or both.
(19) USED.—The term ‘‘used’’ means used or consumed
in the production of goods.

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(o) PRESIDENTIAL PROCLAMATION AUTHORITY.—
(1) IN GENERAL.—The President is authorized to proclaim,
as part of the HTS—
(A) the provisions set out in Annex 4–A and Annex
5–A of the Agreement; and
(B) any additional subordinate category necessary to
carry out this title consistent with the Agreement.
(2) MODIFICATIONS.—
(A) IN GENERAL.—Subject to the consultation and layover provisions of section 104, the President may proclaim
modifications to the provisions proclaimed under the
authority of paragraph (1)(A), other than provisions of chapters 50 through 63 of the HTS, as included in Annex
4–A of the Agreement.
(B) ADDITIONAL PROCLAMATIONS.—Notwithstanding
subparagraph (A), and subject to the consultation and layover provisions of section 104, the President may
proclaim—
(i) modifications to the provisions proclaimed under
the authority of paragraph (1)(A) as are necessary
to implement an agreement with Australia pursuant
to article 4.2.5 of the Agreement; and
(ii) before the end of the 1-year period beginning
on the date of the enactment of this Act, modifications
to correct any typographical, clerical, or other nonsubstantive technical error regarding the provisions of
chapters 50 through 63 of the HTS, as included in
Annex 4–A of the Agreement.
SEC. 204. CUSTOMS USER FEES.

Section 13031(b) of the Consolidated Omnibus Budget Reconciliation Act of 1985 (19 U.S.C. 58c(b)) is amended by adding after
paragraph (13) the following:
‘‘(14) No fee may be charged under subsection (a) (9) or (10)
with respect to goods that qualify as originating goods under section
203 of the United States-Australia Free Trade Agreement Implementation Act. Any service for which an exemption from such
fee is provided by reason of this paragraph may not be funded
with money contained in the Customs User Fee Account.’’.
SEC. 205. DISCLOSURE OF INCORRECT INFORMATION.

Section 592(c) of the Tariff Act of 1930 (19 U.S.C. 1592(c))
is amended—
(1) by redesignating paragraph (8) as paragraph (9); and
(2) by inserting after paragraph (7) the following new paragraph:
‘‘(8) PRIOR DISCLOSURE REGARDING CLAIMS UNDER THE
UNITED STATES-AUSTRALIA FREE TRADE AGREEMENT.—
‘‘(A) IN GENERAL.—An importer shall not be subject
to penalties under subsection (a) for making an incorrect
claim that a good qualifies as an originating good under
section 203 of the United States-Australia Free Trade
Agreement Implementation Act if the importer, in accordance with regulations issued by the Secretary of the
Treasury, voluntarily and promptly makes a corrected declaration and pays any duties owing.
‘‘(B) TIME PERIODS FOR MAKING CORRECTIONS.—In the
regulations referred to in subparagraph (A), the Secretary

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of the Treasury is authorized to prescribe time periods
for making a corrected declaration and paying duties owing
under subparagraph (A), if such periods are not shorter
than 1 year following the date on which the importer
makes the incorrect claim.’’.

19 USC 3805
note.

SEC. 206. ENFORCEMENT RELATING TO TRADE IN TEXTILE AND
APPAREL GOODS.

(a) ACTION DURING VERIFICATION.—
(1) IN GENERAL.—If the Secretary of the Treasury requests
the Government of Australia to conduct a verification pursuant
to article 4.3 of the Agreement for purposes of making a determination under paragraph (2), the President may direct the
Secretary to take appropriate action described in subsection
(b) while the verification is being conducted.
(2) DETERMINATION.—A determination under this paragraph
is a determination—
(A) that an exporter or producer in Australia is complying with applicable customs laws, regulations, procedures, requirements, or practices affecting trade in textile
or apparel goods; or
(B) that a claim that a textile or apparel good exported
or produced by such exporter or producer—
(i) qualifies as an originating good under section
203 of this Act; or
(ii) is a good of Australia,
is accurate.
(b) APPROPRIATE ACTION DESCRIBED.—Appropriate action under
subsection (a)(1) includes—
(1) suspension of liquidation of the entry of any textile
or apparel good exported or produced by the person that is
the subject of a verification under subsection (a)(1) regarding
compliance described in subsection (a)(2)(A), in a case in which
the request for verification was based on a reasonable suspicion
of unlawful activity related to such goods; and
(2) suspension of liquidation of the entry of a textile or
apparel good for which a claim has been made that is the
subject of a verification under subsection (a)(1) regarding a
claim described in subsection (a)(2)(B).
(c) ACTION WHEN INFORMATION IS INSUFFICIENT.—If the Secretary of the Treasury determines that the information obtained
within 12 months after making a request for a verification under
subsection (a)(1) is insufficient to make a determination under
subsection (a)(2), the President may direct the Secretary to take
appropriate action described in subsection (d) until such time as
the Secretary receives information sufficient to make a determination under subsection (a)(2) or until such earlier date as the President may direct.
(d) APPROPRIATE ACTION DESCRIBED.—Appropriate action
referred to in subsection (c) includes—
(1) publication of the name and address of the person
that is the subject of the verification;
(2) denial of preferential tariff treatment under the Agreement to—
(A) any textile or apparel good exported or produced
by the person that is the subject of a verification under

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subsection (a)(1) regarding compliance described in subsection (a)(2)(A); or
(B) a textile or apparel good for which a claim has
been made that is the subject of a verification under subsection (a)(1) regarding a claim described in subsection
(a)(2)(B); and
(3) denial of entry into the United States of—
(A) any textile or apparel good exported or produced
by the person that is the subject of a verification under
subsection (a)(1) regarding compliance described in subsection (a)(2)(A); or
(B) a textile or apparel good for which a claim has
been made that is the subject of a verification under subsection (a)(1) regarding a claim described in subsection
(a)(2)(B).
SEC. 207. REGULATIONS.

The Secretary of the Treasury shall prescribe such regulations
as may be necessary to carry out—
(1) subsections (a) through (n) of section 203 and section
204;
(2) amendments to existing law made by the sections
referred to in paragraph (1); and
(3) proclamations issued under section 203(o).

19 USC 3805
note.

TITLE III—RELIEF FROM IMPORTS
SEC. 301. DEFINITIONS.

As used in this title:
(1) AUSTRALIAN ARTICLE.—The term ‘‘Australian article’’
means an article that qualifies as an originating good under
section 203(b) of this Act.
(2) AUSTRALIAN TEXTILE OR APPAREL ARTICLE.—The term
‘‘Australian textile or apparel article’’ means an article—
(A) that is listed in the Annex to 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));
and
(B) that is an Australian article.
(3) COMMISSION.—The term ‘‘Commission’’ means the
United States International Trade Commission.

19 USC 3805
note.

Subtitle A—Relief From Imports Benefiting
From the Agreement
SEC. 311. COMMENCING OF ACTION FOR RELIEF.

(a) FILING OF PETITION.—
(1) IN GENERAL.—A petition requesting action under this
subtitle for the purpose of adjusting to the obligations of the
United States under the Agreement may be filed with the
Commission by an entity, including a trade association, firm,
certified or recognized union, or group of workers, that is representative of an industry. The Commission shall transmit
a copy of any petition filed under this subsection to the United
States Trade Representative.

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(2) PROVISIONAL RELIEF.—An entity filing a petition under
this subsection may request that provisional relief be provided
as if the petition had been filed under section 202(a) of the
Trade Act of 1974 (19 U.S.C. 2252(a)).
(3) CRITICAL CIRCUMSTANCES.—Any allegation that critical
circumstances exist shall be included in the petition.
(b) INVESTIGATION AND DETERMINATION.—Upon the filing of
a petition under subsection (a), the Commission, unless subsection
(d) applies, shall promptly initiate an investigation to determine
whether, as a result of the reduction or elimination of a duty
provided for under the Agreement, an Australian article is being
imported into the United States in such increased quantities, in
absolute terms or relative to domestic production, and under such
conditions that imports of the Australian article constitute a
substantial cause of serious injury or threat thereof to the domestic
industry producing an article that is like, or directly competitive
with, the imported article.
(c) APPLICABLE PROVISIONS.—The following provisions of section
202 of the Trade Act of 1974 (19 U.S.C. 2252) apply with respect
to any investigation initiated under subsection (b):
(1) Paragraphs (1)(B) and (3) of subsection (b).
(2) Subsection (c).
(3) Subsection (d).
(4) Subsection (i).
(d) ARTICLES EXEMPT FROM INVESTIGATION.—No investigation
may be initiated under this section with respect to any Australian
article if, after the date on which the Agreement enters into force,
import relief has been provided with respect to that Australian
article under this subtitle.
19 USC 3805
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SEC. 312. COMMISSION ACTION ON PETITION.

(a) DETERMINATION.—Not later than 120 days (180 days if
critical circumstances have been alleged) after the date on which
an investigation is initiated under section 311(b) with respect to
a petition, the Commission shall make the determination required
under that section.
(b) APPLICABLE PROVISIONS.—For purposes of this subtitle, the
provisions of paragraphs (1), (2), and (3) of section 330(d) of the
Tariff Act of 1930 (19 U.S.C. 1330(d) (1), (2), and (3)) shall be
applied with respect to determinations and findings made under
this section as if such determinations and findings were made
under section 202 of the Trade Act of 1974 (19 U.S.C. 2252).
(c) ADDITIONAL FINDING AND RECOMMENDATION IF DETERMINATION AFFIRMATIVE.—If the determination made by the Commission
under subsection (a) with respect to imports of an article is affirmative, or if the President may consider a determination of the
Commission to be an affirmative determination as provided for
under paragraph (1) of section 330(d) of the Tariff Act of 1930)
(19 U.S.C. 1330(d)), the Commission shall find, and recommend
to the President in the report required under subsection (d), the
amount of import relief that is necessary to remedy or prevent
the injury found by the Commission in the determination and
to facilitate the efforts of the domestic industry to make a positive
adjustment to import competition. The import relief recommended
by the Commission under this subsection shall be limited to that
described in section 313(c). Only those members of the Commission
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vote on the proposed action to remedy or prevent the injury found
by the Commission. Members of the Commission who did not vote
in the affirmative may submit, in the report required under subsection (d), separate views regarding what action, if any, should
be taken to remedy or prevent the injury.
(d) REPORT TO PRESIDENT.—Not later than the date that is
30 days after the date on which a determination is made under
subsection (a) with respect to an investigation, the Commission
shall submit to the President a report that includes—
(1) the determination made under subsection (a) and an
explanation of the basis for the determination;
(2) if the determination under subsection (a) is affirmative,
any findings and recommendations for import relief made under
subsection (c) and an explanation of the basis for each recommendation; and
(3) any dissenting or separate views by members of the
Commission regarding the determination and recommendation
referred to in paragraphs (1) and (2).
(e) PUBLIC NOTICE.—Upon submitting a report to the President
under subsection (d), the Commission shall promptly make public
such report (with the exception of information which the Commission determines to be confidential) and shall cause a summary
thereof to be published in the Federal Register.
SEC. 313. PROVISION OF RELIEF.

(a) IN GENERAL.—Not later than the date that is 30 days
after the date on which the President receives the report of the
Commission in which the Commission’s determination under section
312(a) is affirmative, or which contains a determination under
section 312(a) that the President considers to be affirmative under
paragraph (1) of section 330(d) of the Tariff Act of 1930 (19 U.S.C.
1330(d)(1)), the President, subject to subsection (b), shall provide
relief from imports of the article that is the subject of such determination to the extent that the President determines necessary
to remedy or prevent the injury found by the Commission and
to facilitate the efforts of the domestic industry to make a positive
adjustment to import competition.
(b) EXCEPTION.—The President is not required to provide import
relief under this section if the President determines that the provision of the import relief will not provide greater economic and
social benefits than costs.
(c) NATURE OF RELIEF.—
(1) IN GENERAL.—The import relief (including provisional
relief) that the President is authorized to provide under this
section with respect to imports of an article is as follows:
(A) The suspension of any further reduction provided
for under Annex 2–B of the Agreement in the duty imposed
on such article.
(B) An increase in the rate of duty imposed on such
article to a level that does not exceed the lesser of—
(i) the column 1 general rate of duty imposed under
the HTS on like articles at the time the import relief
is provided; or
(ii) the column 1 general rate of duty imposed
under the HTS on like articles on the day before the
date on which the Agreement enters into force.

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publication.

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President.

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President.

Deadline.

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publication.

Reports.
Deadline.

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(C) In the case of a duty applied on a seasonal basis
to such article, an increase in the rate of duty imposed
on the article to a level that does not exceed the lesser
of—
(i) the column 1 general rate of duty imposed under
the HTS on like articles for the immediately preceding
corresponding season; or
(ii) the column 1 general rate of duty imposed
under the HTS on like articles on the day before the
date on which the Agreement enters into force.
(2) PROGRESSIVE LIBERALIZATION.—If the period for which
import relief is provided under this section is greater than
1 year, the President shall provide for the progressive liberalization (described in article 9.2.7 of the Agreement) of such relief
at regular intervals during the period in which the relief is
in effect.
(d) PERIOD OF RELIEF.—
(1) IN GENERAL.—Subject to paragraph (2), any import relief
that the President provides under this section may not be
in effect for more than 2 years.
(2) EXTENSION.—
(A) IN GENERAL.—Subject to subparagraph (C), the
President, after receiving an affirmative determination
from the Commission under subparagraph (B), may extend
the effective period of any import relief provided under
this section if the President determines that—
(i) the import relief continues to be necessary to
remedy or prevent serious injury and to facilitate
adjustment by the domestic industry to import competition; and
(ii) there is evidence that the industry is making
a positive adjustment to import competition.
(B) ACTION BY COMMISSION.—(i) Upon a petition on
behalf of the industry concerned that is filed with the
Commission not earlier than the date which is 9 months,
and not later than the date which is 6 months, before
the date any action taken under subsection (a) is to terminate, the Commission shall conduct an investigation to
determine whether action under this section continues to
be necessary to remedy or prevent serious injury and
whether there is evidence that the industry is making
a positive adjustment to import competition.
(ii) The Commission shall publish notice of the
commencement of any proceeding under this subparagraph
in the Federal Register and shall, within a reasonable
time thereafter, hold a public hearing at which the Commission shall afford interested parties and consumers an opportunity to be present, to present evidence, and to respond
to the presentations of other parties and consumers, and
otherwise to be heard.
(iii) The Commission shall transmit to the President
a report on its investigation and determination under this
subparagraph not later than 60 days before the action
under subsection (a) is to terminate, unless the President
specifies a different date.
(C) PERIOD OF IMPORT RELIEF.—Any import relief provided under this section, including any extensions thereof,

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may not, in the aggregate, be in effect for more than
4 years.
(e) RATE AFTER TERMINATION OF IMPORT RELIEF.—When import
relief under this section is terminated with respect to an article—
(1) the rate of duty on that article after such termination
and on or before December 31 of the year in which such termination occurs shall be the rate that, according to the Schedule
of the United States to Annex 2–B of the Agreement for the
staged elimination of the tariff, would have been in effect
1 year after the provision of relief under subsection (a); and
(2) the rate of duty for that article after December 31
of the year in which termination occurs shall be, at the discretion of the President, either—
(A) the applicable NTR (MFN) rate of duty for that
article set out in the Schedule of the United States to
Annex 2–B of the Agreement; or
(B) the rate of duty resulting from the elimination
of the tariff in equal annual stages ending on the date
set out in the Schedule of the United States to Annex
2–B of the Agreement for the elimination of the tariff.
(f) ARTICLES EXEMPT FROM RELIEF.—No import relief may be
provided under this section on any article that—
(1) is subject to—
(A) import relief under subtitle B; or
(B) an assessment of additional duty under subsection
(b), (c), or (d) of section 202; or
(2) has been subject to import relief under this subtitle
after the date on which the Agreement enters into force.
SEC. 314. TERMINATION OF RELIEF AUTHORITY.

(a) GENERAL RULE.—Subject to subsection (b), no import relief
may be provided under this subtitle after the date that is 10
years after the date on which the Agreement enters into force.
(b) EXCEPTION.—If an article for which relief is provided under
this subtitle is an article for which the period for tariff elimination,
set out in the Schedule of the United States to Annex 2–B of
the Agreement, is greater than 10 years, no relief under this subtitle
may be provided for that article after the date on which such
period ends.
(c) PRESIDENTIAL DETERMINATION.—Import relief may be provided under this subtitle in the case of an Australian article after
the date on which such relief would, but for this subsection, terminate under subsection (a) or (b), if the President determines that
Australia has consented to such relief.
SEC. 315. COMPENSATION AUTHORITY.

For purposes of section 123 of the Trade Act of 1974 (19
U.S.C. 2133), any import relief provided by the President under
section 313 shall be treated as action taken under chapter 1 of
title II of such Act.
SEC. 316. CONFIDENTIAL BUSINESS INFORMATION.

Section 202(a)(8) of the Trade Act of 1974 (19 U.S.C. 2252(a)(8))
is amended in the first sentence—
(1) by striking ‘‘and’’; and
(2) by inserting before the period at the end ‘‘, and title
III of the United States-Australia Free Trade Agreement
Implementation Act’’.

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Subtitle B—Textile and Apparel Safeguard
Measures
President.
19 USC 3805
note.

SEC. 321. COMMENCEMENT OF ACTION FOR RELIEF.

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(a) IN GENERAL.—A request under this subtitle for the purpose
of adjusting to the obligations of the United States under the
Agreement may be filed with the President by an interested party.
Upon the filing of a request, the President shall review the request
to determine, from information presented in the request, whether
to commence consideration of the request.
(b) ALLEGATION OF CRITICAL CIRCUMSTANCES.—An interested
party filing a request under this section may—
(1) allege that critical circumstances exist such that delay
in the provision of relief would cause damage that would be
difficult to repair; and
(2) based on such allegation, request that relief be provided
on a provisional basis.
(c) PUBLICATION OF REQUEST.—If the President determines that
the request under subsection (a) provides the information necessary
for the request to be considered, the President shall cause to be
published in the Federal Register a notice of commencement of
consideration of the request, and notice seeking public comments
regarding the request. The notice shall include a summary of the
request and the dates by which comments and rebuttals must
be received.
SEC. 322. DETERMINATION AND PROVISION OF RELIEF.

(a) DETERMINATION.—
(1) IN GENERAL.—If a positive determination is made under
section 321(c), the President shall determine whether, as a
result of the reduction or elimination of a duty under the
Agreement, an Australian textile or apparel article is being
imported into the United States in such increased quantities,
in absolute terms or relative to the domestic market for that
article, and under such conditions as to cause serious damage,
or actual threat thereof, to a domestic industry producing an
article that is like, or directly competitive with, the imported
article.
(2) SERIOUS DAMAGE.—In making a determination under
paragraph (1), the President—
(A) shall examine the effect of increased imports on
the domestic industry, as reflected in changes in such relevant economic factors as output, productivity, utilization
of capacity, inventories, market share, exports, wages,
employment, domestic prices, profits, and investment, none
of which is necessarily decisive; and
(B) shall not consider changes in technology or consumer preference as factors supporting a determination
of serious damage or actual threat thereof.
(b) PROVISION OF RELIEF.—
(1) IN GENERAL.—If a determination under subsection (a)
is affirmative, the President may provide relief from imports
of the article that is the subject of such determination, as
described in paragraph (2), to the extent that the President
determines necessary to remedy or prevent the serious damage

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and to facilitate adjustment by the domestic industry to import
competition.
(2) NATURE OF RELIEF.—The relief that the President is
authorized to provide under this subsection with respect to
imports of an article is an increase in the rate of duty imposed
on the article to a level that does not exceed the lesser of—
(A) the column 1 general rate of duty imposed under
the HTS on like articles at the time the import relief
is provided; or
(B) the column 1 general rate of duty imposed under
the HTS on like articles on the day before the date on
which the Agreement enters into force.
(c) CRITICAL CIRCUMSTANCES.—
(1) PRESIDENTIAL DETERMINATION.—When a request filed
under section 321(a) contains an allegation of critical circumstances and a request for provisional relief under section
321(b), the President shall, not later than 60 days after the
request is filed, determine, on the basis of available information,
whether—
(A) there is clear evidence that—
(i) imports from Australia have increased as the
result of the reduction or elimination of a customs
duty under the Agreement; and
(ii) such imports are causing serious damage, or
actual threat thereof, to the domestic industry producing an article like or directly competitive with the
imported article; and
(B) delay in taking action under this subtitle would
cause damage to that industry that would be difficult to
repair.
(2) EXTENT OF PROVISIONAL RELIEF.—If the determinations
under subparagraphs (A) and (B) of paragraph (1) are affirmative, the President shall determine the extent of provisional
relief that is necessary to remedy or prevent the serious damage. The nature of the provisional relief available shall be
the relief described in subsection (b)(2). Within 30 days after
making affirmative determinations under subparagraphs (A)
and (B) of paragraph (1), the President, if the President considers provisional relief to be warranted, shall provide, for
a period not to exceed 200 days, such provisional relief that
the President considers necessary to remedy or prevent the
serious damage.
(3) SUSPENSION OF LIQUIDATION.—If provisional relief is
provided under paragraph (2), the President shall order the
suspension of liquidation of all imported articles subject to
the affirmative determinations under subparagraphs (A) and
(B) of paragraph (1) that are entered, or withdrawn from warehouse for consumption, on or after the date of the determinations.
(4) TERMINATION OF PROVISIONAL RELIEF.—
(A) IN GENERAL.—Any provisional relief implemented
under this subsection with respect to an imported article
shall terminate on the day on which—
(i) the President makes a negative determination
under subsection (a) regarding serious damage or
actual threat thereof by imports of such article;

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(ii) action described in subsection (b) takes effect
with respect to such article;
(iii) a decision by the President not to take any
action under subsection (b) with respect to such article
becomes final; or
(iv) the President determines that, because of
changed circumstances, such relief is no longer warranted.
(B) SUSPENSION OF LIQUIDATION.—Any suspension of
liquidation ordered under paragraph (3) with respect to
an imported article shall terminate on the day on which
provisional relief is terminated under subparagraph (A)
with respect to the article.
(C) RATES OF DUTY.—If an increase in, or the imposition of, a duty that is provided under subsection (b) on
an imported article is different from a duty increase or
imposition that was provided for such an article under
this subsection, then the entry of any such article for
which liquidation was suspended under paragraph (3) shall
be liquidated at whichever of such rates of duty is lower.
(D) RATE OF DUTY IF PROVISIONAL RELIEF.—If provisional relief is provided under this subsection with respect
to an imported article and neither a duty increase nor
a duty imposition is provided under subsection (b) for such
article, the entry of any such article for which liquidation
was suspended under paragraph (3) shall be liquidated
at the rate of duty that applied before the provisional
relief was provided.

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SEC. 323. PERIOD OF RELIEF.

(a) IN GENERAL.—Subject to subsection (b), the import relief
that the President provides under subsections (b) and (c) of section
322 may not, in the aggregate, be in effect for more than 2 years.
(b) EXTENSION.—
(1) IN GENERAL.—Subject to paragraph (2), the President
may extend the effective period of any import relief provided
under this subtitle for a period of not more than 2 years,
if the President determines that—
(A) the import relief continues to be necessary to
remedy or prevent serious damage and to facilitate adjustment by the domestic industry to import competition; and
(B) there is evidence that the industry is making a
positive adjustment to import competition.
(2) LIMITATION.—Any relief provided under this subtitle,
including any extensions thereof, may not, in the aggregate,
be in effect for more than 4 years.
SEC. 324. ARTICLES EXEMPT FROM RELIEF.

The President may not provide import relief under this subtitle
with respect to any article if—
(1) import relief previously has been provided under this
subtitle with respect to that article; or
(2) the article is subject to import relief under—
(A) subtitle A; or
(B) chapter 1 of title II of the Trade Act of 1974
(19 U.S.C. 2251 et seq.).

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PUBLIC LAW 108–286—AUG. 3, 2004

118 STAT. 949

SEC. 325. RATE AFTER TERMINATION OF IMPORT RELIEF.

When import relief under this subtitle is terminated with
respect to an article, the rate of duty on that article shall be
the rate that would have been in effect, but for the provision
of such relief, on the date the relief terminates.
SEC. 326. TERMINATION OF RELIEF AUTHORITY.

No import relief may be provided under this subtitle with
respect to any article after the date that is 10 years after the
date on which duties on the article are eliminated pursuant to
the Agreement.
SEC. 327. COMPENSATION AUTHORITY.

For purposes of section 123 of the Trade Act of 1974 (19
U.S.C. 2133), any import relief provided by the President under
this subtitle shall be treated as action taken under chapter 1
of title II of such Act.
SEC. 328. BUSINESS CONFIDENTIAL INFORMATION.

The President may not release information which is submitted
in a proceeding under this subtitle and which the President considers to be confidential business information unless the party
submitting the confidential business information had notice, at
the time of submission, that such information would be released,
or such party subsequently consents to the release of the information. To the extent a party submits confidential business information
to the President in a proceeding under this subtitle, the party
also shall submit a nonconfidential version of the information, in
which the confidential business information is summarized or, if
necessary, deleted.

19 USC 3805
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19 USC 3805
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19 USC 3805
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19 USC 3805
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Subtitle C—Cases Under Title II of the
Trade Act of 1974
SEC. 331. FINDINGS AND ACTION ON GOODS FROM AUSTRALIA.

(a) EFFECT OF IMPORTS.—If, in any investigation initiated under
chapter 1 of title II of the Trade Act of 1974 (19 U.S.C. 2251
et seq.), the Commission makes an affirmative determination (or
a determination which the President may treat as an affirmative
determination under such chapter by reason of section 330(d) of
the Tariff Act of 1930), the Commission shall also find (and report
to the President at the time such injury determination is submitted
to the President) whether imports of the article from Australia
are a substantial cause of serious injury or threat thereof.
(b) PRESIDENTIAL DETERMINATION REGARDING AUSTRALIAN
IMPORTS.—In determining the nature and extent of action to be
taken under chapter 1 of title II of the Trade Act of 1974, the
President shall determine whether imports from Australia are a
substantial cause of the serious injury or threat thereof found
by the Commission and, if such determination is in the negative,
may exclude from such action imports from Australia.

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118 STAT. 950

PUBLIC LAW 108–286—AUG. 3, 2004

TITLE IV—PROCUREMENT
19 USC 3805
note.

SEC. 401. ELIGIBLE PRODUCTS.

Section 308(4)(A) of the Trade Agreements Act of 1979 (19
U.S.C. 2518(4)(A)) is amended—
(1) by striking ‘‘or’’ at the end of clause (i);
(2) by striking the period at the end of clause (ii) and
inserting ‘‘; or’’; and
(3) by adding at the end the following new clause:
‘‘(iii) a party to a free trade agreement that entered
into force with respect to the United States after
December 31, 2003, and before January 2, 2005, a
product or service of that country or instrumentality
which is covered under the free trade agreement for
procurement by the United States.’’.
Approved August 3, 2004.

LEGISLATIVE HISTORY—H.R. 4759 (S. 2610):
HOUSE REPORTS: No. 108–597 (Comm. on Ways and Means).
CONGRESSIONAL RECORD, Vol. 150 (2004):
July 14, considered and passed House.
July 15, considered and passed Senate.
WEEKLY COMPILATION OF PRESIDENTIAL DOCUMENTS, Vol. 40 (2004):
Aug. 3, Presidential remarks.

Æ

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