[Congressional Bills 110th Congress] [From the U.S. Government Publishing Office] [H.R. 708 Introduced in House (IH)] 110th CONGRESS 1st Session H. R. 708 To amend United States trade laws to address more effectively import crises, and for other purposes. _______________________________________________________________________ IN THE HOUSE OF REPRESENTATIVES January 29, 2007 Mr. English of Pennsylvania introduced the following bill; which was referred to the Committee on Ways and Means, and in addition to the Committee on Rules, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned _______________________________________________________________________ A BILL To amend United States trade laws to address more effectively import crises, and for other purposes. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, SECTION 1. SHORT TITLE; TABLE OF CONTENTS. (a) Short Title.--This Act may be cited as the ``Trade Law Reform Act of 2007''. (b) Table of Contents.--The table of contents for this Act is as follows: Sec. 1. Short title; table of contents. TITLE I--AMENDMENTS TO TITLE VII OF THE TARIFF ACT OF 1930 Sec. 101. Captive production. Sec. 102. Price. Sec. 103. Vulnerability of industry; cumulation. Sec. 104. Causal relationship between imports and injury. Sec. 105. Prevention of circumvention. Sec. 106. Perishable agricultural products. Sec. 107. Export price and constructed export price. Sec. 108. Drawback adjustment in antidumping cases. Sec. 109. Expedited remedy where persistent dumping is present. Sec. 110. Countervailable subsidy. Sec. 111. Valuing freight for inputs in nonmarket economy country antidumping calculations. Sec. 112. Revocation of nonmarket economy country status. Sec. 113. Application of countervailing duties to nonmarket economy countries. Sec. 114. Downstream dumping. Sec. 115. Effective date. TITLE II--SAFEGUARD AMENDMENTS Sec. 201. Amendments to chapter 1 of title II of the Trade Act of 1974. TITLE III--INTERNATIONAL TRADE NEGOTIATIONS Sec. 301. Negotiating objectives regarding trade remedy laws. Sec. 302. Consultations and assessments regarding trade Agreements. Sec. 303. Effective date. TITLE IV--CONGRESSIONAL ADVISORY COMMISSION ON WTO DISPUTE SETTLEMENT Sec. 401. Short title. Sec. 402. Congressional findings and purpose. Sec. 403. Establishment of Commission. Sec. 404. Duties of the Commission. Sec. 405. Powers of the Commission. Sec. 406. Report by United States Trade Representative. Sec. 407. Definitions. Sec. 408. Effective date. TITLE V--STEEL IMPORT LICENSING AND MONITORING Sec. 501. Maintenance and expansion of steel import licensing and monitoring program. TITLE VI--MISCELLANEOUS PROVISIONS Sec. 601. Construction. Sec. 602. Application to goods from Canada and Mexico. Sec. 603. Participation in WTO panel proceedings. TITLE I--AMENDMENTS TO TITLE VII OF THE TARIFF ACT OF 1930 SEC. 101. CAPTIVE PRODUCTION. Section 771(7)(C)(iv) of the Tariff Act of 1930 (19 U.S.C. 1677(7)(C)(iv)) is amended to read as follows: ``(iv) Captive production.--If domestic producers transfer internally, including to affiliated persons as defined in paragraph (33), significant production of the domestic like product for the production of a downstream article and sell significant production of the domestic like product in the merchant market, then the Commission, in determining market share and the factors affecting financial performance set forth in clause (iii), shall focus primarily on the merchant market for the domestic like product.''. SEC. 102. PRICE. Section 771(7)(C)(ii) of the Tariff Act of 1930 (19 U.S.C. 1677(7)(C)(ii)) is amended by adding at the end the following flush sentence: ``The Commission shall not conclude that imports of the subject merchandise do not have a significant effect on prices merely because of the volume of imports of the subject merchandise.''. SEC. 103. VULNERABILITY OF INDUSTRY; CUMULATION. (a) Vulnerability.--Section 771(7)(C)(iii) of the Tariff Act of 1930 (19 U.S.C. 1677(7)(C)(iii)) is amended in the last sentence by striking the period at the end and inserting ``, including whether the industry is vulnerable to the effects of imports of the subject merchandise.''. (b) Cumulation.--Section 771(7)(G)(i) of the Tariff Act of 1930 (19 U.S.C. 1677(7)(G)(i)) is amended to read as follows: ``(i) In General.--For purposes of clauses (i) and (ii) of subparagraph (C), and subject to clause (ii), the Commission shall cumulatively assess the volume and effect of imports of the subject merchandise from all countries subject to petitions filed under section 702(b) or 732(b), or subject to investigations initiated under 702(a) or 732(a), if such petitions were filed, or such investigations were initiated, within 90 days before the date on which the Commission is required to make its final injury determination, and if such imports compete with each other and with the domestic like product in the United States market.''. SEC. 104. CAUSAL RELATIONSHIP BETWEEN IMPORTS AND INJURY. Section 771(7)(E)(ii) of the Tariff Act of 1930 (19 U.S.C. 1677(7)(E)(ii)) is amended by adding at the end the following: ``The Commission need not determine the significance of imports of the subject merchandise relative to other economic factors.''. SEC. 105. PREVENTION OF CIRCUMVENTION. Section 781(c) of the Tariff Act of 1930 (19 U.S.C. 1677j(c)) is amended by adding at the end the following new paragraph: ``(3) Special rule.--The administering authority shall apply paragraph (1) with respect to altered merchandise excluded from the merchandise description used in an outstanding order or finding, if such application is not inconsistent with the affirmative determination of the Commission on which the order or finding is based.''. SEC. 106. PERISHABLE AGRICULTURAL PRODUCTS. (a) Definition of Industries.--Section 771(4)(A) of the Tariff Act of 1930 (19 U.S.C. 1677(4)(A)) is amended by adding at the end the following: ``If the Commission determines that an agricultural product has a short shelf life and is a perishable product, the Commission shall treat the producers of the product in a defined period or season as the domestic industry. If the subheading under the Harmonized Tariff Schedules of the United States for an agricultural product has a 6- or 8-digit classification based on the period of time during the calendar year in which the product is harvested or imported, such periods of time constitute a defined period or season for purposes of this paragraph.''. (b) Determination of Injury.--Section 771(7)(D) of the Tariff Act of 1930 (19 U.S.C. 1677(7)(D)) is amended by adding at the end the following new clauses: ``(iii) In the case of an agricultural industry involving a perishable product with a short shelf life, if a request for seasonal evaluation has been made by the petitioners, the Commission shall consider the factors in subparagraph (C) on a seasonal basis during the period identified as relevant. ``(iv) In the case of agricultural products, partially picked or unpicked crops and abandoned acreage may be considered in lieu of other measures of capacity and capacity utilization. ``(v) The impact of other factors, such as weather, on agricultural production and producers shall not be weighed against the contribution of the imported subject merchandise to the condition of the domestic industry.''. SEC. 107. EXPORT PRICE AND CONSTRUCTED EXPORT PRICE. Section 772(c)(2)(A) of the Tariff Act of 1930 (19 U.S.C. 1677a(c)(2)(A)) is amended by inserting after ``duties'' the following: ``(including any antidumping duties, any countervailing duties, and those temporary duties that are proclaimed to provide import relief)''. SEC. 108. DRAWBACK ADJUSTMENT IN ANTIDUMPING CASES. Section 772(c)(1)(B) of the Tariff Act of 1930 (19 U.S.C. 1677a(c)(1)(B)) is amended by inserting after ``United States,'' the following: ``but only to the extent necessary to offset import duties that have been paid on inputs used in the production of subject merchandise sold in the home market,''. SEC. 109. EXPEDITED REMEDY WHERE PERSISTENT DUMPING IS PRESENT. Section 732(a)(2) of the Tariff Act of 1930 (19 U.S.C. 1673a(a)(2)) is amended-- (1) by striking subparagraph (A) and inserting the following: ``(A) Initiation of expedited investigation.--An expedited antidumping duty investigation shall be initiated with respect to a particular class or kind of merchandise that is subject to an existing antidumping order within 20 days of the request of an interested party described in subparagraph (C), (D), (E), (F), or (G) of section 771(9), if the administering authority determines, from information available to it, that imports of such class or kind of merchandise have increased materially from an additional supplier country, as defined in subparagraph (C), during a period of 90 days or during a longer period as determined by the administering authority to be appropriate. The request shall allege and present supporting information that such imports are occurring. The administering authority, in making a determination under this subparagraph, shall consider the public record of its investigation of imports of merchandise subject to the existing antidumping order.''; (2) by striking subparagraph (B) and inserting the following: ``(B) Increased materially.--The administering authority shall consider imports of merchandise from an additional supplier country to have increased materially if such imports have increased by 15 percent or more over the amount of such imports during a period of comparable duration preceding initiation of the antidumping investigation of imports of merchandise subject to the existing antidumping order.''; and (3) by striking subparagraph (D) and inserting the following: ``(D) Procedures and injury determinations for expedited investigations.-- ``(i) The provisions of subsections (b)(3), (c)(4), (d), and (e) of this section, section 733 (b), (d), and (e), section 734 (a), (b), (c), (d), (e), (f), (i), (k), and (l), and section 735 (a), (c), (d), and (e) shall apply to expedited investigations under this paragraph, except that the administering authority shall issue a preliminary determination within 90 days of receiving a request for an investigation under subparagraph (A). ``(ii) Not later than 45 days after the date on which the request under subparagraph (A) is received by the administering authority, the Commission shall determine if there is a reasonable indication of material injury or threat of material injury as prescribed in section 733(a)(1). ``(iii) If the Commission makes an affirmative determination that there is a reasonable indication of material injury and the administering authority makes an affirmative final determination, the Commission shall make a final determination as prescribed in section 735(b)(1) before the later of-- ``(I) the 120th day after the day on which the administering authority makes its affirmative preliminary determination under this subparagraph, or ``(II) the 45th day after the day on which the administering authority makes its affirmative final determination under section 735(a). ``(iv) The Commission shall make a determination under this subparagraph from reasonably available information (including public information on the administrative record of its investigation of imports of merchandise subject to the existing antidumping order). ``(v) An affirmative final determination shall not be made unless the Commission determines pursuant to the factors described in sections 735(b)(1) and 771(7) that an industry in the United States is materially injured, or threatened with material injury, by reason of imports of the subject merchandise and that imports of the subject merchandise are not negligible.''. SEC. 110. COUNTERVAILABLE SUBSIDY. (a) Definition of Countervailable Subsidy.--Section 771(5)(E) of the Tariff Act of 1930 (19 U.S.C. 1677(5)(E)), as amended by this Act, is further amended by adding at the end the following: ``If there is a reasonable indication that a financial contribution by the provision of goods or services has distorted prices for those goods or services in the country that is subject to the investigation or review, or if data regarding such prices are otherwise unavailable, then the administering authority shall measure adequacy of remuneration by reference to data regarding prices for the same or a similar good or service from outside the country that is subject to the investigation or review. The administering authority shall adjust such data to the extent practicable to reflect prevailing market conditions in that country. If there is a reasonable indication that prices within a political subdivision, dependent territory, or possession of a foreign country are distorted, or data are not available, then the administering authority shall measure adequacy of remuneration in that political subdivision, dependent territory, or possession by reference to data from the most comparable area or region in which prices are not distorted, regardless of whether it is in the same country.''. (b) Effective Date.--The amendment made by subsection (a) shall apply to any determination under section 705 or 751 of the Tariff Act of 1930 (19 U.S.C. 1671d, 1675) that is made on or after January 1, 2002, including published determinations for which judicial or binational panel review has been initiated or completed pursuant to section 516A of that Act (19 U.S.C. 1516a). To the extent that the amendment made by subsection (a) may be relevant to any such determination that has already been made, the administering authority shall amend the determination and associated countervailing duty order to bring them into compliance with the amendment made by subsection (a), and shall undertake new administrative proceedings, if necessary, to do so. SEC. 111. VALUING FREIGHT FOR INPUTS IN NONMARKET ECONOMY COUNTRY ANTIDUMPING CALCULATIONS. Section 773(c)(3) of the Tariff Act of 1930 (19 U.S.C. 1677b(c)(3)) is amended-- (1) in subparagraph (C) by striking ``and'' at the end; (2) in subparagraph (D) by striking the period at the end and inserting ``, and''; and (3) by adding at the end the following: ``(E) transportation costs based upon the actual freight distances required to transport material inputs from the unaffiliated supplier or unaffiliated suppliers, or from the first unaffiliated supplier where the input is obtained from an affiliate, to the producer or exporter of the foreign like product.''. SEC. 112. REVOCATION OF NONMARKET ECONOMY COUNTRY STATUS. (a) Amendment of Definition of ``Nonmarket Economy Country''.-- Section 771(18)(C)(i) of the Tariff Act of 1930 (19 U.S.C. 1877(18)(C)(i)) is amended by striking ``until revoked by the administering authority'' and inserting ``until revoked by a resolution enacted consistent with section 113 of the Trade Law Reform Act of 2007''. (b) Notification by President.--Whenever the administering authority makes a final determination under section 771(18)(C)(i) of the Tariff Act of 1930 (19 U.S.C. 1877(18)(C)(i)) to revoke the determination that a foreign country is a nonmarket economy country, the President shall notify the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate of that determination within 10 days after its publication in the Federal Register. (c) Rules of House of Representatives and Senate.--Subsections (c) through (i) of this section are enacted by the Congress-- (1) as an exercise of the rulemaking power of the House of Representatives and the Senate, respectively, and as such they are deemed a part of the rules of each House, respectively, but applicable only with respect to the procedure to be followed in that House in the case of approval resolutions described in subsection (d) of this section; and they supersede other rules only to the extent that they are inconsistent therewith; and (2) with full recognition of the constitutional right of either House to change the rules (so far as relating to the procedure of that House) at any time, in the same manner and to the same extent as in the case of any other rule of that House. (d) Definition.--For purposes of this section, the term ``approval resolution'' means only a joint resolution of the two Houses of the Congress, the matter after the resolving clause of which is as follows: ``That the Congress approves the change of non-market economy status with respect to the products of _____ transmitted by the President to the Congress on _____.'', the first blank space being filled in with the applicable country, and the second blank space being filled with the appropriate date. (e) Introduction.--When a notification submitted under subsection (b) is transmitted to the House of Representatives and the Senate, an approval resolution with respect to such agreement shall be introduced (by request) in the House by the majority leader of the House, for himself, or by Members of the House designated by the majority leader of the House; and shall be introduced (by request) in the Senate by the majority leader of the Senate, for himself, or by Members of the Senate designated by the majority leader of the Senate. (f) Amendments Prohibited.--No amendment to an approval resolution shall be in order in either the House of Representatives or the Senate; and no motion to suspend the application of this subsection shall be in order in either House, nor shall it be in order in either House for the Presiding Officer to entertain a request to suspend the application of this subsection by unanimous consent. (g) Period for Committee and Floor Consideration.-- (1) In general.--Except as provided in paragraph (2), if the committee or committees of either House to which an approval resolution has been referred have not reported it at the close of the 45th day after its introduction, such committee or committees shall be automatically discharged from further consideration of the bill or resolution and it shall be placed on the appropriate calendar. A vote on final passage of the bill or resolution shall be taken in each House on or before the close of the 15th day after the bill or resolution is reported by the committee or committees of that House to which it was referred, or after such committee or committees have been discharged from further consideration of the bill or resolution. If prior to the passage by one House of an approval resolution of that House, that House receives the same approval resolution from the other House, then-- (A) the procedure in that House shall be the same as if no or approval resolution had been received from the other House, but (B) the vote on final passage shall be on the approval resolution of the other House. (2) Computation of days.--For purposes of paragraphs (1) and (2), in computing a number of days in either House, there shall be excluded any day on which that House is not in session. (h) Floor Consideration in the House.-- (1) Motion privileged.--A motion in the House of Representatives to proceed to the consideration of an approval resolution shall be highly privileged and not debatable. An amendment to the motion shall not be in order, nor shall it be in order to move to reconsider the vote by which the motion is agreed to or disagreed to. (2) Debate limited.--Debate in the House of Representatives on an approval resolution shall be limited to not more than 20 hours, which shall be divided equally between those favoring and those opposing the bill or resolution. A motion further to limit debate shall not be debatable. It shall not be in order to move to recommit an approval resolution or to move to reconsider the vote by which an approval resolution is agreed to or disagreed to. (3) Motions to postpone.--Motions to postpone, made in the House of Representatives with respect to the consideration of an approval resolution, and motions to proceed to the consideration of other business, shall be decided without debate. (4) Appeals.--All appeals from the decisions of the Chair relating to the application of the Rules of the House of Representatives to the procedure relating to an approval resolution shall be decided without debate. (5) Other rules.--Except to the extent specifically provided in the preceding provisions of this subsection, consideration of an approval resolution shall be governed by the Rules of the House of Representatives applicable to other bills and resolutions in similar circumstances. (i) Floor Consideration in the Senate.-- (1) Motion privileged.--A motion in the Senate to proceed to the consideration of an approval resolution shall be privileged and not debatable. An amendment to the motion shall not be in order, nor shall it be in order to move to reconsider the vote by which the motion is agreed to or disagreed to. (2) Debate limited.--Debate in the Senate on an approval resolution, and all debatable motions and appeals in connection therewith, shall be limited to not more than 20 hours. The time shall be equally divided between, and controlled by, the majority leader and the minority leader or their designees. (3) Control of debate.--Debate in the Senate on any debatable motion or appeal in connection with an implementing bill or approval resolution shall be limited to not more than 1 hour, to be equally divided between, and controlled by, the mover and the manager of the bill or resolution, except that in the event the manager of the bill or resolution is in favor of any such motion or appeal, the time in opposition thereto, shall be controlled by the minority leader or his designee. Such leaders, or either of them, may, from time under their control on the passage of an or approval resolution, allot additional time to any Senator during the consideration of any debatable motion or appeal. (4) Other motions.--A motion in the Senate to further limit debate is not debatable. A motion to recommit an approval resolution is not in order. SEC. 113. APPLICATION OF COUNTERVAILING DUTIES TO NONMARKET ECONOMY COUNTRIES. (a) In General.--Section 701(a)(1) of the Tariff Act of 1930 (19 U.S.C. 1671(a)(1)) is amended by inserting ``(including a nonmarket economy country)'' after ``country'' each place it appears. (b) Effective Date.--The amendments made by subsection (a) apply to petitions filed under section 702 of the Tariff Act of 1930 on or after the date of the enactment of this Act. SEC. 114. DOWNSTREAM DUMPING. (a) In General.--Subtitle D of title VII of the Tariff Act of 1930 (19 U.S.C. 1677 et seq.) is amended by inserting after section 771B the following: ``SEC. 771C. DOWNSTREAM DUMPING. ``(a) Definitions.--As used in this section: ``(1) Downstream dumping.--The term `downstream dumping' means the routine use of one or more depressed-price products as a significant part, component, assembly, subassembly, or material in the manufacture or production of merchandise. ``(2) Depressed-price product.--The term `depressed-price product' means a product purchased at a price that is lower than either or both of the following: ``(A) The generally available price of the product in the country of manufacture or production. ``(B) The price that would be the generally available price of the product in the country of manufacture or production but for the depressing or suppressing effect of subsidies or sales at below foreign market value, or both, with respect to that product. ``(3) Significant.--For purposes of this section, products are a `significant' part, component, assembly, subassembly, or material in the manufacture or production of merchandise if, and only if, the cost, in the aggregate, of those products represents 20 percent or more of the total cost of the merchandise. ``(4) Presumption.--If an antidumping duty is imposed on merchandise under section 731, the administering agency shall presume for purposes of this section that the products used in the manufacture or production of such merchandise are depressed-price products. ``(b) Inclusion of Amount Attributable to Downstream Dumping.--If the administering authority determines that downstream dumping of a product is occurring or has occurred with respect to merchandise, the antidumping duty imposed on such merchandise shall, for each such product, be increased by an amount equal to the amount by which the price at which the product was purchased exceeds the price specified in subsection (a)(2)(A) or the price specified in subsection (a)(2)(B), whichever is higher. ``(c) Scope of Inquiry of Administering Authority.--The administering authority is not required, in undertaking an investigation under subtitle B, to consider whether downstream dumping of a product is occurring or has occurred with respect to merchandise, beyond that state in the manufacture or production of the merchandise that immediately precedes the final manufacturing or production state before export to the United States, unless information reasonably available to the administering authority indicates that such dumping is occurring or has occurred before such immediately preceding stage and is having or has had a significant effect on the price of the merchandise.''. (b) Imposition of Antidumping Duties.--Section 731(2) of the Tariff Act of 1930 (19 U.S.C. 1673(2)) is amended-- (1) by striking ``or'' at the end of subparagraph (A)(ii); (2) by inserting ``or'' at the end of subparagraph (B); and (3) by inserting after subparagraph (B) the following: ``(C) an industry producing a product used in the manufacture or production of the foreign merchandise has been materially injured or threatened with material injury, or the establishment of such an industry in the United States has been materially retarded,''. (c) Definition of Interested Party.--Subparagraphs (C), (D), (E), and (F) of section 771(9) of the Tariff Act of 1930 (19 U.S.C. 1677(9)) are each amended by inserting after ``product'' the following: ``or a product that is used in the manufacture or production of a like product''. (d) Conforming Amendment.--The table of contents for title VII of the Tariff Act of 1930 is amended by inserting after the item relating to section 771B the following: ``Sec. 771C. Downstream dumping.''. SEC. 115. EFFECTIVE DATE. Except as otherwise specifically provided by this title, the amendments made by this title shall apply with respect to determinations made under title VII of the Tariff Act of 1930 that-- (1) are made with respect to investigations initiated or petitions filed on or after the date of the enactment of this Act; or (2) have not become final as of such date of enactment. TITLE II--SAFEGUARD AMENDMENTS SEC. 201. AMENDMENTS TO CHAPTER 1 OF TITLE II OF THE TRADE ACT OF 1974. (a) Test for Positive Adjustments to Import Competition.--Section 201(a) of the Trade Act of 1974 (19 U.S.C. 2251(a)) is amended by striking ``be a substantial cause of serious injury, or the threat thereof,'' and inserting ``cause or threaten to cause serious injury''. (b) Investigations and Determinations.--Section 202 of such Act (19 U.S.C. 2252) is amended-- (1) in subsection (b)(1)(A), by striking ``be a substantial cause of serious injury, or the threat thereof,'' and inserting ``cause or threaten to cause serious injury''; (2) by amending subsection (b)(1)(B) to read as follows: ``(B) For purposes of this section, the term `cause' refers to a cause that contributes significantly to serious injury, or the threat thereof, to the domestic industry but need not be equal to or greater than any other cause.''; (3) in subsection (c)-- (A) by amending paragraph (1)(A) to read as follows: ``(A) with respect to serious injury-- ``(i) change in the level of sales, production, productivity, capacity utilization, profits and losses, and employment; ``(ii) the significant idling of productive facilities in the domestic industry; ``(iii) the inability of a significant number of firms to carry out domestic production operations at a reasonable level of profit; and ``(iv) significant unemployment or underemployment within the domestic industry;''; (B) in paragraph (1)(B)-- (i) in clause (iii) by striking ``; and'' and inserting ``, and''; and (ii) by inserting after clause (iii) the following: ``(iv) foreign production capacity, foreign inventories, the level of demand in third country markets, and the availability of other export markets to absorb any additional exports; and''; (C) by amending paragraph (1)(C) to read as follows: ``(C) with respect to cause-- ``(i) the rate, amount, and timing of the increase in imports of the product concerned in absolute and relative terms, including whether there has been a substantial increase in imports over a short period of time; and ``(ii) the share of the domestic market taken by increased imports.''; (D) by redesignating paragraphs (3) through (6) as paragraphs (5) through (8), respectively; (E) by striking paragraph (2) and inserting the following: ``(2) In making determinations under paragraph (1)(A) and (B), if domestic producers internally transfer, including to affiliated persons as defined in section 771(33) of the Tariff Act of 1930, significant production of the article like or directly competitive with the imported article for the production of a downstream article and sell significant production of the article like or directly competitive with the imported article in the merchant market, then the Commission, in determining market share and the factors affecting financial performance set forth in paragraph (1)(A) and (B), shall focus primarily on the merchant market for the article like or directly competitive with the imported article. ``(3) In making determinations under subsection (b), the Commission shall-- ``(A) consider the condition of the domestic industry over the course of the relevant business cycle, but may not aggregate the causes of declining demand associated with a recession or economic downturn in the United States economy into a single cause of serious injury or threat of injury; and ``(B) examine factors other than imports which may cause or threaten to cause serious injury to the domestic industry. The Commission shall include the results of its examination under subparagraph (B) in the report submitted by the Commission to the President under subsection (e). ``(4) In making determinations under subsection (b), the Commission shall consider whether any change in the volume of imports that has occurred since a petition under subsection (a) was filed or a request under subsection (b) was made is related to the pendency of the investigation, and if so, the Commission may reduce the weight accorded to the data for the period after the petition under subsection (a) was filed or the request under subsection (b) was made in making its determination of serious injury, or the threat thereof.''; and (F) in paragraph (5), as so redesignated-- (i) by striking ``and (B)'' and inserting ``, (B), and (C)''; and (ii) by striking ``be a substantial cause of serious injury, or the threat thereof,'' and inserting ``cause or threaten to cause serious injury''; (4) in subsection (d)-- (A) in paragraph (1)(A)(ii), by striking ``be, or likely to be a substantial cause of serious injury, or the threat thereof,'' and inserting ``cause, or be likely to cause, or threaten to cause, or be likely to threaten to cause, serious injury''; (B) in paragraph (1)(C), in the matter following clause (ii), by striking ``a substantial cause of serious injury, or the threat thereof,'' and inserting ``causing or threatening to cause serious injury''; (C) by amending paragraph (2)(A) to read as follows: ``(2)(A) When a petition filed under subsection (a) or a request filed under subsection (b) alleges that critical circumstances exist and requests that provisional relief be provided under this subsection with respect to imports of the article identified in the petition or request, the Commission shall, not later than 45 days after the petition or request is filed, determine, on the basis of available information, whether-- ``(i) there is clear evidence that increased imports (either actual or relative to domestic production) of the article are causing or threatening to cause serious injury to the domestic industry producing an article like or directly competitive with the imported article; and ``(ii) delay in taking action under this chapter would cause damage to that industry that would be difficult to repair. ``In making the evaluation under clause (ii), the Commission should consider, among other factors that it considers relevant, the timing and volume of the imports, including whether there has been a substantial increase in imports over a short period of time, and any other circumstances indicating that delay in taking action under this chapter would cause damage to the industry that would be difficult to repair.''; and (D) in paragraph (2)(D), by striking ``30'' and inserting ``20''. (c) Presidential Determinations.-- (1) Action by president.--Section 203(a) of the Trade Act of 1974 (19 U.S.C. 2253(a)) is amended-- (A) in paragraph (1)(A), by striking ``and provide greater economic and social benefits than costs'' and inserting ``and will not have an adverse impact on the United States clearly greater than the benefits of such action''; (B) in paragraph (2)(F), by striking ``compensation;'' at the end of clause (iii) and inserting the following: ``compensation, except that the President shall give substantially greater weight to the factors set out in clause (i) than to those set out in clauses (ii) and (iii);''; and (C) by amending paragraph (2)(I) to read as follows: ``(I) the potential for harm to the national security of the United States; and''. (2) Implementation of action recommended by commission.-- (A) Section 203(c) of the Trade Act of 1974 (19 U.S.C. 2253(c)) is amended by striking ``90'' and inserting ``60''. (B) Section 152(c)(1) of the Trade Act of 1974 (19 U.S.C. 2192(c)(1)) is amended by striking ``not counting any day which is excluded under section 154(b),'' and inserting ``counting all calendar days in the case of a resolution described in subsection (a)(1)(A), and not counting any day which is excluded under section 154(b) in the case of a resolution described in subsection (a)(1)(B),''. (d) Conforming Amendments.-- (1) Section 203(e)(6)(B) of the Trade Act of 1974 (19 U.S.C. 2253(e)(6)(B)) is amended by striking ``substantially''. (2) Section 264(c) of the Trade Act of 1974 (19 U.S.C. 2354(c)) is amended by striking ``a substantial cause of serious injury or threat thereof'' and inserting ``causing or threatening to cause serious injury''. (3) Section 154(b) of the Trade Act of 1974 (19 U.S.C. 2194(b)) is amended by striking the matter that precedes paragraph (1) and inserting the following: ``(b) The 60-day period referred to in section 203(c) and the 90- day period referred to in section 407(c)(2) shall be computed by excluding--''. TITLE III--INTERNATIONAL TRADE NEGOTIATIONS SEC. 301. NEGOTIATING OBJECTIVES REGARDING TRADE REMEDY LAWS. Section 2102(b)(14) of the Trade Act of 2002 (19 U.S.C. 3801(b)) is amended by adding at the end the following flush sentence: ``In order to carry out subparagraph (A), the United States Trade Representative should refuse to agree to any proposal, whether in the context of a trade agreement entered into under the auspices of the World Trade Organization, or a free trade agreement with another country or group of countries, that would, either individually or in combination with other proposals, weaken existing United States trade remedy laws contained in title VII of the Tariff Act of 1930 or chapter 1 of title II of the Trade Act of 1974, including any proposal that would make obtaining relief under these provisions more difficult, uncertain, or costly for domestic industries to achieve or maintain over time.''. SEC. 302. CONSULTATIONS AND ASSESSMENTS REGARDING TRADE AGREEMENTS. Section 2104(d)(3)(A) of the Trade Act of 2002 (19 U.S.C. 3804(d)(3)(A)) is amended-- (1) in clause (i), by striking ``and'' after the semicolon; (2) in clause (ii), by striking the period and inserting a semicolon; and (3) by adding after clause (ii) the following: ``(iii) with respect to each specific proposal that could require amendments to title VII of the Tariff Act of 1930 or chapter 1 of title II of the Trade Act of 1974, whether and to what extent the proposal would, either individually or in combination with other proposals, make obtaining relief under these provisions more difficult, uncertain, or costly for domestic industries to achieve or maintain over time; and ``(iv) for each specific proposal that the President reports would not (whether individually or in combination with other proposals) make obtaining relief under title VII of the Tariff Act of 1930 or chapter 1 of title II of the Trade Act of 1974 more difficult, uncertain, or costly for domestic industries to achieve or maintain over time, a detailed explanation providing the basis for this conclusion.''. SEC. 303. EFFECTIVE DATE. The amendments made by this title take effect on the date of the enactment of this Act. TITLE IV--CONGRESSIONAL ADVISORY COMMISSION ON WTO DISPUTE SETTLEMENT SEC. 401. SHORT TITLE. This title may be cited as the ``Congressional Advisory Commission on WTO Dispute Settlement Act''. SEC. 402. CONGRESSIONAL FINDINGS AND PURPOSE. (a) Findings.--The Congress finds the following: (1) The United States joined the World Trade Organization as an original member with the goal of creating an improved global trading system and providing expanded economic opportunities for United States firms and workers. (2) The dispute settlement rules of the WTO were created to enhance the likelihood that governments will observe their WTO obligations. (3) These dispute settlement rules help ensure that the United States can reap the full benefits of its participation in the WTO. (4) Successful operation of the WTO dispute settlement system was critical to congressional approval of the Uruguay Round Agreements and is critical to continued support by the United States for the WTO. In particular, it is imperative that dispute settlement panels and the Appellate Body-- (A) operate with fairness and in an impartial manner; (B) strictly observe the terms of reference and any applicable standard of review set forth in the Uruguay Round Agreements; and (C) not add to the obligations, or diminish the rights, of WTO members under the Uruguay Round Agreements in violation of Articles 3.2 and 19.2 of the Dispute Settlement Understanding. (5) An increasing number of reports by dispute settlement panels and the Appellate Body have raised serious concerns within the Congress about the ability of the WTO dispute settlement system to operate in accordance with paragraph (4). (6) In particular, several reports of dispute settlement panels and the Appellate Body have added to the obligations and diminished the rights of WTO members, particularly under the Agreement on Implementation of Article VI of the General Agreement on Tariffs and Trade 1994, the Agreement on Subsidies and Countervailing Measures, and the Agreement on Safeguards. (7) In order to come into compliance with reports of dispute settlement panels and the Appellate Body that have been adopted by the Dispute Settlement Body, the Congress may need to amend or repeal statutes of the United States. In such cases, the Congress must have a high degree of confidence that the reports are in accordance with paragraph (4). (8) The Congress needs impartial, objective, and juridical advice to determine the appropriate response to reports of dispute settlement panels and the Appellate Body. (9) The United States remains committed to the multilateral, rules-based trading system. (b) Purpose.--It is the purpose of this title to provide for the establishment of the Congressional Advisory Commission on WTO Dispute Settlement to provide objective and impartial advice to the Congress on the operation of the dispute settlement system of the World Trade Organization. SEC. 403. ESTABLISHMENT OF COMMISSION. (a) Establishment.--There is established a commission to be known as the Congressional Advisory Commission on WTO Dispute Settlement (in this title referred to as the ``Commission''). (b) Membership.-- (1) Composition.--The Commission shall be composed of 5 members, all of whom shall be judges or former judges of the Federal judicial circuits and shall be appointed by the Speaker of the House of Representatives and the President pro tempore of the Senate after considering the recommendations of the Chairman and ranking member of the Committee on Finance of the Senate and the Chairman and ranking member of the Committee on Ways and Means of the House of Representatives. Commissioners shall be chosen without regard to political affiliation and solely on the basis of each Commissioner's fitness to perform the duties of a Commissioner. (2) Date.--The appointments of the initial members of the Commission shall be made not later than 90 days after the date of the enactment of this Act. (c) Period of Appointment; Vacancies.-- (1) In general.--Members of the Commission shall each be appointed for a term of 5 years, except that of the members first appointed, 3 members shall be appointed for terms of 3 years. (2) Vacancies.-- (A) In general.--Any vacancy on the Commission shall not affect its powers, but shall be filled in the same manner as the original appointment was made and shall be subject to the same conditions as the original appointment. (B) Unexpired term.--An individual chosen to fill a vacancy shall be appointed for the unexpired term of the member replaced. (d) Initial Meeting.--Not later than 30 days after the date on which all members of the Commission have been appointed, the Commission shall hold its first meeting. (e) Meetings.--The Commission shall meet at the call of the Chairperson. (f) Quorum.--A majority of the members of the Commission shall constitute a quorum, but a lesser number of members may hold hearings. (g) Chairperson and Vice Chairperson.--The Commission shall select a Chairperson and Vice Chairperson from among its members. (h) Funding.--Members of the Commission shall be allowed travel expenses, including per diem in lieu of subsistence at rates authorized for employees of agencies under subchapter I of chapter 57 of title 5, United States Code, while away from their homes or regular places of business in the performance of services for the Commission. SEC. 404. DUTIES OF THE COMMISSION. (a) Advising Congress on the Operation of the WTO Dispute Settlement System.-- (1) In general.--The Commission shall review-- (A) all adverse reports of dispute settlement panels and the Appellate Body which are-- (i) adopted by the Dispute Settlement Body; and (ii) the result of a proceeding initiated against the United States by a WTO member; and (B) upon the request of the Committee on Ways and Means of the House of Representatives or the Committee on Finance of the Senate-- (i) any adverse report of a dispute settlement panel or the Appellate Body-- (I) which is adopted by the Dispute Settlement Body; and (II) in which the United States is a complaining party; or (ii) any other finding which is contained in a report of a dispute settlement panel or the Appellate Body that is adopted by the Dispute Settlement Body. (2) Scope of review.--The Commission shall advise the Congress in connection with each adverse finding or other finding under paragraph (1) (B) only whether-- (A) the dispute settlement panel or the Appellate Body, as the case may be-- (i) exceeded its authority or its terms of reference; (ii) added to the obligations, or diminished the rights, of the United States under the Uruguay Round Agreement which is the subject of the finding; (iii) acted arbitrarily or capriciously, engaged in misconduct, or demonstrably departed from the procedures specified for panels and the Appellate Body in the applicable Uruguay Round Agreement; and (iv) deviated from the applicable standard of review, including in antidumping, countervailing duty, and other unfair trade remedy cases, the standard of review set forth in Article 17.6 of the Agreement on Implementation of Article VI of the General Agreement on Tariffs and Trade 1994; and (B) the finding is consistent with the original understanding by the United States of the Uruguay Round Agreement that is the subject of the finding as explained in the statement of administrative action approved under section 101(a) of the Uruguay Round Agreements Act (19 U.S.C. 3511(a)). (3) No deference.--Applying the standards set forth in paragraph (2) does not require deference to findings of law made by the dispute settlement panel or the Appellate Body, as the case may be. (b) Determination; Report.-- (1) Determination.-- (A) In general.--Not later than 150 days after the date on which the Commission receives notice of a report or request under section 405(b), the Commission shall make a written determination with respect to the matters described in paragraph (2) of subsection (a), including a full analysis of the basis for its determination. A vote by a majority of the members of the Commission shall constitute a determination of the Commission, although the members need not agree on the basis for their vote. (B) Dissenting or concurring opinions.--Any member of the Commission who disagrees with a determination of the Commission or who concurs in such a determination on a basis different from that of the Commission or other members of the Commission, may write an opinion expressing such disagreement or concurrence, as the case may be. (2) Report.--The Commission shall promptly report the determinations described in paragraph (1)(A) to the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate. The Commission shall include with the report any opinions written under paragraph (1)(B) with respect to the determination. (c) Availability to the Public.--Each report of the Commission under subsection (b)(2), together with the opinions included with the report, shall be made available to the public. SEC. 405. POWERS OF THE COMMISSION. (a) Hearings.--The Commission may hold a public hearing to solicit views concerning a report of a dispute settlement panel or the Appellate Body described in section 404(a)(1), if the Commission considers such hearing to be necessary to carry out the purpose of this title. The Commission shall provide reasonable notice of a hearing held pursuant to this subsection. (b) Information From Interested Parties and Federal Agencies.-- (1) Notice to commission.-- (A) Under section 404(a)(1)(A).--The Trade Representative shall advise the Commission not later than 5 business days after the date the Dispute Settlement Body adopts a report of a panel or the Appellate Body that is to be reviewed by the Commission under section 404(a)(1)(A). (B) Under section 404(a)(1)(B).--The Committee on Ways and Means or the Committee on Finance, as the case may be, may make and notify the Commission of a request under section 404(a)(1)(B) not later than 1 year after the Dispute Settlement Body adopts the report that is the subject of the request. (C) Reports adopted prior to appointment of commission.--With respect to any report to which section 404(a)(1)(B) applies and that is adopted before the date on which the first members of the Commission are appointed under section 403(b)(2), the Committee on Ways and Means or the Committee on Finance, as the case may be, may make and notify the Commission of a request under section 404(a)(1)(B) with respect to that report not later than 1 year after the date on which the first members of the Commission are appointed under section 403(b)(2). (2) Submissions and requests for information.-- (A) In general.--The Commission shall promptly publish in the Federal Register notice of the notice received under paragraph (1) from the Trade Representative, the Committee on Ways and Means, or the Committee on Finance, as the case may be, along with notice of an opportunity for interested parties to submit written comments to the Commission. The Commission shall make comments submitted pursuant to the preceding sentence available to the public. (B) Information from federal agencies and departments.--The Commission may also secure directly from any Federal department or agency such information as the Commission considers necessary to carry out the provisions of this title. Upon the request of the chairperson of the Commission, the head of such department or agency shall furnish the information requested to the Commission in a timely manner. (3) Access to panel and appellate body documents.-- (A) In general.--The Trade Representative shall make available to the Commission all submissions and relevant documents relating to a report of a panel or the Appellate Body described in section 404(a)(1), including any information contained in such submissions identified by the provider of the information as proprietary information or information designated as confidential by a foreign government. (B) Public access.--Any document which the Trade Representative submits to the Commission shall be available to the public, except information which is identified as proprietary or confidential or the disclosure of which would otherwise violate the rules of the WTO. (c) Assistance From Federal Agencies; Confidentiality.-- (1) Administrative assistance.--Any agency or department of the United States that is designated by the President shall provide administrative services, funds, facilities, staff, or other support services to the Commission to assist the Commission with the performance of the Commission's functions. (2) Confidentiality.--The Commission shall protect from disclosure any document or information submitted to it by a department or agency of the United States which the agency or department requests be kept confidential. The Commission shall not be considered to be an agency for purposes of section 552 of title 5, United States Code. SEC. 406. REPORT BY UNITED STATES TRADE REPRESENTATIVE. (a) In General.--Not later than 90 days after the third instance in which the Commission, under section 402(a)(2), advises Congress in the affirmative with respect to one or more actions specified in section 402(a)(2)(A), the United States Trade Representative shall submit to the congressional committees specified in subsection (c) a report detailing a course of action for reforming the WTO dispute settlement process so as to ensure that dispute settlement panels and the Appellate Body do not take actions specified in section 402(a)(2)(A). (b) Follow-up Reports.--Once the United States Trade Representative submits to the congressional committees a report under subsection (a), the United States Trade Representative shall thereafter submit to those committees, not less frequently than once every six months, a report detailing the progress made with respect to reforming the WTO dispute settlement process (as described in subsection (a)). (c) Specified Committees.--The committees referred to in subsection (a) are the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate. SEC. 407. DEFINITIONS. In this title: (1) Adverse finding.--The term ``adverse finding'' means-- (A) in a proceeding of a panel or the Appellate Body that is initiated against the United States, a finding by the panel or the Appellate Body that any law or regulation of, or application thereof by, the United States, or any State, is inconsistent with the obligations of the United States under a Uruguay Round Agreement (or nullifies or impairs benefits accruing to a WTO member under such an Agreement); or (B) in a proceeding of a panel or the Appellate Body in which the United States is a complaining party, any finding by the panel or the Appellate Body that a measure of the party complained against is not inconsistent with that party's obligations under a Uruguay Round Agreement (or does not nullify or impair benefits accruing to the United States under such an Agreement). (2) Appellate body.--The term ``Appellate Body'' means the Appellate Body established by the Dispute Settlement Body pursuant to Article 17.1 of the Dispute Settlement Understanding. (3) Dispute settlement body.--The term ``Dispute Settlement Body'' means the Dispute Settlement Body established pursuant to the Dispute Settlement Understanding. (4) Dispute settlement panel; panel.--The terms ``dispute settlement panel'' and ``panel'' mean a panel established pursuant to Article 6 of the Dispute Settlement Understanding. (5) Dispute settlement understanding.--The term ``Dispute Settlement Understanding'' means the Understanding on Rules and Procedures Governing the Settlement of Disputes referred to in section 101(d)(16) of the Uruguay Round Agreements Act (19 U.S.C. 3511(d)(16)). (6) Terms of reference.--The term ``terms of reference'' has the meaning given such term in the Dispute Settlement Understanding. (7) Trade representative.--The term ``Trade Representative'' means the United States Trade Representative. (8) Uruguay round agreement.--The term ``Uruguay Round Agreement'' means any of the Agreements described in section 101(d) of the Uruguay Round Agreements Act. (9) United states person.--The term ``United States person'' means-- (A) a United States citizen or an alien admitted for permanent residence into the United States; and (B) a corporation, partnership, or other legal entity organized under the laws of the United States or of any State, the District of Columbia, or any commonwealth, territory, or possession of the United States. (10) World trade organization; wto.--The terms ``World Trade Organization'' and ``WTO'' mean the organization established pursuant to the WTO Agreement. (11) WTO agreement.--The term ``WTO Agreement'' means the Agreement Establishing the World Trade Organization entered into on April 15, 1994. (12) WTO member.--The term ``WTO member'' has the meaning given that term in section 2(10) of the Uruguay Round Agreements Act (19 U.S.C. 3501(10)). SEC. 408. EFFECTIVE DATE. This title shall take effect on the date of the enactment of this Act. TITLE V--STEEL IMPORT LICENSING AND MONITORING SEC. 501. MAINTENANCE AND EXPANSION OF STEEL IMPORT LICENSING AND MONITORING PROGRAM. (a) Maintenance of Program.--The steel import licensing and monitoring program established by the Secretary of the Treasury and the Secretary of Commerce pursuant to the Memorandum signed by the President on March 5, 2002 (67 Fed. Reg. 10593 through 10597) (pursuant to the authority of the President under section 203(g) of the Trade Act of 1974), shall, notwithstanding any other action taken by the President under section 203 of the Trade Act of 1974 concerning the steel products described in the Memorandum, remain in effect and be established by the Secretary of Commerce as a permanent program. (b) Expansion of Program.-- (1) In general.--In carrying out the program in accordance with subsection (a), the Secretary of the Treasury and the Secretary of Commerce shall expand the program to include all iron and steel, and all articles of iron or steel, described in paragraph (2). The import and licensing data made available to the public as part of this program shall be released based upon classifications at the tenth digit level of the Harmonized Tariff Schedule of the United States. (2) Iron and steel described.--The iron and steel, and articles of iron or steel, referred to in subparagraph (A) are the iron and steel, and articles of iron or steel, contained in the following headings and subheadings of the Harmonized Tariff Schedule of the United States: (A) Each of the headings 7206 through 7229 (relating to mill products). (B) Each of the headings 7301 through 7307 (relating to rails, structurals, pipe and tubes, and fittings and flanges). (C) Heading 7308 (relating to fabricated structurals). (D) Subheading 7310.10.00 (relating to barrels and drums). (E) Heading 7312 (relating to strand and rope). (F) Heading 7313.00.00 (relating to barbed and fence wire). (G) Headings 7314, 7315, and 7317.00 (relating to fabricated wire). (H) Heading 7318 (relating to industrial fasteners). (I) Heading 7326 (relating to fence posts). (c) Additional Authority.--The Secretary of the Treasury and the Secretary of Commerce are hereby authorized and directed to take such actions as are necessary-- (1) to maintain the program described in subsection (a) in accordance with such subsection; and (2) to expand, as necessary and appropriate, such program in accordance with subsection (b). TITLE VI--MISCELLANEOUS PROVISIONS SEC. 601. CONSTRUCTION. The amendments made by this Act shall not be construed to create any inference with respect to the interpretation of the provisions of law amended by this Act as such provisions were in effect before the enactment of this Act. SEC. 602. APPLICATION TO GOODS FROM CANADA AND MEXICO. Pursuant to section 1902 of the North American Free Trade Agreement and section 408 of the North American Free Trade Agreement Implementation Act, the amendments made by this Act shall apply to goods from Canada and Mexico. SEC. 603. PARTICIPATION IN WTO PANEL PROCEEDINGS. (a) In General.--If the United States Trade Representative, in proceedings before a dispute settlement panel or the Appellate Body of the WTO, seeks-- (1) to enforce United States rights under a multilateral trade agreement, or (2) to defend a challenged action or determination of the United States Government, a private United States person that is supportive of the United States Government's position before the panel or Appellate Body and that has a direct economic interest in the panel's or Appellate Body's resolution of the matters in dispute shall be permitted to participate in consultations and panel proceedings. The Trade Representative shall issue regulations, consistent with subsections (b) and (c), ensuring full and effective participation by any such private person. (b) Access to Information.--The United States Trade Representative shall make available to persons described in subsection (a) all information presented to or otherwise obtained by the Trade Representative in connection with a WTO dispute settlement proceeding. The United States Trade Representative shall promulgate regulations implementing a protective order system to protect information designated by the submitting member as confidential. (c) Participation in Panel Process.--Upon request from a person described in subsection (a), the United States Trade Representative shall-- (1) consult in advance with such person regarding the content of written submissions from the United States to the WTO panel concerned or to the other member countries involved; (2) include, if appropriate, such person or its appropriate representative as an advisory member of the delegation in sessions of the dispute settlement panel; (3) allow such special delegation member, if such member would bring special knowledge to the proceeding, to appear before the panel, directly or through counsel, under the supervision of responsible United States Government officials; and (4) in proceedings involving confidential information, allow the appearance of such person only through counsel as a member of the special delegation. (d) Definitions.--In this section: (1) Appellate body.--The term ``Appellate Body'' means the Appellate Body established under Article 17.1 of the Dispute Settlement Understanding. (2) Dispute settlement panel; panel.--The terms ``dispute settlement panel'' and ``panel'' mean a panel established pursuant to Article 6 of the Dispute Settlement Understanding. (3) Dispute settlement understanding.--The term ``Dispute Settlement Understanding'' means the Understanding on Rules and Procedures Governing the Settlement of Disputes referred to in section 101(d)(16) of the Uruguay Round Agreements Act. (4) United states person.--The term ``United States person'' means-- (A) a United States citizen or an alien admitted for permanent residence into the United States; and (B) a corporation, partnership, or other legal entity organized under the laws of the United States or of any State, the District of Columbia, or any commonwealth, territory, or possession of the United States. (5) WTO.--The term ``WTO'' means the organization established pursuant to the WTO Agreement. (6) WTO agreement.--The term ``WTO Agreement'' means the Agreement Establishing the World Trade Organization entered into on April 15, 1994. <all>