Text: H.R.2770 — 107th Congress (2001-2002)All Information (Except Text)

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Introduced in House (08/02/2001)

 
[Congressional Bills 107th Congress]
[From the U.S. Government Printing Office]
[H.R. 2770 Introduced in House (IH)]







107th CONGRESS
  1st Session
                                H. R. 2770

  To amend United States trade laws to provide more fairness to U.S. 
                               industry.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             August 2, 2001

    Mr. Kolbe (for himself, Mr. Moran of Virginia, and Mr. Ramstad) 
 introduced the following bill; which was referred to the Committee on 
                             Ways and Means

_______________________________________________________________________

                                 A BILL


 
  To amend United States trade laws to provide more fairness to U.S. 
                               industry.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Transparency and Fairness Trade Act 
of 2001''.

       TITLE I--AMENDMENTS TO TITLE VII OF THE TARIFF ACT OF 1930

SEC. 101. FULL PARTICIPATION OF INDUSTRIAL USERS.

    (a) Chapter 1 of subtitle C of title VII of the Tariff Act of 1930, 
section 771(9), is amended by inserting after subparagraph (G) the 
following:
                    ``(H) industrial users of the subject merchandise 
                or domestic like product or an association a majority 
                of whose members are industrial users of the subject 
                merchandise or domestic like product.''
    (b) Section 771 of the Tariff Act of 1930, as amended (19 U.S.C. 
Sec. 1677), is amended by adding the following new paragraph:
            ``(38) Industrial Users.--The term `industrial users' 
        includes companies that consume the subject merchandise or 
        domestic like product in a trade or business, or purchase and 
        sell the subject merchandise or the domestic like product at 
        wholesale or retail.''

SEC. 102. TEMPORARY EXCEPTION TO ANTIDUMPING OR COUNTERVAILING DUTY 
              ORDER OR FINDING.

    (a) In General.--Chapter 1 of subtitle C of title VII of the Tariff 
Act of 1930 (19 U.S.C. 1675) is amended by adding at the end the 
following new section:

``SEC. 753. TEMPORARY EXCEPTION TO ANTIDUMPING OR COUNTERVAILING DUTY 
              ORDER OR FINDING.

    ``(a) In General.--
            ``(1) Application.--If an application for relief is filed 
        under this section and the administering authority determines 
        that a lack of domestic availability exists with respect to a 
        particular product which is within the class or kind of 
        merchandise that is the subject of an investigation, an order 
        under this title or section 303, a finding under the 
        Antidumping Act, 1921, or a suspension agreement, the 
        administering authority shall not apply the order or finding 
        with respect to such particular product for a specified 
        quantity or for a period of not longer than one year.
            ``(2) Lack of domestic availability.--A `lack of domestic 
        availability' exists whenever--
                    ``(A) if the investigation, order, finding or 
                suspension agreement resulted from a petition, a 
                significant majority of the persons who filed the 
                petition on which the investigation, order, finding or 
                suspension agreement is based, support approval of the 
                relief requested, unless one or more of the companies 
                filing an objection agree to supply the particular 
                product in the amount requested within the time needed; 
                or
                    ``(B) there is no current domestic production of 
                the product, unless the administering authority 
                determines that this lack of current domestic 
                production of the particular product was caused by 
                unfairly traded subject merchandise; or
                    ``(C) the domestic industry is not currently able 
                to provide the product in sufficient and reasonably 
                available commercial quantities of a satisfactory 
                quality,
        unless the administering authority, after consultation with the 
        Commission pursuant to subsection (b)(4), determines that 
        applying an allowance with respect to the particular subject 
product will significantly depress prices in the industry.
            ``(3) Factors.--Where a significant majority of the persons 
        who filed the petition on which the investigation, order, 
        finding or suspension agreement is based support approval of 
        the proposed relief, the administering authority shall grant 
        the relief requested, unless one or more of the companies 
        filing an objection agree to supply the particular product in 
        the amount requested and within the time specified. Where a 
        significant majority of the persons who filed the petition on 
        which the investigation, order, finding or suspension agreement 
        is based have not supported approval of the requested relief, 
        the administering authority may nevertheless approve the relief 
        if the administering authority determines that there is lack of 
        domestic availability in the United States with respect to a 
        product. In reaching this determination, the administering 
        authority shall consider all relevant factors, including--
                    ``(A) whether there is current domestic production 
                of the particular product with respect to which the 
                temporary duty exception application has been filed;
                    ``(B) to the extent information is available, the 
                recent levels of capacity utilization of domestic 
                facilities producing the particular product;
                    ``(C) the quantity of the particular product 
                requested in the request for relief and the ability of 
                domestic producers to supply the product in such 
                quantity;
                    ``(D) the reasonableness of the specifications and 
                quantity requested by the purchaser or end-user of the 
                product; and
                    ``(E) the time required to deliver the particular 
                product to the purchaser or end-user and the time in 
                which the purchaser or end user requires the particular 
                product.
        The administering authority shall take into account any advice 
        provided by the Commission under subsection (b)(4) of this 
        section before making a determination under this subparagraph.
    ``(b) Procedure.--
            ``(1) Application requirements.--A proceeding under this 
        section shall be initiated whenever a potentially affected 
        party files an application with the administering authority 
        which alleges the elements necessary for the temporary 
        exception from provisions of an antidumping or countervailing 
        duty order, finding or suspension agreement provided by this 
        section and which is accompanied by information reasonably 
        available to the applicant supporting those allegations. These 
        elements shall include the following:
                    ``(A) the quantity of the product or the time-
                period requested in the application for relief under 
                this section;
                    ``(B) a detailed description of the product that 
                defines the requested scope of the application, 
                including technical characteristics and uses of the 
                merchandise, and its current U.S. tariff classification 
                number;
                    ``(C) if applicable, written consents from a 
                significant majority of petitioners to the action on 
                which the order or finding or suspension agreement is 
                based; and
                    ``(D) if written consents, as described in 
                subsection (C) are not provided, then applicants must 
                provide the following--
                            (i) a description of all technical 
                        specifications, as well as an indication of how 
                        long such specifications have been in effect;
                            (ii) description and documentation of all 
                        reasonable efforts that applicants have made to 
                        purchase the product from domestic sources; and
                        4    (iii) to the extent information is 
                        available, the recent levels of capacity 
                        utilization of domestic facilities producing 
                        the product.
            ``(2) Views of petitioners.--The administering authority 
        may not order the temporary exception from provisions of an 
        antidumping or countervailing duty investigation, order, 
        finding or suspension agreement under paragraph (1) unless the 
        administering authority has first contacted each available 
        petitioner in the action on which the investigation, order, 
        finding or suspension agreement is based. Where petitioners do 
        not consent, petitioners must state the reasons for their 
        objection in writing or the administering authority shall not 
        consider their objection under this section.
            ``(3) Opportunity to comment.--The administering authority 
        shall provide an opportunity for potentially affected parties 
        to comment on the application for temporary exception before 
        making a determination on the request, including the basis for 
        any objection filed by the petitioners.
            ``(4) Commission advice.--Where the administering authority 
        preliminarily determines that relief may be appropriate under 
        subsection (a)(2)(C) of this section, the administering 
        authority shall notify the Commission of the proposed temporary 
        relief. After receiving such notice, Commission may request 
        consultations with the administering authority regarding the 
        temporary exception. Upon the request of the Commission, the 
        administering authority shall consult with the Commission and 
        any such consultation shall be completed within 15 days after 
        the date of the request. If, after consultation, the Commission 
        believes that a significant injury issue is presented by the 
        proposed temporary exception to the application of the order or 
        finding, the Commission may provide written advice to the 
        administering authority as to whether the proposed exception 
        will significantly depress prices in the industry. If the 
        Commission decides to provide such written advice, it shall 
        promptly notify the administering authority of its intention to 
        do so and must provide such advice within 30 days after the 
        date of notification under this paragraph.
            ``(5) Extension of allowance.--An allowance granted 
        pursuant to this section may be extended for additional 
        quantities or for additional periods of not more than one year 
        each, based on a request for extension filed by a potentially 
        affected party. The administering authority shall provide an 
        opportunity for potentially affected parties to comment on any 
        request for extension.
            ``(6) Reinstatement of duties.--An allowance granted under 
        this section may be revoked at any time, after opportunity for 
        potentially affected parties to comment on the revocation, if 
        the administering authority determines that there is 
        insufficient basis for continuing the exception.
    ``(c) Determination.--
            ``(1) In general.--In any case in which the administering 
        authority finds that a petition pursuant to this section 
        contains adequate information, the administering authority 
        shall determine, not later than the day specified in paragraph 
        (2)--
                    ``(A) if there is a lack of domestic availability 
                in the United States with respect to the product; and
                    ``(B) if the determination under subparagraph (A) 
                is affirmative, the quantity of the product, if any, 
                that may be imported into the United States without 
                regard to the antidumping or countervailing duty order 
                that would otherwise apply, or the relevant time-period 
                during which application of the order or finding may be 
                interrupted.
            ``(2) Time limit for making temporary duty suspension 
        determination.--The administering authority shall make a 
        determination described in paragraph (1) not later than--
                    ``(A) the 30th day after the date the petition is 
                filed if--
                            ``(i) a significant majority of the 
                        petitioners to the action on which the 
                        investigation, order, finding or suspension 
                        agreement is based consent to the action; or
                            ``(ii) the administering authority has 
                        previously authorized relief and there has been 
                        no evidence that the basis on which relief was 
                        provided has changed; or
                    ``(B) the 75th day after the date the petition is 
                filed if the Commission decides to provide written 
                advice pursuant to subsection (b)(4); or
                    ``(C) the 60th day after the date the petition is 
                filed if subparagraphs (A) & (B) do not apply, except 
                that where two or more temporary duty exception 
                application have been filed by different parties on the 
                same product, the deadline for issuing a temporary duty 
                exception determination will be the latest deadline for 
                all of the petitions, to allow the administering 
                authority to consolidate the actions.
            ``(3) Allowance upon failure of a domestic producer to 
        supply.--If the administering authority determines that there 
        is no lack of domestic availability because a producer in the 
        United States certifies that it is willing and able to supply 
        the product in the quantity requested at the specifications, 
        and delivery date requested, and the producer fails to supply 
        the product as promised, the administering authority shall, 
        within 3 days of being notified of the failure, grant an 
        allowance for the quantity the domestic producer failed to 
        supply.
    ``(d) Notice.--The administering authority shall publish in the 
Federal Register notice of each determination made under this section 
and the reasons therefor.
    ``(e) Definitions and Special Rules.--For purposes of this 
section--
            ``(1) Potentially affected party.--The term `potentially 
        affected party' means--
                    ``(A) any person who filed a petition pursuant to 
                which the order or finding was issued;
                    ``(B) a producer or consumer of the product in the 
                United States; and
                    ``(C) a United States importer of the product or a 
                distributor of the product in the United States.
            ``(2) Product.--The term `product' means the product for 
        which an allowance is requested under this section, or material 
        which possesses the same physical characteristics and 
        performance standards and which can be used for the same 
        application without imposing any significant alteration costs 
        for the consumer.
            ``(3) Significant majority.--The term `significant 
        majority' means that of the petitioners to the original action 
        on which the investigation, order, finding or suspension 
        agreement was based, those supporting the application account 
        for more than 75% of production of the domestic like product by 
        those petitioners who have expressed an opinion on the proposed 
        action. In determining petitioners' support, the administering 
        authority shall disregard the position of petitioners who 
        oppose the application where they have failed to provide 
        reasons for their opposition.
            ``(4) Reasonable specifications.--The term `reasonable 
        specifications' means specifications that are developed in the 
        ordinary course of business. The administering authority shall 
        apply a rebuttable presumption that specifications are 
        reasonable whenever such specifications have been in use--
                    ``(A) prior to the filing of an antidumping or 
                countervailing duty petition; or
                    ``(B) more than two years prior to the request for 
                relief,
            ``(5) No current domestic production.--The term `no current 
        domestic production' means--
                    ``(A) that no U.S. producers have produced a 
                product meeting the reasonable specifications within 
                the last six months, or
                    ``(B) no U.S. producers have either qualified to 
                supply products meeting such specifications (if such 
                qualification is normally required) or signed contracts 
                that would require the delivery of such products within 
                the next six months.
            ``(6) Caused by unfairly traded subject merchandise.--The 
        administering authority will presume that unfairly traded 
        subject merchandise has not caused the lack of current domestic 
        production where--
                    ``(A) the domestic industry has never produced the 
                product;
                    ``(B) the domestic industry ceased to produce the 
                product more than six months after the product became 
                liable for antidumping or countervailing duties 
                pursuant to 19 U.S.C. Sec. Sec. 1671b(d) or 1673b(d); 
                or
                    ``(C) the product has been subject to antidumping 
                or countervailing duty orders for one or more years and 
                the domestic industry has not produced the product 
                during the duration of these orders.
            ``(7) Allowance.--The term `allowance' means an 
        authorization by the administering authority to permit 
        importation into the United States, including a foreign trade 
        zone, of a quantity of product free of duties imposed pursuant 
        to an antidumping or countervailing duty order issued under 
        this title.''
    (b) Section 516A of the Tariff Act of 1930, as amended, is amended 
as follows:
            (1) Section 516A(a)(2)(A)(i)(I) is amended to read as 
        follows:
                                    ``notice of any determination 
                                described in clause (ii), (iii), (iv), 
                                (v), (viii) or (ix) of subparagraph 
                                (B),''
            (2) Section 516A(a)(2)(B) is amended by adding the 
        following new provision:
                            ``(ix) a determination under section 753 of 
                        this Act.''
    (c) Effective Date.--This Act shall become effective within __ days 
following the date of its enactment.
    (d) Clerical Amendment.--The table of contents for title VII of the 
Tariff Act of 1930 is amended by inserting after the item relating to 
section 751 the following new item:

``Sec. 753. Temporary exception to antidumping or countervailing duty 
                            order or finding.''

                     TITLE II--SAFEGUARD AMENDMENTS

SEC. 201. FULL PARTICIPATION OF INDUSTRIAL USERS.

    (a) Section 202(i) of the Trade Act of 1974 (19 U.S.C. 
Sec. 2252(i)) shall be amended to read as follows:
    ``(i) Limited Disclosure of Confidential Business Information Under 
Protective Order.--The Commission shall provide access to confidential 
business information under protective order to authorized 
representatives of interested parties who are parties to an 
investigation under this section. The term `interested party' means:
            ``(1) A foreign manufacturer, producer, or exporter, or the 
        United States importer, of an article which is the subject of 
        an investigation under this section or a trade or business 
        association a majority of the members of which are producers, 
        exporters, or importers of such article;
            ``(2) The government of a country in which such article is 
        produced or manufactured;
            ``(3) A manufacturer, producer, or wholesaler in the United 
        States of a like or directly competitive article;
            ``(4) A certified union or recognized union or group of 
        workers which is engaged in the manufacture, production, or 
        wholesale of a like or directly competitive article in the 
        United States;
            ``(5) A trade or business association a majority of whose 
        members manufacture, produce, or wholesale a like or directly 
        competitive article in the United States;
            ``(6) An association, a majority of whose members is 
        composed of interested parties described in subparagraphs (3), 
        (4), or (5) of this section with respect to a like or directly 
        competitive article; and
            ``(7) Industrial users of an article which is the subject 
        of an investigation under this section or a like or directly 
        competitive article in the United States; or an association a 
        majority of whose members are industrial users of such article. 
        The term `industrial users' includes companies that consume the 
        subject merchandise or a like or directly competitive article 
        in the Untied States in a trade or business, or purchase and 
        sell the subject merchandise or a like or directly competitive 
        article in the United States at wholesale or retail.''
                                 <all>