US (United States) Code. Title 19. Chapter 20: Andean trade preference

Codificación normativa de EEUU (Estados Unidos) Legislación Federal estadounidense # Customs duties

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19 USC CHAPTER 20 - ANDEAN TRADE PREFERENCE 01/06/03

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TITLE 19 - CUSTOMS DUTIES

CHAPTER 20 - ANDEAN TRADE PREFERENCE

.

-HEAD-

CHAPTER 20 - ANDEAN TRADE PREFERENCE

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Sec.

3201. Authority to grant duty-free treatment.

3202. Beneficiary country.

(a) Definitions.

(b) Countries eligible for designation; congressional

notification.

(c) Limitations on designation.

(d) Factors affecting designation.

(e) Withdrawal or suspension of designation.

(f) Reporting requirements.

3203. Eligible articles.

(a) In general.

(b) Exceptions and special rules.

(c) Suspension of duty-free treatment.

(d) Emergency relief with respect to perishable

products.

(e) Fees under section 624 of title 7.

(f) Tariff-rate quotas.

3204. International Trade Commission reports on impact of this

chapter.

(a) Reporting requirements.

(b) Report requirements.

(c) Submission dates; public comment.

3205. Impact study by Secretary of Labor.

3206. Termination of preferential treatment.

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CHAPTER REFERRED TO IN OTHER SECTIONS

This chapter is referred to in section 2272 of this title; title

6 section 212.

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19 USC Sec. 3201 01/06/03

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TITLE 19 - CUSTOMS DUTIES

CHAPTER 20 - ANDEAN TRADE PREFERENCE

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Sec. 3201. Authority to grant duty-free treatment

-STATUTE-

The President may proclaim duty-free treatment (or other

preferential treatment) for all eligible articles from any

beneficiary country in accordance with the provisions of this

chapter.

-SOURCE-

(Pub. L. 102-182, title II, Sec. 202, Dec. 4, 1991, 105 Stat. 1236;

Pub. L. 107-210, div. C, title XXXI, Sec. 3103(c)(1), Aug. 6,

2002, 116 Stat. 1033.)

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AMENDMENTS

2002 - Pub. L. 107-210 inserted ''(or other preferential

treatment)'' after ''treatment''.

TERMINATION OF PREFERENTIAL TREATMENT

Preferential treatment under this chapter to expire after Dec.

31, 2006, see section 3206 of this title.

SHORT TITLE OF 2002 AMENDMENT

Pub. L. 107-210, div. C, title XXXI, Sec. 3101, Aug. 6, 2002,

116 Stat. 1023, provided that: ''This title (amending sections

2703, 3201 to 3203, 3206, and 3721 of this title and enacting

provisions set out as notes under this section and sections 2703,

3202, 3206, and 3721 of this title) may be cited as the 'Andean

Trade Promotion and Drug Eradication Act'.''

SHORT TITLE

Section 201 of title II of Pub. L. 102-182 provided that: ''This

title (enacting this chapter) may be cited as the 'Andean Trade

Preference Act'.''

FINDINGS

Pub. L. 107-210, div. C, title XXXI, Sec. 3102, Aug. 6, 2002,

116 Stat. 1023, provided that: ''Congress makes the following

findings:

''(1) Since the Andean Trade Preference Act (19 U.S.C. 3201 et

seq.) was enacted in 1991, it has had a positive impact on United

States trade with Bolivia, Colombia, Ecuador, and Peru. Two-way

trade has doubled, with the United States serving as the leading

source of imports and leading export market for each of the

Andean beneficiary countries. This has resulted in increased

jobs and expanded export opportunities in both the United States

and the Andean region.

''(2) The Andean Trade Preference Act has been a key element in

the United States counternarcotics strategy in the Andean region,

promoting export diversification and broad-based economic

development that provides sustainable economic alternatives to

drug-crop production, strengthening the legitimate economies of

Andean countries and creating viable alternatives to illicit

trade in coca.

''(3) Notwithstanding the success of the Andean Trade

Preference Act, the Andean region remains threatened by political

and economic instability and fragility, vulnerable to the

consequences of the drug war and fierce global competition for

its legitimate trade.

''(4) The continuing instability in the Andean region poses a

threat to the security interests of the United States and the

world. This problem has been partially addressed through foreign

aid, such as Plan Colombia, enacted by Congress in 2000. However,

foreign aid alone is not sufficient. Enhancement of legitimate

trade with the United States provides an alternative means for

reviving and stabilizing the economies in the Andean region.

''(5) The Andean Trade Preference Act constitutes a tangible

commitment by the United States to the promotion of prosperity,

stability, and democracy in the beneficiary countries.

''(6) Renewal and enhancement of the Andean Trade Preference

Act will bolster the confidence of domestic private enterprise

and foreign investors in the economic prospects of the region,

ensuring that legitimate private enterprise can be the engine of

economic development and political stability in the region.

''(7) Each of the Andean beneficiary countries is committed to

conclude negotiation of a Free Trade Area of the Americas by the

year 2005, as a means of enhancing the economic security of the

region.

''(8) Temporarily enhancing trade benefits for Andean

beneficiary countries will promote the growth of free enterprise

and economic opportunity in these countries and serve the

security interests of the United States, the region, and the

world.''

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SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 3203 of this title.

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19 USC Sec. 3202 01/06/03

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TITLE 19 - CUSTOMS DUTIES

CHAPTER 20 - ANDEAN TRADE PREFERENCE

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Sec. 3202. Beneficiary country

-STATUTE-

(a) Definitions

For purposes of this chapter -

(1) The term ''beneficiary country'' means any country listed

in subsection (b)(1) of this section with respect to which there

is in effect a proclamation by the President designating such

country as a beneficiary country for purposes of this chapter.

(2) The term ''entered'' means entered, or withdrawn from

warehouse for consumption, in the customs territory of the United

States.

(3) The term ''HTS'' means Harmonized Tariff Schedule of the

United States.

(b) Countries eligible for designation; congressional notification

(1) In designating countries as beneficiary countries under this

chapter, the President shall consider only the following countries

or successor political entities:

Bolivia

Ecuador

Colombia

Peru.

(2) Before the President designates any country as a beneficiary

country for purposes of this chapter, he shall notify the House of

Representatives and the Senate of his intention to make such

designation, together with the considerations entering into such

decision.

(c) Limitations on designation

The President shall not designate any country a beneficiary

country under this chapter -

(1) if such country is a Communist country;

(2) if such country -

(A) has nationalized, expropriated or otherwise seized

ownership or control of property owned by a United States

citizen or by a corporation, partnership, or association which

is 50 percent or more beneficially owned by United States

citizens,

(B) has taken steps to repudiate or nullify -

(i) any existing contract or agreement with, or

(ii) any patent, trademark, or other intellectual property

of,

a United States citizen or a corporation, partnership, or

association, which is 50 percent or more beneficially owned by

United States citizens, the effect of which is to nationalize,

expropriate, or otherwise seize ownership or control of

property so owned, or

(C) has imposed or enforced taxes or other exactions,

restrictive maintenance or operational conditions, or other

measures with respect to property so owned, the effect of which

is to nationalize, expropriate, or otherwise seize ownership or

control of such property, unless the President determines that

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(i) prompt, adequate, and effective compensation has been

or is being made to such citizen, corporation, partnership,

or association,

(ii) good-faith negotiations to provide prompt, adequate,

and effective compensation under the applicable provisions of

international law are in progress, or such country is

otherwise taking steps to discharge its obligations under

international law with respect to such citizen, corporation,

partnership, or association, or

(iii) a dispute involving such citizen, corporation,

partnership, or association, over compensation for such a

seizure has been submitted to arbitration under the

provisions of the Convention for the Settlement of Investment

Disputes, or in another mutually agreed upon forum, and

promptly furnishes a copy of such determination to the Senate

and House of Representatives;

(3) if such country fails to act in good faith in recognizing

as binding or in enforcing arbitral awards in favor of United

States citizens or a corporation, partnership, or association

which is 50 percent or more beneficially owned by United States

citizens, which have been made by arbitrators appointed for each

case or by permanent arbitral bodies to which the parties

involved have submitted their dispute;

(4) if such country affords preferential treatment to the

products of a developed country, other than the United States,

and if such preferential treatment has, or is likely to have, a

significant adverse effect on United States commerce, unless the

President -

(A) has received assurances satisfactory to him that such

preferential treatment will be eliminated or that action will

be taken to assure that there will be no such significant

adverse effect, and

(B) reports those assurances to the Congress;

(5) if a government-owned entity in such country engages in the

broadcast of copyrighted material, including films or television

material, belonging to United States copyright owners without

their express consent or such country fails to work towards the

provision of adequate and effective protection of intellectual

property rights;

(6) unless such country is a signatory to a treaty, convention,

protocol, or other agreement regarding the extradition of United

States citizens; and

(7) if such country has not or is not taking steps to afford

internationally recognized worker rights (as defined in section

2467(4) of this title) to workers in the country (including any

designated zone in that country).

Paragraphs (1), (2), (3), (5), and (7) shall not prevent the

designation of any country as a beneficiary country under this

chapter if the President determines that such designation will be

in the national economic or security interest of the United States

and reports such determination to the Congress with his reasons

therefor.

(d) Factors affecting designation

In determining whether to designate any country a beneficiary

country under this chapter, the President shall take into account -

(1) an expression by such country of its desire to be so

designated;

(2) the economic conditions in such country, the living

standards of its inhabitants, and any other economic factors

which he deems appropriate;

(3) the extent to which such country has assured the United

States it will provide equitable and reasonable access to the

markets and basic commodity resources of such country;

(4) the degree to which such country follows the accepted rules

of international trade provided for under the WTO Agreement and

the multilateral trade agreements (as such terms are defined in

paragraphs (9) and (4), respectively, of section 3501 of this

title);

(5) the degree to which such country uses export subsidies or

imposes export performance requirements or local content

requirements which distort international trade;

(6) the degree to which the trade policies of such country as

they relate to other beneficiary countries are contributing to

the revitalization of the region;

(7) the degree to which such country is undertaking self-help

measures to protect its own economic development;

(8) whether or not such country has taken or is taking steps to

afford to workers in that country (including any designated zone

in that country) internationally recognized worker rights;

(9) the extent to which such country provides under its law

adequate and effective means for foreign nationals to secure,

exercise, and enforce exclusive rights in intellectual property,

including patent, trademark, and copyright rights;

(10) the extent to which such country prohibits its nationals

from engaging in the broadcast of copyrighted material, including

films or television material, belonging to United States

copyright owners without their express consent;

(11) whether such country has met the narcotics cooperation

certification criteria set forth in section 2291(h)(2)(A)

(FOOTNOTE 1) of title 22 for eligibility for United States

assistance; and

(FOOTNOTE 1) See References in Text note below.

(12) the extent to which such country is prepared to cooperate

with the United States in the administration of the provisions of

this chapter.

(e) Withdrawal or suspension of designation

(1)(A) The President may -

(i) withdraw or suspend the designation of any country as a

beneficiary country, or

(ii) withdraw, suspend, or limit the application of duty-free

treatment under this chapter to any article of any country,

if, after such designation, the President determines that as a

result of changed circumstances such a country should be barred

from designation as a beneficiary country.

(B) The President may, after the requirements of paragraph (2)

have been met -

(i) withdraw or suspend the designation of any country as an

ATPDEA beneficiary country, or

(ii) withdraw, suspend, or limit the application of

preferential treatment under section 3203(b)(1), (3), or (4) of

this title to any article of any country,

if, after such designation, the President determines that, as a

result of changed circumstances, the performance of such country is

not satisfactory under the criteria set forth in section

3203(b)(6)(B) of this title.

(2)(A) The President shall publish in the Federal Register notice

of the action the President proposes to take under paragraph (1) at

least 30 days before taking such action.

(B) The United States Trade Representative shall, within the

30-day period beginning on the date on which the President

publishes under subparagraph (A) notice of proposed action -

(i) accept written comments from the public regarding such

proposed action,

(ii) hold a public hearing on such proposed action, and

(iii) publish in the Federal Register -

(I) notice of the time and place of such hearing prior to the

hearing, and

(II) the time and place at which such written comments will

be accepted.

(f) Reporting requirements

(1) In general

Not later than April 30, 2003, and every 2 years thereafter

during the period this chapter is in effect, the United States

Trade Representative shall submit to the Congress a report

regarding the operation of this chapter, including -

(A) with respect to subsections (c) and (d) of this section,

the results of a general review of beneficiary countries based

on the considerations described in such subsections; and

(B) the performance of each beneficiary country or ATPEA

beneficiary country, as the case may be, under the criteria set

forth in section 3203(b)(6)(B) of this title.

(2) Public comment

Before submitting the report described in paragraph (1), the

United States Trade Representative shall publish a notice in the

Federal Register requesting public comments on whether

beneficiary countries are meeting the criteria listed in section

3203(b)(6)(B) of this title.

-SOURCE-

(Pub. L. 102-182, title II, Sec. 203, Dec. 4, 1991, 105 Stat. 1236;

Pub. L. 103-465, title VI, Sec. 621(a)(3), Dec. 8, 1994, 108 Stat.

4992; Pub. L. 104-188, title I, Sec. 1954(a)(2), Aug. 20, 1996, 110

Stat. 1927; Pub. L. 106-200, title II, Sec. 211(c)(2), May 18,

2000, 114 Stat. 287; Pub. L. 107-210, div. C, title XXXI, Sec.

3103(b), (e), Aug. 6, 2002, 116 Stat. 1033.)

-REFTEXT-

REFERENCES IN TEXT

The Harmonized Tariff Schedule of the United States, referred to

in subsec. (a)(3), is not set out in the Code. See Publication of

Harmonized Tariff Schedule note set out under section 1202 of this

title.

Subsec. (h) of section 2291 of title 22, referred to in subsec.

(d)(11), was repealed by Pub. L. 102-583, Sec. 6(b)(2), Nov. 2,

1992, 106 Stat. 4932. For successor provisions to former subsec.

(h), see sections 2291j and 2291k of Title 22, Foreign Relations

and Intercourse.

This chapter, referred to in subsec. (d)(12), was in the original

''this Act'' and was translated as reading ''this title'', meaning

title II of Pub. L. 102-182 which enacted this chapter, to reflect

the probable intent of Congress.

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AMENDMENTS

2002 - Subsec. (e)(1). Pub. L. 107-210, Sec. 3103(b), designated

existing provisions as subpar. (A), redesignated former subpars.

(A) and (B) as cls. (i) and (ii), respectively, of subpar. (A), and

added subpar. (B).

Subsec. (f). Pub. L. 107-210, Sec. 3103(e), substituted

''Reporting requirements'' for ''Report'' in heading and amended

text generally. Prior to amendment, text read as follows: ''Not

later than January 31, 2001, the President shall submit to the

Congress a complete report regarding the operation of this chapter,

including the results of a general review of beneficiary countries

based on the considerations described in subsections (c) and (d) of

this section. In reporting on the considerations described in

subsection (d)(11) of this section, the President shall report any

evidence that the crop eradication and crop substitution efforts of

the beneficiary are directly related to the effects of this

chapter.''

2000 - Subsec. (f). Pub. L. 106-200 substituted ''Report'' for

''Triennial report'' in heading and ''Not later than January 31,

2001'' for ''On or before the 3rd, 6th, and 9th anniversaries of

December 4, 1991'' in text.

1996 - Subsec. (c)(7). Pub. L. 104-188 substituted ''2467(4) of

this title'' for ''2462(a)(4) of this title''.

1994 - Subsec. (d)(4). Pub. L. 103-465 substituted ''WTO

Agreement and the multilateral trade agreements (as such terms are

defined in paragraphs (9) and (4), respectively, of section 3501 of

this title)'' for ''General Agreement on Tariffs and Trade, as well

as applicable trade agreements approved under section 2503(a) of

this title''.

EFFECTIVE DATE OF 1996 AMENDMENT

Amendment by Pub. L. 104-188 applicable to articles entered on or

after Oct. 1, 1996, with provisions relating to retroactive

application, see section 1953 of Pub. L. 104-188, set out as an

Effective Date note under section 2461 of this title.

EFFECTIVE DATE OF 1994 AMENDMENT

Amendment by Pub. L. 103-465 effective on the date on which the

WTO Agreement enters into force with respect to the United States

(Jan. 1, 1995), see section 621(b) of Pub. L. 103-465, set out as a

note under section 1677k of this title.

-TRANS-

DELEGATION OF AUTHORITY

For delegation of functions of President under div. C of Pub. L.

107-210, amending this section, see section 2 of Ex. Ord. No.

13277, Nov. 19, 2002, 67 F.R. 70305, set out as a note under

section 3801 of this title.

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PETITIONS FOR REVIEW

Pub. L. 107-210, div. C, title XXXI, Sec. 3103(d), Aug. 6, 2002,

116 Stat. 1033, provided that:

''(1) In general. - Not later than 180 days after the date of the

enactment of this Act (Aug. 6, 2002), the President shall

promulgate regulations regarding the review of eligibility of

articles and countries under the Andean Trade Preference Act (19

U.S.C. 3201 et seq.), consistent with section 203(e) of such Act

(19 U.S.C. 3202(e)), as amended by this title.

''(2) Content of regulations. - The regulations shall be similar

to the regulations regarding eligibility under the generalized

system of preferences under title V of the Trade Act of 1974 (19

U.S.C. 2461 et seq.) with respect to the timetable for reviews and

content, and shall include procedures for requesting withdrawal,

suspension, or limitations of preferential duty treatment under the

Andean Trade Preference Act, conducting reviews of such requests,

and implementing the results of the reviews.''

(For delegation of functions of President under section 3103(d)

of Pub. L. 107-210, set out above, see section 2(a) of Ex. Ord. No.

13277, Nov. 19, 2002, 67 F.R. 70305, set out as a note under

section 3801 of this title.)

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PRESIDENTIAL DESIGNATION OF BENEFICIARY COUNTRIES

The following countries were designated as beneficiary countries

for purposes of this chapter:

Bolivia, Proc. No. 6456, July 2, 1992, 57 F.R. 30097.

Colombia, Proc. No. 6455, July 2, 1992, 57 F.R. 30069.

Peru, Proc. No. 6585, Aug. 11, 1993, 58 F.R. 43239.

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SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 2411, 3203 of this title.

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19 USC Sec. 3203 01/06/03

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TITLE 19 - CUSTOMS DUTIES

CHAPTER 20 - ANDEAN TRADE PREFERENCE

-HEAD-

Sec. 3203. Eligible articles

-STATUTE-

(a) In general

(1) Unless otherwise excluded from eligibility (or otherwise

provided for) by this chapter, the duty-free treatment (or

preferential treatment) provided under this chapter shall apply to

any article which is the growth, product, or manufacture of a

beneficiary country if -

(A) that article is imported directly from a beneficiary

country into the customs territory of the United States; and

(B) the sum of -

(i) the cost or value of the materials produced in a

beneficiary country or 2 or more beneficiary countries under

this chapter, or a beneficiary country under the Caribbean

Basin Economic Recovery Act (19 U.S.C. 2701 et seq.) or 2 or

more such countries, plus

(ii) the direct costs of processing operations performed in a

beneficiary country or countries (under this chapter or the

Caribbean Basin Economic Recovery Act),

is not less than 35 percent of the appraised value of such

article at the time it is entered.

For purposes of determining the percentage referred to in

subparagraph (B), the term ''beneficiary country'' includes the

Commonwealth of Puerto Rico and the United States Virgin Islands.

If the cost or value of materials produced in the customs territory

of the United States (other than the Commonwealth of Puerto Rico)

is included with respect to an article to which this paragraph

applies, an amount not to exceed 15 percent of the appraised value

of the article at the time it is entered that is attributed to such

United States cost or value may be applied toward determining the

percentage referred to in subparagraph (B).

(2) The Secretary of the Treasury shall prescribe such

regulations as may be necessary to carry out paragraph (1)

including, but not limited to, regulations providing that, in order

to be eligible for duty-free treatment under this chapter, an

article must be wholly the growth, product, or manufacture of a

beneficiary country, or must be a new or different article of

commerce which has been grown, produced, or manufactured in the

beneficiary country; but no article or material of a beneficiary

country shall be eligible for such treatment by virtue of having

merely undergone -

(A) simple combining or packaging operations, or

(B) mere dilution with water or mere dilution with another

substance that does not materially alter the characteristics of

the article.

(3) As used in this subsection, the phrase ''direct costs of

processing operations'' includes, but is not limited to -

(A) all actual labor costs involved in the growth, production,

manufacture, or assembly of the specific merchandise, including

fringe benefits, on-the-job training and the cost of engineering,

supervisory, quality control, and similar personnel; and

(B) dies, molds, tooling, and depreciation on machinery and

equipment which are allocable to the specific merchandise.

Such phrase does not include costs which are not directly

attributable to the merchandise concerned or are not costs of

manufacturing the product, such as (i) profit, and (ii) general

expense of doing business which are either not allocable to the

specific merchandise or are not related to the growth, production,

manufacture, or assembly of the merchandise, such as administrative

salaries, casualty and liability insurance, advertising, interest,

and salesmen's salaries, commissions or expenses.

(4) If the President, pursuant to section 223 of the Caribbean

Basin Economic Recovery Expansion Act of 1990, considers that the

implementation of revised rules of origin for products of

beneficiary countries designated under the Caribbean Basin Economic

Recovery Act (19 U.S.C. 2701 et seq.) would be appropriate, the

President may include similarly revised rules of origin for

products of beneficiary countries designated under this chapter in

any suggested legislation transmitted to the Congress that contains

such rules of origin for products of beneficiary countries under

the Caribbean Basin Economic Recovery Act.

(b) Exceptions and special rules

(1) Certain articles that are not import-sensitive

The President may proclaim duty-free treatment under this

chapter for any article described in subparagraph (A), (B), (C),

or (D) that is the growth, product, or manufacture of an ATPDEA

beneficiary country, that is imported directly into the customs

territory of the United States from an ATPDEA beneficiary

country, and that meets the requirements of this section, if the

President determines that such article is not import-sensitive in

the context of imports from ATPDEA beneficiary countries:

(A) Footwear not designated at the time of the effective date

of this chapter as eligible for purposes of the generalized

system of preferences under title V of the Trade Act of 1974

(19 U.S.C. 2461 et seq.).

(B) Petroleum, or any product derived from petroleum,

provided for in headings 2709 and 2710 of the HTS.

(C) Watches and watch parts (including cases, bracelets and

straps), of whatever type including, but not limited to,

mechanical, quartz digital or quartz analog, if such watches or

watch parts contain any material which is the product of any

country with respect to which HTS column 2 rates of duty apply.

(D) Handbags, luggage, flat goods, work gloves, and leather

wearing apparel that were not designated on August 5, 1983, as

eligible articles for purposes of the generalized system of

preferences under title V of the Trade Act of 1974.

(2) Exclusions

Subject to paragraph (3), duty-free treatment under this

chapter may not be extended to -

(A) textiles and apparel articles which were not eligible

articles for purposes of this chapter on January 1, 1994, as

this chapter was in effect on that date;

(B) rum and tafia classified in subheading 2208.40 of the

HTS;

(C) sugars, syrups, and sugar-containing products subject to

over-quota duty rates under applicable tariff-rate quotas; or

(D) tuna prepared or preserved in any manner in airtight

containers, except as provided in paragraph (4).

(3) Apparel articles and certain textile articles

(A) In general

Apparel articles that are imported directly into the customs

territory of the United States from an ATPDEA beneficiary

country shall enter the United States free of duty and free of

any quantitative restrictions, limitations, or consultation

levels, but only if such articles are described in subparagraph

(B).

(B) Covered articles

The apparel articles referred to in subparagraph (A) are the

following:

(i) Apparel articles assembled from products of the United

States or ATPDEA beneficiary countries or products not

available in commercial quantities

Apparel articles sewn or otherwise assembled in 1 or more

ATPDEA beneficiary countries, or the United States, or both,

exclusively from any one or any combination of the following:

(I) Fabrics or fabric components wholly formed, or

components knit-to-shape, in the United States, from yarns

wholly formed in the United States or 1 or more ATPDEA

beneficiary countries (including fabrics not formed from

yarns, if such fabrics are classifiable under heading 5602

or 5603 of the HTS and are formed in the United States).

Apparel articles shall qualify under this subclause only if

all dyeing, printing, and finishing of the fabrics from

which the articles are assembled, if the fabrics are knit

fabrics, is carried out in the United States. Apparel

articles shall qualify under this subclause only if all

dyeing, printing, and finishing of the fabrics from which

the articles are assembled, if the fabrics are woven

fabrics, is carried out in the United States.

(II) Fabrics or fabric components formed or components

knit-to-shape, in 1 or more ATPDEA beneficiary countries,

from yarns wholly formed in 1 or more ATPDEA beneficiary

countries, if such fabrics (including fabrics not formed

from yarns, if such fabrics are classifiable under heading

5602 or 5603 of the HTS and are formed in 1 or more ATPDEA

beneficiary countries) or components are in chief value of

llama, alpaca, or vicunAE6a.

(III) Fabrics or yarns, to the extent that apparel

articles of such fabrics or yarns would be eligible for

preferential treatment, without regard to the source of the

fabrics or yarns, under Annex 401 of the NAFTA.

(ii) Additional fabrics

At the request of any interested party, the President is

authorized to proclaim additional fabrics and yarns as

eligible for preferential treatment under clause (i)(III) if

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(I) the President determines that such fabrics or yarns

cannot be supplied by the domestic industry in commercial

quantities in a timely manner;

(II) the President has obtained advice regarding the

proposed action from the appropriate advisory committee

established under section 135 of the Trade Act of 1974 (19

U.S.C. 2155) and the United States International Trade

Commission;

(III) within 60 days after the request, the President has

submitted a report to the Committee on Ways and Means of

the House of Representatives and the Committee on Finance

of the Senate that sets forth the action proposed to be

proclaimed and the reasons for such action, and the advice

obtained under subclause (II);

(IV) a period of 60 calendar days, beginning with the

first day on which the President has met the requirements

of subclause (III), has expired; and

(V) the President has consulted with such committees

regarding the proposed action during the period referred to

in subclause (III).

(iii) Apparel articles assembled in 1 or more ATPDEA

beneficiary countries from regional fabrics or regional

components

(I) Subject to the limitation set forth in subclause (II),

apparel articles sewn or otherwise assembled in 1 or more

ATPDEA beneficiary countries from fabrics or from fabric

components formed or from components knit-to-shape, in 1 or

more ATPDEA beneficiary countries, from yarns wholly formed

in the United States or 1 or more ATPDEA beneficiary

countries (including fabrics not formed from yarns, if such

fabrics are classifiable under heading 5602 or 5603 of the

HTS and are formed in 1 or more ATPDEA beneficiary

countries), whether or not the apparel articles are also made

from any of the fabrics, fabric components formed, or

components knit-to-shape described in clause (i) (unless the

apparel articles are made exclusively from any of the

fabrics, fabric components formed, or components

knit-to-shape described in clause (i)).

(II) The preferential treatment referred to in subclause

(I) shall be extended in the 1-year period beginning October

1, 2002, and in each of the 4 succeeding 1-year periods, to

imports of apparel articles in an amount not to exceed the

applicable percentage of the aggregate square meter

equivalents of all apparel articles imported into the United

States in the preceding 12-month period for which data are

available.

(III) For purposes of subclause (II), the term ''applicable

percentage'' means 2 percent for the 1-year period beginning

October 1, 2002, increased in each of the 4 succeeding 1-year

periods by equal increments, so that for the period beginning

October 1, 2006, the applicable percentage does not exceed 5

percent.

(iv) Handloomed, handmade, and folklore articles

A handloomed, handmade, or folklore article of an ATPDEA

beneficiary country identified under subparagraph (C) that is

certified as such by the competent authority of such

beneficiary country.

(v) Certain other apparel articles

(I) General rule

Any apparel article classifiable under subheading 6212.10

of the HTS, except for articles entered under clause (i),

(ii), (iii), or (iv), if the article is both cut and sewn

or otherwise assembled in the United States, or one or more

ATPDEA beneficiary countries, or both.

(II) Limitation

During the 1-year period beginning on October 1, 2003,

and during each of the 3 succeeding 1-year periods, apparel

articles described in subclause (I) of a producer or an

entity controlling production shall be eligible for

preferential treatment under this paragraph only if the

aggregate cost of fabrics (exclusive of all findings and

trimmings) formed in the United States that are used in the

production of all such articles of that producer or entity

that are entered and eligible under this clause during the

preceding 1-year period is at least 75 percent of the

aggregate declared customs value of the fabric (exclusive

of all findings and trimmings) contained in all such

articles of that producer or entity that are entered and

eligible under this clause during the preceding 1-year

period.

(III) Development of procedure to ensure compliance

The United States Customs Service shall develop and

implement methods and procedures to ensure ongoing

compliance with the requirement set forth in subclause

(II). If the Customs Service finds that a producer or an

entity controlling production has not satisfied such

requirement in a 1-year period, then apparel articles

described in subclause (I) of that producer or entity shall

be ineligible for preferential treatment under this

paragraph during any succeeding 1-year period until the

aggregate cost of fabrics (exclusive of all findings and

trimmings) formed in the United States that are used in the

production of such articles of that producer or entity

entered during the preceding 1-year period is at least 85

percent of the aggregate declared customs value of the

fabric (exclusive of all findings and trimmings) contained

in all such articles of that producer or entity that are

entered and eligible under this clause during the preceding

1-year period.

(vi) Special rules

(I) Exception for findings and trimmings

An article otherwise eligible for preferential treatment

under this paragraph shall not be ineligible for such

treatment because the article contains findings or

trimmings of foreign origin, if such findings and trimmings

do not exceed 25 percent of the cost of the components of

the assembled product. Examples of findings and trimmings

are sewing thread, hooks and eyes, snaps, buttons, ''bow

buds'', decorative lace, trim, elastic strips, zippers,

including zipper tapes and labels, and other similar

products.

(II) Certain interlining

(aa) An article otherwise eligible for preferential

treatment under this paragraph shall not be ineligible for

such treatment because the article contains certain

interlinings of foreign origin, if the value of such

interlinings (and any findings and trimmings) does not

exceed 25 percent of the cost of the components of the

assembled article.

(bb) Interlinings eligible for the treatment described in

division (aa) include only a chest type plate, ''hymo''

piece, or ''sleeve header'', of woven or weft-inserted warp

knit construction and of coarse animal hair or man-made

filaments.

(cc) The treatment described in this subclause shall

terminate if the President makes a determination that

United States manufacturers are producing such interlinings

in the United States in commercial quantities.

(III) De minimis rule

An article that would otherwise be ineligible for

preferential treatment under this subparagraph because the

article contains yarns not wholly formed in the United

States or in one or more ATPDEA beneficiary countries shall

not be ineligible for such treatment if the total weight of

all such yarns is not more than 7 percent of the total

weight of the good.

(IV) Special origin rule

An article otherwise eligible for preferential treatment

under clause (i) or (iii) shall not be ineligible for such

treatment because the article contains nylon filament yarn

(other than elastomeric yarn) that is classifiable under

subheading 5402.10.30, 5402.10.60, 5402.31.30, 5402.31.60,

5402.32.30, 5402.32.60, 5402.41.10, 5402.41.90, 5402.51.00,

or 5402.61.00 of the HTS from a country that is a party to

an agreement with the United States establishing a free

trade area, which entered into force before January 1,

1995.

(vii) Textile luggage

Textile luggage -

(I) assembled in an ATPDEA beneficiary country from

fabric wholly formed and cut in the United States, from

yarns wholly formed in the United States, that is entered

under subheading 9802.00.80 of the HTS; or

(II) assembled from fabric cut in an ATPDEA beneficiary

country from fabric wholly formed in the United States from

yarns wholly formed in the United States.

(C) Handloomed, handmade, and folklore articles

For purposes of subparagraph (B)(iv), the President shall

consult with representatives of the ATPDEA beneficiary

countries concerned for the purpose of identifying particular

textile and apparel goods that are mutually agreed upon as

being handloomed, handmade, or folklore goods of a kind

described in section 2.3(a), (b), or (c) of the Annex or

Appendix 3.1.B.11 of the Annex.

(D) Penalties for transshipment

(i) Penalties for exporters

If the President determines, based on sufficient evidence,

that an exporter has engaged in transshipment with respect to

apparel articles from an ATPDEA beneficiary country, then the

President shall deny all benefits under this chapter to such

exporter, and any successor of such exporter, for a period of

2 years.

(ii) Penalties for countries

Whenever the President finds, based on sufficient evidence,

that transshipment has occurred, the President shall request

that the ATPDEA beneficiary country or countries through

whose territory the transshipment has occurred take all

necessary and appropriate actions to prevent such

transshipment. If the President determines that a country is

not taking such actions, the President shall reduce the

quantities of apparel articles that may be imported into the

United States from such country by the quantity of the

transshipped articles multiplied by 3, to the extent

consistent with the obligations of the United States under

the WTO.

(iii) Transshipment described

Transshipment within the meaning of this subparagraph has

occurred when preferential treatment under subparagraph (A)

has been claimed for an apparel article on the basis of

material false information concerning the country of origin,

manufacture, processing, or assembly of the article or any of

its components. For purposes of this clause, false

information is material if disclosure of the true information

would mean or would have meant that the article is or was

ineligible for preferential treatment under subparagraph (A).

(E) Bilateral emergency actions

(i) In general

The President may take bilateral emergency tariff actions

of a kind described in section 4 of the Annex with respect to

any apparel article imported from an ATPDEA beneficiary

country if the application of tariff treatment under

subparagraph (A) to such article results in conditions that

would be cause for the taking of such actions under such

section 4 with respect to a like article described in the

same 8-digit subheading of the HTS that is imported from

Mexico.

(ii) Rules relating to bilateral emergency action

For purposes of applying bilateral emergency action under

this subparagraph -

(I) the requirements of paragraph (5) of section 4 of the

Annex (relating to providing compensation) shall not apply;

(II) the term ''transition period'' in section 4 of the

Annex shall mean the period ending December 31, 2006; and

(III) the requirements to consult specified in section 4

of the Annex shall be treated as satisfied if the President

requests consultations with the ATPDEA beneficiary country

in question and the country does not agree to consult

within the time period specified under section 4 of the

Annex.

(4) Tuna

(A) General rule

Tuna that is harvested by United States vessels or ATPDEA

beneficiary country vessels, that is prepared or preserved in

any manner, in an ATPDEA beneficiary country, in foil or other

flexible airtight containers weighing with their contents not

more than 6.8 kilograms each, and that is imported directly

into the customs territory of the United States from an ATPDEA

beneficiary country, shall enter the United States free of duty

and free of any quantitative restrictions.

(B) Definitions

In this paragraph -

(i) United States vessel

A ''United States vessel'' is a vessel having a certificate

of documentation with a fishery endorsement under chapter 121

of title 46.

(ii) ATPDEA vessel

An ''ATPDEA vessel'' is a vessel -

(I) which is registered or recorded in an ATPDEA

beneficiary country;

(II) which sails under the flag of an ATPDEA beneficiary

country;

(III) which is at least 75 percent owned by nationals of

an ATPDEA beneficiary country or by a company having its

principal place of business in an ATPDEA beneficiary

country, of which the manager or managers, chairman of the

board of directors or of the supervisory board, and the

majority of the members of such boards are nationals of an

ATPDEA beneficiary country and of which, in the case of a

company, at least 50 percent of the capital is owned by an

ATPDEA beneficiary country or by public bodies or nationals

of an ATPDEA beneficiary country;

(IV) of which the master and officers are nationals of an

ATPDEA beneficiary country; and

(V) of which at least 75 percent of the crew are

nationals of an ATPDEA beneficiary country.

(5) Customs procedures

(A) In general

(i) Regulations

Any importer that claims preferential treatment under

paragraph (1), (3), or (4) shall comply with customs

procedures similar in all material respects to the

requirements of Article 502(1) of the NAFTA as implemented

pursuant to United States law, in accordance with regulations

promulgated by the Secretary of the Treasury.

(ii) Determination

(I) In general

In order to qualify for the preferential treatment under

paragraph (1), (3), or (4) and for a Certificate of Origin

to be valid with respect to any article for which such

treatment is claimed, there shall be in effect a

determination by the President that each country described

in subclause (II) -

(aa) has implemented and follows, or

(bb) is making substantial progress toward implementing

and following,

procedures and requirements similar in all material respects

to the relevant procedures and requirements under chapter 5

of the NAFTA.

(II) Country described

A country is described in this subclause if it is an

ATPDEA beneficiary country -

(aa) from which the article is exported; or

(bb) in which materials used in the production of the

article originate or in which the article or such

materials undergo production that contributes to a claim

that the article is eligible for preferential treatment

under paragraph (1), (3), or (4).

(B) Certificate of Origin

The Certificate of Origin that otherwise would be required

pursuant to the provisions of subparagraph (A) shall not be

required in the case of an article imported under paragraph

(1), (3), or (4) if such Certificate of Origin would not be

required under Article 503 of the NAFTA (as implemented

pursuant to United States law), if the article were imported

from Mexico.

(C) Report on cooperation of ATPDEA countries concerning

circumvention

The United States Commissioner of Customs shall conduct a

study analyzing the extent to which each ATPDEA beneficiary

country -

(i) has cooperated fully with the United States, consistent

with its domestic laws and procedures, in instances of

circumvention or alleged circumvention of existing quotas on

imports of textile and apparel goods, to establish necessary

relevant facts in the places of import, export, and, where

applicable, transshipment, including investigation of

circumvention practices, exchanges of documents,

correspondence, reports, and other relevant information, to

the extent such information is available;

(ii) has taken appropriate measures, consistent with its

domestic laws and procedures, against exporters and importers

involved in instances of false declaration concerning

quantities, description, classification, or origin of textile

and apparel goods; and

(iii) has penalized the individuals and entities involved

in any such circumvention, consistent with its domestic laws

and procedures, and has worked closely to seek the

cooperation of any third country to prevent such

circumvention from taking place in that third country.

The Commissioner of Customs shall submit to the Congress, not

later than October 1, 2003, a report on the study conducted

under this subparagraph.

(6) Definitions

In this subsection -

(A) Annex

The term ''the Annex'' means Annex 300-B of the NAFTA.

(B) ATPDEA beneficiary country

The term ''ATPDEA beneficiary country'' means any

''beneficiary country'', as defined in section 3202(a)(1) of

this title, which the President designates as an ATPDEA

beneficiary country, taking into account the criteria contained

in subsections (c) and (d) of section 3202 of this title and

other appropriate criteria, including the following:

(i) Whether the beneficiary country has demonstrated a

commitment to -

(I) undertake its obligations under the WTO, including

those agreements listed in section 3511(d) of this title,

on or ahead of schedule; and

(II) participate in negotiations toward the completion of

the FTAA or another free trade agreement.

(ii) The extent to which the country provides protection of

intellectual property rights consistent with or greater than

the protection afforded under the Agreement on Trade-Related

Aspects of Intellectual Property Rights described in section

3511(d)(15) of this title.

(iii) The extent to which the country provides

internationally recognized worker rights, including -

(I) the right of association;

(II) the right to organize and bargain collectively;

(III) a prohibition on the use of any form of forced or

compulsory labor;

(IV) a minimum age for the employment of children; and

(V) acceptable conditions of work with respect to minimum

wages, hours of work, and occupational safety and health.

(iv) Whether the country has implemented its commitments to

eliminate the worst forms of child labor, as defined in

section 507(6) of the Trade Act of 1974 (19 U.S.C. 2467(6)).

(v) The extent to which the country has met the

counternarcotics certification criteria set forth in section

2291j of title 22 for eligibility for United States

assistance.

(vi) The extent to which the country has taken steps to

become a party to and implements the Inter-American

Convention Against Corruption.

(vii) The extent to which the country -

(I) applies transparent, nondiscriminatory, and

competitive procedures in government procurement equivalent

to those contained in the Agreement on Government

Procurement described in section 3511(d)(17) of this title;

and

(II) contributes to efforts in international fora to

develop and implement international rules in transparency

in government procurement.

(viii) The extent to which the country has taken steps to

support the efforts of the United States to combat terrorism.

(C) NAFTA

The term ''NAFTA'' means the North American Free Trade

Agreement entered into between the United States, Mexico, and

Canada on December 17, 1992.

(D) WTO

The term ''WTO'' has the meaning given that term in section

3501 of this title.

(E) ATPDEA

The term ''ATPDEA'' means the Andean Trade Promotion and Drug

Eradication Act.

(F) FTAA

The term ''FTAA'' means the Free Trade Area for the Americas.

(c) Suspension of duty-free treatment

(1) The President may by proclamation suspend the duty-free

treatment provided by this chapter with respect to any eligible

article and may proclaim a duty rate for such article if such

action is proclaimed under chapter 1 of title II of the Trade Act

of 1974 (19 U.S.C. 2251 et seq.) or section 1862 of this title.

(2) In any report by the United States International Trade

Commission to the President under section 202(f) of the Trade Act

of 1974 (19 U.S.C. 2252(f)) regarding any article for which

duty-free treatment has been proclaimed by the President pursuant

to this chapter, the Commission shall state whether and to what

extent its findings and recommendations apply to such article when

imported from beneficiary countries.

(3) For purposes of section 203 of the Trade Act of 1974 (19

U.S.C. 2253), the suspension of the duty-free treatment provided by

this chapter shall be treated as an increase in duty.

(4) No proclamation providing solely for a suspension referred to

in paragraph (3) of this subsection with respect to any article

shall be taken under section 203 of the Trade Act of 1974 (19

U.S.C. 2253) unless the United States International Trade

Commission, in addition to making an affirmative determination with

respect to such article under section 202(b) of the Trade Act of

1974 (19 U.S.C. 2252(b)), determines in the course of its

investigation under such section that the serious injury (or threat

thereof) substantially caused by imports to the domestic industry

producing a like or directly competitive article results from the

duty-free treatment provided by this chapter.

(5)(A) Any action taken under section 203 of the Trade Act of

1974 (19 U.S.C. 2253) that is in effect when duty-free treatment is

proclaimed under section 3201 of this title shall remain in effect

until modified or terminated.

(B) If any article is subject to any such action at the time

duty-free treatment is proclaimed under section 3201 of this title,

the President may reduce or terminate the application of such

action to the importation of such article from beneficiary

countries prior to the otherwise scheduled date on which such

reduction or termination would occur pursuant to the criteria and

procedures of section 204 of the Trade Act of 1974 (19 U.S.C.

2254).

(d) Emergency relief with respect to perishable products

(1) If a petition is filed with the United States International

Trade Commission pursuant to the provisions of section 201 of the

Trade Act of 1974 (19 U.S.C. 2251) regarding a perishable product

and alleging injury from imports from beneficiary countries, then

the petition may also be filed with the Secretary of Agriculture

with a request that emergency relief be granted pursuant to

paragraph (3) of this subsection with respect to such article.

(2) Within 14 days after the filing of a petition under paragraph

(1) of this subsection -

(A) if the Secretary of Agriculture has reason to believe that

a perishable product from a beneficiary country is being imported

into the United States in such increased quantities as to be a

substantial cause of serious injury, or the threat thereof, to

the domestic industry producing a perishable product like or

directly competitive with the imported product and that emergency

action is warranted, he shall advise the President and recommend

that the President take emergency action; or

(B) the Secretary of Agriculture shall publish a notice of his

determination not to recommend the imposition of emergency action

and so advise the petitioner.

(3) Within 7 days after the President receives a recommendation

from the Secretary of Agriculture to take emergency action pursuant

to paragraph (2) of this subsection, he shall issue a proclamation

withdrawing the duty-free treatment provided by this chapter or

publish a notice of his determination not to take emergency action.

(4) The emergency action provided by paragraph (3) of this

subsection shall cease to apply -

(A) upon the taking of action under section 203 of the Trade

Act of 1974 (19 U.S.C. 2253),

(B) on the day a determination by the President not to take

action under section 203(b)(2) of such Act becomes final,

(C) in the event of a report of the United States International

Trade Commission containing a negative finding, on the day of the

Commission's report is submitted to the President, or

(D) whenever the President determines that because of changed

circumstances such relief is no longer warranted.

(5) For purposes of this subsection, the term ''perishable

product'' means -

(A) live plants and fresh cut flowers provided for in chapter 6

of the HTS;

(B) fresh or chilled vegetables provided for in headings 0701

through 0709 (except subheading 0709.52.00) and heading 0714 of

the HTS;

(C) fresh fruit provided for in subheadings 0804.20 through

0810.90 (except citrons of subheadings 0805.90.00, tamarinds and

kiwi fruit of subheading 0810.90.20, and cashew apples, mameyes

colorados, sapodillas, soursops and sweetsops of subheading

0810.90.40) of the HTS; or

(D) concentrated citrus fruit juice provided for in subheadings

2009.11.00, 2009.19.40, 2009.20.40, 2009.30.20, and 2009.30.60 of

the HTS.

(e) Fees under section 624 of title 7

No proclamation issued pursuant to this chapter shall affect fees

imposed pursuant to section 624 of title 7.

(f) Tariff-rate quotas

No quantity of an agricultural product subject to a tariff-rate

quota that exceeds the in-quota quantity shall be eligible for

duty-free treatment under this chapter.

-SOURCE-

(Pub. L. 102-182, title II, Sec. 204, Dec. 4, 1991, 105 Stat. 1239;

Pub. L. 103-465, title IV, Sec. 404(e)(2), Dec. 8, 1994, 108 Stat.

4961; Pub. L. 107-210, div. C, title XXXI, Sec. 3103(a), (c)(2),

Aug. 6, 2002, 116 Stat. 1024, 1033.)

-REFTEXT-

REFERENCES IN TEXT

This chapter, referred to in subsecs. (a)(1)(B) and (f), was in

the original ''this Act'' and was translated as reading ''this

title'', meaning title II of Pub. L. 102-182 which enacted this

chapter, to reflect the probable intent of Congress.

The Caribbean Basin Economic Recovery Act, referred to in subsec.

(a)(1)(B), (4), is title II of Pub. L. 98-67, Aug. 5, 1983, 97

Stat. 384, as amended, which is classified principally to chapter

15 (Sec. 2701 et seq.) of this title. For complete classification

of this Act to the Code, see Short Title note set out under section

2701 of this title and Tables.

Section 223 of the Caribbean Basin Economic Recovery Expansion

Act of 1990, referred to in subsec. (a)(4), is section 223 of Pub.

L. 101-382, title II, Aug. 20, 1990, 104 Stat. 659, which is not

classified to the Code.

The effective date of this chapter, referred to in subsec.

(b)(1)(A), means the date of enactment of Pub. L. 102-182, which

was approved Dec. 4, 1991.

The Trade Act of 1974, referred to in subsecs. (b)(1)(A), (D),

and (c)(1), is Pub. L. 93-618, Jan. 3, 1975, 88 Stat. 1978, as

amended. Chapter 1 of title II of the Act is classified generally

to part 1 (Sec. 2251 et seq.) of subchapter II of chapter 12 of

this title. Title V of the Act is classified generally to

subchapter V (Sec. 2461 et seq.) of chapter 12 of this title. For

complete classification of this Act to the Code, see section 2101

of this title and Tables.

The Andean Trade Promotion and Drug Eradication Act, referred to

in subsec. (b)(6)(E), is title XXXI of Pub. L. 107-210, div. C,

Aug. 6, 2002, 116 Stat. 1023. For complete classification of this

Act to the Code, see Short Title of 2002 Amendment note set out

under section 3201 of this title and Tables.

-MISC2-

AMENDMENTS

2002 - Subsec. (a)(1). Pub. L. 107-210, Sec. 3103(c)(2)(A), in

introductory provisions, inserted ''(or otherwise provided for)''

after ''eligibility'' and ''(or preferential treatment)'' after

''duty-free treatment''.

Subsec. (a)(2). Pub. L. 107-210, Sec. 3103(c)(2)(B), substituted

''paragraph (1)'' for ''subsection (a) of this section'' in

introductory provisions.

Subsec. (b). Pub. L. 107-210, Sec. 3103(a)(2), substituted

''Exceptions and special rules'' for ''Exceptions to duty-free

treatment'' in heading and amended text generally. Prior to

amendment, text read as follows: ''The duty-free treatment provided

under this chapter shall not apply to -

''(1) textile and apparel articles which are subject to textile

agreements;

''(2) footwear not designated at the time of the effective date

of this chapter as eligible for the purpose of the generalized

system of preferences under title V of the Trade Act of 1974;

''(3) tuna, prepared or preserved in any manner, in airtight

containers;

''(4) petroleum, or any product derived from petroleum,

provided for in headings 2709 and 2710 of the HTS;

''(5) watches and watch parts (including cases, bracelets and

straps), of whatever type including, but not limited to,

mechanical, quartz digital or quartz analog, if such watches or

watch parts contain any material which is the product of any

country with respect to which HTS column 2 rates of duty apply;

''(6) articles to which reduced rates of duty apply under

subsection (c) of this section;

''(7) sugars, syrups, and molasses classified in subheadings

1701.11.03, 1701.12.02, 1701.99.02, 1702.90.32, 1806.10.42, and

2106.90.12 of the HTS; or

''(8) rum and tafia classified in subheading 2208.40.00 of the

HTS.''

Subsecs. (c) to (g). Pub. L. 107-210, Sec. 3103(a)(1),

redesignated subsecs. (d) to (g) as (c) to (f), respectively, and

struck out former subsec. (c) which related to duty reductions for

certain handbags, luggage, flat goods, work gloves, and leather

wearing apparel of beneficiary countries.

1994 - Subsec. (g). Pub. L. 103-465 added subsec. (g).

EFFECTIVE DATE OF 1994 AMENDMENT

Amendment by Pub. L. 103-465 effective on the date of entry into

force of the WTO Agreement with respect to the United States (Jan.

1, 1995), except as otherwise provided, see section 451 of Pub. L.

103-465, set out as an Effective Date note under section 3601 of

this title.

-TRANS-

TRANSFER OF FUNCTIONS

For transfer of functions, personnel, assets, and liabilities of

the United States Customs Service of the Department of the

Treasury, including functions of the Secretary of the Treasury

relating thereto, to the Secretary of Homeland Security, and for

treatment of related references, see sections 203(1), 551(d),

552(d), and 557 of Title 6, Domestic Security, and the Department

of Homeland Security Reorganization Plan of November 25, 2002, as

modified, set out as a note under section 542 of Title 6.

DELEGATION OF AUTHORITY

For delegation of functions of President under div. C of Pub. L.

107-210, amending this section, see section 2 of Ex. Ord. No.

13277, Nov. 19, 2002, 67 F.R. 70305, set out as a note under

section 3801 of this title.

-MISC5-

DUTY FREE OR PREFERENTIAL TREATMENT OF CERTAIN APPAREL ARTICLES

Pub. L. 107-206, title III, Sec. 3001(b), Aug. 2, 2002, 116 Stat.

910, provided that: ''Any duty free or other preferential treatment

provided under the Andean Trade Preference Act (19 U.S.C. 3201 et

seq.) to apparel articles assembled from fabric formed in the

United States shall apply to such articles only if all dyeing,

printing, and finishing of the fabrics from which the articles are

assembled if the fabrics are knit fabrics, is carried out in the

United States. Any duty-free or other preferential treatment

provided under the Andean Trade Preference Act to apparel articles

assembled from fabric formed in the United States shall apply to

such articles only if all dyeing, printing, and finishing of the

fabrics from which the articles are assembled if the fabrics are

woven fabrics, is carried out in the United States.''

(Section 3001(b) of Pub. L. 107-206, set out above, effective

Sept. 1, 2002, see section 3001(c) of Pub. L. 107-206, set out as

an Effective Date of 2002 Amendments note under section 2703 of

this title.)

-EXEC-

PRESIDENTIAL DESIGNATION OF ATPDEA BENEFICIARY COUNTRIES

Proc. No. 7616, Oct. 31, 2002, 67 F.R. 67283, designated Bolivia,

Colombia, Ecuador, and Peru as ATPDEA beneficiary countries

pursuant to section 3203(b)(6)(B) of this title and determined that

these countries have satisfied the requirements of section

3203(b)(5)(A)(ii)(I) of this title relating to the implementation

of procedures and requirements similar to those in chapter 5 of the

NAFTA.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 3202 of this title; title

7 sections 7236, 7937.

-CITE-

19 USC Sec. 3204 01/06/03

-EXPCITE-

TITLE 19 - CUSTOMS DUTIES

CHAPTER 20 - ANDEAN TRADE PREFERENCE

-HEAD-

Sec. 3204. International Trade Commission reports on impact of this

chapter

-STATUTE-

(a) Reporting requirements

(1) In general

The United States International Trade Commission (in this

section referred to as the ''Commission'') shall submit to

Congress and the President biennial reports regarding the

economic impact of this chapter on United States industries and

consumers, and, in conjunction with other agencies, the

effectiveness of this chapter in promoting drug-related crop

eradication and crop substitution efforts of the beneficiary

countries.

(2) Submission

During the period that this chapter is in effect, the report

required by paragraph (1) shall be submitted on December 31 of

each year that the report required by section 2704 of this title

is not submitted.

(3) Treatment of Puerto Rico, etc.

For purposes of this section, industries in the Commonwealth of

Puerto Rico and the insular possessions of the United States are

considered to be United States industries.

(b) Report requirements

(1) Each report required under subsection (a) of this section

shall include, but not be limited to, an assessment by the

Commission regarding -

(A) the actual effect, during the period covered by the report,

of this chapter on the United States economy generally as well as

on those specific domestic industries which produce articles that

are like, or directly competitive with, articles being imported

into the United States from beneficiary countries;

(B) the probable future effect that this chapter will have on

the United States economy generally, as well as on such domestic

industries, before the provisions of this chapter terminate; and

(C) the estimated effect that this chapter has had on the

drug-related crop eradication and crop substitution efforts of

the beneficiary countries.

(2) In preparing the assessments required under paragraph (1),

the Commission shall, to the extent practicable -

(A) analyze the production, trade and consumption of United

States products affected by this chapter, taking into

consideration employment, profit levels, and use of productive

facilities with respect to the domestic industries concerned, and

such other economic factors in such industries as it considers

relevant, including prices, wages, sales, inventories, patterns

of demand, capital investment, obsolescence of equipment, and

diversification of production; and

(B) describe the nature and extent of any significant change in

employment, profit levels, and use of productive facilities, and

such other conditions as it deems relevant in the domestic

industries concerned, which it believes are attributable to this

chapter.

(c) Submission dates; public comment

(1) Each report required under subsection (a) of this section

shall be submitted to the Congress before the close of the 9-month

period beginning on the day after the last day of the period

covered by the report.

(2) The Commission shall provide an opportunity for the

submission by the public, either orally or in writing, or both, of

information relating to matters that will be addressed in the

reports.

-SOURCE-

(Pub. L. 102-182, title II, Sec. 206, Dec. 4, 1991, 105 Stat. 1243;

Pub. L. 106-200, title II, Sec. 211(d)(2), May 18, 2000, 114 Stat.

287.)

-MISC1-

AMENDMENTS

2000 - Subsec. (a). Pub. L. 106-200 amended heading and text of

subsec. (a) generally. Prior to amendment, text read as follows:

''The United States International Trade Commission (hereinafter in

this section referred to as the 'Commission') shall prepare, and

submit to the Congress, a report regarding the economic impact of

this chapter on United States industries and consumers, and, in

conjunction with other agencies, the effectiveness of this chapter

in promoting drug-related crop eradication and crop substitution

efforts of the beneficiary countries, during -

''(1) the 24-month period beginning with December 4, 1991; and

''(2) each calendar year occurring thereafter until duty-free

treatment under this chapter is terminated under section 3206(b)

of this title.

For purposes of this section, industries in the Commonwealth of

Puerto Rico and the insular possessions of the United States shall

be considered to be United States industries.''

-CITE-

19 USC Sec. 3205 01/06/03

-EXPCITE-

TITLE 19 - CUSTOMS DUTIES

CHAPTER 20 - ANDEAN TRADE PREFERENCE

-HEAD-

Sec. 3205. Impact study by Secretary of Labor

-STATUTE-

The Secretary of Labor, in consultation with other appropriate

Federal agencies, shall undertake a continuing review and analysis

of the impact that the implementation of the provisions of this

chapter has with respect to United States labor; and shall make an

annual written report to Congress on the results of such review and

analysis.

-SOURCE-

(Pub. L. 102-182, title II, Sec. 207, Dec. 4, 1991, 105 Stat.

1244.)

-CITE-

19 USC Sec. 3206 01/06/03

-EXPCITE-

TITLE 19 - CUSTOMS DUTIES

CHAPTER 20 - ANDEAN TRADE PREFERENCE

-HEAD-

Sec. 3206. Termination of preferential treatment

-STATUTE-

No duty-free treatment or other preferential treatment extended

to beneficiary countries under this chapter shall remain in effect

after December 31, 2006.

-SOURCE-

(Pub. L. 102-182, title II, Sec. 208, Dec. 4, 1991, 105 Stat. 1244;

Pub. L. 107-210, div. C, title XXXI, Sec. 3104(a), Aug. 6, 2002,

116 Stat. 1034.)

-MISC1-

AMENDMENTS

2002 - Pub. L. 107-210 substituted ''Termination of preferential

treatment'' for ''Effective date and termination of duty-free

treatment'' in section catchline and amended text generally,

substituting provisions establishing a termination date of Dec. 31,

2006, for preferential treatment under this chapter for provisions

designated subsecs. (a) and (b) establishing an effective date of

Dec. 4, 1991, for this chapter and a termination date 10 years

later for duty-free treatment under this chapter.

RETROACTIVE APPLICATION FOR CERTAIN LIQUIDATIONS AND RELIQUIDATIONS

Pub. L. 107-210, div. C, title XXXI, Sec. 3104(b), Aug. 6, 2002,

116 Stat. 1034, provided that:

''(1) In general. - Notwithstanding section 514 of the Tariff Act

of 1930 (19 U.S.C. 1514) or any other provision of law, and subject

to paragraph (3), the entry -

''(A) of any article to which duty-free treatment (or

preferential treatment) under the Andean Trade Preference Act (19

U.S.C. 3201 et seq.) would have applied if the entry had been

made on December 4, 2001, and

''(B) that was made after December 4, 2001, and before the date

of the enactment of this Act (Aug. 6, 2002),

shall be liquidated or reliquidated as if such duty-free treatment

(or preferential treatment) applied, and the Secretary of the

Treasury shall refund any duty paid with respect to such entry.

''(2) Entry. - As used in this subsection, the term 'entry'

includes a withdrawal from warehouse for consumption.

''(3) Requests. - Liquidation or reliquidation may be made under

paragraph (1) with respect to an entry only if a request therefor

is filed with the Customs Service, within 180 days after the date

of the enactment of this Act, that contains sufficient information

to enable the Customs Service -

''(A) to locate the entry; or

''(B) to reconstruct the entry if it cannot be located.''

(For transfer of functions, personnel, assets, and liabilities of

the United States Customs Service of the Department of the

Treasury, including functions of the Secretary of the Treasury

relating thereto, to the Secretary of Homeland Security, and for

treatment of related references, see sections 203(1), 551(d),

552(d), and 557 of Title 6, Domestic Security, and the Department

of Homeland Security Reorganization Plan of November 25, 2002, as

modified, set out as a note under section 542 of Title 6.)

-CITE-