H.R. 5090 (100th): United States-Canada Free-Trade Agreement Implementation Act of 1988

Introduced:
Jul 26, 1988 (100th Congress, 1987–1988)
Status:
Signed by the President
Slip Law:
This bill became Pub.L. 100-449.
Sponsor
Thomas Foley
Representative for Washington's 5th congressional district
Party
Democrat
Text
Read Text »
Last Updated
Sep 28, 1988
Length
Related Bills
S. 2651 (identical)

Reported by Committee
Last Action: Aug 09, 1988

 
Status

This bill was enacted after being signed by the President on September 28, 1988.

Progress
Introduced Jul 26, 1988
Referred to Committee Jul 26, 1988
Reported by Committee Aug 02, 1988
Passed House Aug 09, 1988
Passed Senate Sep 19, 1988
Signed by the President Sep 28, 1988
 
 
Primary Source

THOMAS.gov (The Library of Congress)

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Notes

H.R. stands for House of Representatives bill.

A bill must be passed by both the House and Senate in identical form and then be signed by the president to become law.

GovTrack’s Bill Summary

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Library of Congress Summary

The summary below was written by the Congressional Research Service, which is a nonpartisan division of the Library of Congress.


7/26/1988--Introduced.
United States-Canada Free-Trade Agreement Implementation Act of 1988 -
Title I - Approval of United States-Canada Free-Trade Agreement and Relationship of Agreement to United States
Declares that the Congress approves the U.S.-Canada Free-Trade Agreement (Agreement). Sets forth provisions regarding the Agreement and conflicts with U.S., State, and local laws.
Requires the United States Trade Representative (USTR), within 60 days after enactment of this Act (but not later than December 15, 1988), to submit to the Congress a report identifying major current Canadian practices that, in the opinion of the USTR:
(1) are not in conformity with the Agreement; and
(2) require a change of Canadian law or practice to enable it to conform with its obligations under the Agreement. Sets forth provisions with respect to the implementation of the Agreement.
Title II - Tariff Modifications, Rules of Origin, User Fees, Drawback, Enforcement, and Other Customs Provisions
Authorizes the President to proclaim such modifications, or continuance of existing duties, existing duty-free or excise treatment, or such additional duties as he determines to be necessary to carry out the Agreement. Sets forth provisions relating to other modifications, including those affecting plywood and automotive products.
Sets forth rules with respect to the tariff treatment of goods originating in the territory of a party to the Agreement. Amends the Consolidated Omnibus Reconciliation Act of 1985 to require fees charged for the provision of customs services with respect to Canadian goods to be in accordance with a specified article of the Agreement. Prohibits any service that has been exempted from such fee from being funded with money from the Customs User Fee Account. Prohibits any drawback from being paid with respect to countervailing or antidumping duties imposed on drawback eligible goods.
Amends the Tariff Act of 1930 to set forth provisions with respect to drawback eligible goods as they relate to:
(1) articles manufactured in bonded warehouses;
(2) metal-bearing materials that are manufactured in bonded smelting and refining warehouses;
(3) not constituting an exportation;
(4) manipulation (cleaning, sorting, repacking) of merchandise; and
(5) foreign trade zones.
Requires any person that certifies in writing that goods exported to Canada meet the rules of origin under the Act to provide a copy of such certification upon request by a customs official.
Sets forth a penalty for failure to provide a copy of or to falsify such certification.
Requires any person who exports, or knowingly causes to be exported, any merchandise to Canada to make, keep, and render for examination and inspection such records, including certifications of origin, which pertain to such exportations.
Sets forth penalties.
Exempts any lottery ticket, printed paper used as a lottery ticket, or advertisement of any lottery ticket that is printed in Canada for use in connection with a U.S. lottery from provisions prohibiting the importation of immoral materials.
Requires the United States Trade Representative (USTR) to:
(1) study whether any of the production-based duty remission programs of Canada with respect to automotive products is either inconsistent with the provisions of, or denies the United States benefits under, the General Agreement on Tariffs and Trade (GATT), or is being implemented inconsistently with the Agreement not to expand the application or duration of such programs; and
(2) determine whether to initiate an investigation to determine whether to enforce U.S. rights under trade agreements or respond to certain unfair trade practices with respect to such production-based duty remission programs.
Requires the USTR to submit a report to the Congress no later than June 30, 1989, or no later than September 30, 1989, if he considers an extension necessary.
Title III - Application of Agreement to Sectors and Services
Authorizes the Secretary of Agriculture to recommend to the President the imposition of a temporary duty on Canadian fresh fruits or vegetables imported into the United States if he determines that specified conditions exist.
Requires the Secretary when determining whether to recommend the imposition of such duty to consider whether such conditions have led to a distortion in trade between the United States and Canada with respect to such fruits or vegetables and, if so, whether such imposition would correct the distortion.
Requires the President, not later than seven days after receipt of a recommendation, and after taking into account the national economic interests of the United States, to determine whether to impose such duty.
Amends the Meat Import Act of 1979 to exclude Canadian goat and sheep meat and beef and veal from the term "meat articles." Increases the number of meat articles that may be imported into the United States. Sets forth an annual limit on imported meat articles from Canada. Authorizes the President, if specified conditions exist, to limit the amount of Canadian meat articles imported into the United States. Amends the Agricultural Adjustment Act to authorize the President, pursuant to specified articles of the Agreement, to exempt Canadian agricultural products from any import restriction imposed under this Act. Amends the Virus-Serum-Toxin Act to prohibit the importation of any virus, serum, toxin, or analogous products for use in the treatment of domestic animals, and the importation of any worthless, contaminated, dangerous, or harmful virus, serum, toxin, or analogous product for such use without a permit from the Secretary of Agriculture or, in lieu of such permit, such certification by Canada as may be prescribed by the Secretary. Amends the Federal Seed Act to provide that provisions of this Act requiring certain seeds to be stained shall not apply to Canadian alfalfa or clover seed imported into the United States. Amends the Federal Plant Pest Act to prohibit any person from moving any plant pest from Canada into or through the United States or accept delivery of such pest unless such movement is made in accordance with regulations promulgated by the Secretary to prevent the dissemination of such pest into the United States. Makes it unlawful for any letter, parcel, box, or other package from Canada containing any plant pest to be conveyed in the mail or delivered from any post office or by any mail carrier except in accordance with regulations prescribed by the Secretary. Amends the Nursery Stock Quarantine Act to authorize the Secretary of Agriculture to waive the permit requirement for nursery stock imported from Canada. Exempts such stock from certain notification requirements.
Amends the Federal Noxious Weed Act to prohibit any person from knowingly moving any noxious weed into or through the United States or interstate unless such movement:
(1) is from Canada, or is authorized under a permit from the Secretary of Agriculture; and
(2) is made in accordance with such conditions as the Secretary may prescribe in such permit and regulations to prevent the dissemination of noxious weeds into the United States or interstate.
Amends the Tariff Act of 1930 to authorize the Secretary of Agriculture to permit the importation of cattle, sheep, or other ruminants, or swine (including embryos) or fresh, chilled, or frozen meat of such animals from a Canadian region where rinderpest or foot-and-mouth disease exists if:
(1) the United States and Canada have entered into an agreement that delineates criteria for recognizing that a geographical region of either country is free from rinderpest or foot-and-mouth disease; and
(2) the appropriate official of the Canadian government certifies that the Canadian region from which the animal or meat originated is free from such diseases.
Permits an entity, including a trade association, firm, certified or recognized union, or group of workers which is representative of an industry, to file with the International Trade Commission (ITC) a petition requesting adjustment to U.S. obligations under the Agreement. Requires the ITC, upon the filing of the petition, to initiate an investigation to determine whether, as a result of a reduction or elimination of a duty provided for under the Agreement, a Canadian article is being imported into the United States in such increased quantities so that such imports constitute a substantial cause of serious injury to the domestic industry producing a similar or directly competitive article.
Requires the ITC, if it makes an affirmative determination with respect to such article, to recommend to the President the amount of import relief that is necessary to remedy such injury.
Requires the ITC, by no later than 30 days after such determination is made with respect to an investigation, to submit to the President a report on the determination and its basis.
Requires the President, no later than 30 days after he receives the ITC's report containing an affirmative determination, to provide relief from Canadian imports that are the subject of such determination for a period of up to three years.
Declares that the President is not required to provide such relief if he determines that it is not in the national economic interest.
Sets forth the type of relief that the President is authorized to provide with respect to such imports.
Requires the ITC, if during an import relief investigation it determines that an article is being imported in such increased quantities as to be a substantial cause or threat of serious injury to a domestic industry, also to find, and report to the President, whether imports from Canada of the article under investigation are substantial and are contributing to such injury or threat.
Provides that if the President excludes imports from Canada from any import relief action, then any entity, including a trade association, firm, certified or recognized union, or group of workers that is representative of an industry for which such action is being taken may request the ITC to conduct an investigation of such Canadian imports.
Requires the USTR, with respect to any act, policy, or practice of Canada that is identified in the annual national trade estimates as a barrier to, or distortion of, U.S. goods, services, or foreign investment, to include:
(1) information on the action taken regarding such act, policy, or practice; or
(2) the reasons that no action was taken regarding such act, policy, or practice.
Authorizes the President to enter into negotiations with Canada to conclude an agreement (including an agreement to amend the Agreement) to:
(1) revise trade in services and investment rules;
(2) improve the protection of intellectual property rights;
(3) increase the value requirement applied for determining whether an automotive product is treated as originating in Canada or the United States; and
(4) revise government procurement practices, particularly with regard to telecommunications.
Requires the President, as an exercise of his foreign relations powers under the Constitution, to enter into consultations with Canada to obtain exclusion from the transport rates established under Canada's Western Grain Transportation Act of agricultural goods that are from Canada and are shipped via east coast ports for consumption in the United States. Sets forth U.S. negotiating objectives with Canada with respect to:
(1) trade in services;
(2) foreign investment;
(3) the protection of intellectual property rights;
(4) automotive products; and
(5) limitation on potato trade.
Requires the President, within 30 days of the application by Canada of export controls on unprocessed fish under statutes exempted from the Agreement, or the application of landing requirements for fish caught in Canadian waters, to take appropriate action to enforce U.S. rights under the GATT retained under the Agreement. Amends the Export Administration Act of 1979 to permit the export to Canada of Alaskan-produced crude oil.
Requires that ocean transportation of such oil be by vessels documented under Federal statute.
Amends the Atomic Energy Act of 1954 to exclude source or special nuclear material originating in Canada from the proscription against the production or enrichment by the Nuclear Regulatory Commission of foreign uranium intended for use in a facility under Federal jurisdiction.
Amends the Trade Agreements Act of 1979 to include within the definition of "eligible product" a product or service of Canada having a contract value of $25,000 or more that would be covered for procurement by the United States under the GATT Agreement on Government Procurement, but for the SDR threshold provided for in such Agreement. Declares, upon the basis of reciprocity secured under the Agreement, that any Canadian citizen and accompanying spouse and children may, if otherwise eligible for a visa and admissible into the United States, be considered to be classifiable as nonimmigrants under the Immigration and Nationality Act if entering solely for the purpose specified in the Agreement. Amends the Immigration and Nationality Act to provide that an alien who is a citizen of Canada and seeks to enter the United States pursuant to the Agreement to engage in business activities at a professional level may be admitted for such purpose under regulations promulgated by the Attorney General. Amends the Revised Statutes to authorize a national banking association to deal in, underwrite, and purchase for such association's own account qualified Canadian Government obligations to the same extent that such association may deal in, underwrite, and purchase U.S. obligations.
Provides that nothing in this Act shall preclude any negotiation between the United States and Canada in order to conclude voluntary restraint agreements or mutually agreed quantitative restrictions on the volume of steel products entering the United States from Canada.
Title IV - Binational Panel Dispute Settlement in Antidumping and Countervailing Duty Cases
Amends the Tariff Act of 1930 to set forth time limitations with respect to the commencement of countervailing and antidumping duty actions involving imported Canadian merchandise.
Sets forth provisions relating to binational panel review and judicial review of such actions.
Requires the administering authority or the ITC, whenever a determination is referred to a binational panel or extraordinary challenge committee and such panel or committee remands the determination to such administering authority or ITC, to take action not inconsistent with the panel's or committee's decision.
Prohibits the Court of International Trade or any U.S. court from ordering declaratory relief in civil actions involving an antidumping or countervailing duty proceeding regarding a class or kind of Canadian merchandise.
Grants the Court of International Trade exclusive jurisdiction over civil actions against Canada that involve antidumping and countervailing duty cases and are commenced by the United States to enforce administrative sanctions levied for violation of a protective order.
Provides that any amendments to the antidumping and countervailing duty laws that are enacted after the Agreement shall apply to Canada only to the extent specified in such amendment.
Establishes within the interagency organization established under the Trade Expansion Act of 1962 an interagency group which shall be chaired by the USTR and consist of such U.S. officers as the USTR considers appropriate.
Requires the interagency group to prepare by January 3 of each year a list of qualified individuals to serve as members of the binational panels and the extraordinary challenge committees authorized under the Agreement. Requires the USTR to submit by specified dates to the Senate Committee on Finance and the House Committee on Ways and Means preliminary and final candidate lists of eligible individuals to serve on such panels and committees.
Authorizes the President to establish within any Federal agency a United States Secretariat which, subject to the oversight of the interagency group, shall facilitate:
(1) the operation of specified chapters of the Agreement; and
(2) the work of the binational panels and the extraordinary challenge committees.
Declares that the United States Secretariat shall not be considered to be a Federal agency.
Authorizes appropriations for the United States Secretariat, the panels, and committees.
Sets forth provisions relating to the giving of testimony and the production of documents before the extraordinary challenge committees.
Sets forth provisions regarding requests by the United States and persons for review of final antidumping and countervailing duty determinations by binational panels.
Authorizes the President to enter into an agreement with Canada, including an agreement to amend the Agreement, on rules applicable to trade between the United States and Canada that:
(1) deal with unfair pricing and government subsidies; and
(2) provide for increased discipline on subsidies.
Sets forth the negotiating objectives of such an agreement.
Requires the interagency group to:
(1) consult with the Senate Committee on Finance and the House Committee on Ways and Means, and specified advisory committees, regarding the issues being considered by such group, and U.S. objectives and strategy in such negotiations; and
(2) beginning in January 1990, submit an annual report to such congressional committees on progress in such negotiations to achieve increased discipline on Canadian subsidies that have an impact on trade between the two countries.
Allows an entity, including a trade association, firm, certified or recognized union, or group of workers that is respresentative of a U.S. industry, to file a petition with the USTR whenever it has reason to believe that:
(1) as a result of the Agreement's implementation, the industry is likely to face increased competition from subsidized Canadian imports with which it directly competes, or from subsidized imports with which it directly competes from any other country benefiting from a reduction of trade barriers under a trade agreement effective after January 1, 1989; and
(2) the industry is likely to experience a deterioration of its competitive position before rules and disciplines relating to the use of government subsidies have been developed with respect to such country.
Requires the USTR and the Secretary of Commerce to review trade information regarding subsidized imports and consult with the affected industry with a view toward deciding whether any action to enforce U.S. rights under a trade agreement or to respond to a foreign country's unfair trade practice is appropriate.
Requires the President to submit to the Congress a report on why continued adherence to the Agreement is in the national economic interest if:
(1) no agreement is entered into between the United States and Canada on a substitute system of rules for antidumping and countervailing duties within seven years after the Agreement takes effect; and
(2) the President decides not to exercise U.S. rights to terminate such Agreement.
Title V - Effective Dates and Severability
Sets forth the effective dates of the Agreement.

House Republican Conference Summary

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