[Congressional Record Volume 165, Number 206 (Thursday, December 19, 2019)]
[House]
[Pages H12221-H12269]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
UNITED STATES-MEXICO-CANADA AGREEMENT IMPLEMENTATION ACT
Mr. HOYER. Madam Speaker, pursuant to the order of the House of
December 16, 2019, I call up the bill (H.R. 5430) to implement the
Agreement between the United States of America, the United Mexican
States, and Canada attached as an Annex to the Protocol Replacing the
North American Free Trade Agreement, and ask for its immediate
consideration.
The Clerk read the title of the bill.
The SPEAKER pro tempore (Ms. Torres Small of New Mexico). Pursuant to
the order of the House of December 16, 2019, the bill is considered
read.
The text of the bill is as follows:
H.R. 5430
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``United
States-Mexico-Canada Agreement Implementation Act''.
(b) Table of Contents.--The table of contents for this Act
is as follows:
*ERR08*Sec. 1. Short title; table of contents.
Sec. 2. Purpose.
Sec. 3. Definitions.
TITLE I--APPROVAL OF, AND GENERAL PROVISIONS RELATING TO, THE USMCA
Sec. 101. Approval and entry into force of the USMCA.
Sec. 102. Relationship of the USMCA to United States and State law.
Sec. 103. Implementing actions in anticipation of entry into force;
initial regulations; tariff proclamation authority.
Sec. 104. Consultation and layover provisions for, and effective date
of, proclaimed actions.
Sec. 105. Administration of dispute settlement proceedings.
Sec. 106. Trade Representative authority.
Sec. 107. Effective date.
TITLE II--CUSTOMS PROVISIONS
Sec. 201. Exclusion of originating goods of USMCA countries from
special agriculture safeguard authority.
Sec. 202. Rules of origin.
Sec. 202A. Special rules for automotive goods.
Sec. 203. Merchandise processing fee.
Sec. 204. Disclosure of incorrect information; false certifications of
origin; denial of preferential tariff treatment.
Sec. 205. Reliquidation of entries.
Sec. 206. Recordkeeping requirements.
Sec. 207. Actions regarding verification of claims under the USMCA.
Sec. 208. Drawback [reserved].
Sec. 209. Other amendments to the Tariff Act of 1930.
Sec. 210. Regulations.
TITLE III--APPLICATION OF USMCA TO SECTORS AND SERVICES
Subtitle A--Relief From Injury Caused by Import Competition [reserved]
Subtitle B--Temporary Entry of Business Persons [reserved]
Subtitle C--United States-Mexico Cross-border Long-haul Trucking
Services
Sec. 321. Definitions.
Sec. 322. Investigations and determinations by Commission.
Sec. 323. Commission recommendations and report.
Sec. 324. Action by President with respect to affirmative
determination.
Sec. 325. Confidential business information.
Sec. 326. Conforming amendments.
Sec. 327. Survey of operating authorities.
TITLE IV--ANTIDUMPING AND COUNTERVAILING DUTIES
Subtitle A--Preventing Duty Evasion
Sec. 401. Cooperation on duty evasion.
Subtitle B--Dispute Settlement [reserved]
Subtitle C--Conforming Amendments
Sec. 421. Judicial review in antidumping duty and countervailing duty
cases.
Sec. 422. Conforming amendments to other provisions of the Tariff Act
of 1930.
Sec. 423. Conforming amendments to title 28, United States Code.
Subtitle D--General Provisions
Sec. 431. Effect of termination of USMCA country status.
Sec. 432. Effective date.
TITLE V--TRANSFER PROVISIONS AND OTHER AMENDMENTS
Sec. 501. Drawback.
Sec. 502. Relief from injury caused by import competition.
[[Page H12222]]
Sec. 503. Temporary entry.
Sec. 504. Dispute settlement in antidumping and countervailing duty
cases.
Sec. 505. Government procurement.
Sec. 506. Actions affecting United States cultural industries.
Sec. 507. Regulatory treatment of uranium purchases.
Sec. 508. Report on amendments to existing law.
TITLE VI--TRANSITION TO AND EXTENSION OF USMCA
Subtitle A--Transitional Provisions
Sec. 601. Repeal of North American Free Trade Agreement Implementation
Act.
Sec. 602. Continued suspension of the United States-Canada Free-Trade
Agreement.
Subtitle B--Joint Reviews Regarding Extension of USMCA
Sec. 611. Participation in joint reviews with Canada and Mexico
regarding extension of the term of the USMCA and other
action regarding the USMCA.
Subtitle C--Termination of USMCA
Sec. 621. Termination of USMCA.
TITLE VII--LABOR MONITORING AND ENFORCEMENT
Sec. 701. Definitions.
Subtitle A--Interagency Labor Committee for Monitoring and Enforcement
Sec. 711. Interagency labor committee for monitoring and enforcement.
Sec. 712. Duties.
Sec. 713. Enforcement priorities.
Sec. 714. Assessments.
Sec. 715. Recommendation for enforcement action.
Sec. 716. Petition process.
Sec. 717. Hotline.
Sec. 718. Reports.
Sec. 719. Consultations on appointment and funding of rapid response
labor panelists.
Subtitle B--Mexico Labor Attaches
Sec. 721. Establishment.
Sec. 722. Duties.
Sec. 723. Status.
Subtitle C--Independent Mexico Labor Expert Board
Sec. 731. Establishment.
Sec. 732. Membership; term.
Sec. 733. Funding.
Sec. 734. Reports.
Subtitle D--Forced Labor
Sec. 741. Forced labor enforcement task force.
Sec. 742. Timeline required.
Sec. 743. Reports required.
Sec. 744. Duties related to Mexico.
Subtitle E--Enforcement Under Rapid Response Labor Mechanism
Sec. 751. Transmission of reports.
Sec. 752. Suspension of liquidation.
Sec. 753. Final remedies.
TITLE VIII--ENVIRONMENT MONITORING AND ENFORCEMENT
Sec. 801. Definitions.
Subtitle A--Interagency Environment Committee for Monitoring and
Enforcement
Sec. 811. Establishment.
Sec. 812. Assessment.
Sec. 813. Monitoring actions.
Sec. 814. Enforcement actions.
Sec. 815. Other monitoring and enforcement actions.
Sec. 816. Report to Congress.
Sec. 817. Regulations.
Subtitle B--Other Matters
Sec. 821. Border water infrastructure improvement authority.
Sec. 822. Detail of personnel to Office of the United States Trade
Representative.
Subtitle C--North American Development Bank
Sec. 831. General capital increase.
Sec. 832. Policy goals.
Sec. 833. Efficiencies and streamlining.
Sec. 834. Performance measures.
TITLE IX--USMCA SUPPLEMENTAL APPROPRIATIONS ACT, 2019
=========================== NOTE ===========================
December 19, 2019, on page H12222, ``*ERR08*'' inadvertently
appeared at one place.
The online version has been corrected to delete the inadvertent
text.
========================= END NOTE =========================
SEC. 2. PURPOSE.
The purpose of this Act is to approve and implement the
Agreement between the United States of America, the United
Mexican States, and Canada entered into under the authority
of section 103(b) of the Bipartisan Congressional Trade
Priorities and Accountability Act of 2015 (19 U.S.C.
4202(b)).
SEC. 3. DEFINITIONS.
In this Act:
(1) Appropriate congressional committees.--The term
``appropriate congressional committees'' means the Committee
on Finance of the Senate and the Committee on Ways and Means
of the House of Representatives.
(2) HTS.--The term ``HTS'' means the Harmonized Tariff
Schedule of the United States.
(3) Identical goods.--The term ``identical goods'' means
goods that are the same in all respects relevant to the rule
of origin that qualifies the goods as originating goods.
(4) International trade commission.--The term
``International Trade Commission'' means the United States
International Trade Commission.
(5) Mexico.--The term ``Mexico'' means the United Mexican
States.
(6) NAFTA.--The term ``NAFTA'' means the North American
Free Trade Agreement approved by Congress under section
101(a)(1) of the North American Free Trade Agreement
Implementation Act (19 U.S.C. 3311(a)(1)).
(7) Preferential tariff treatment.--The term ``preferential
tariff treatment'' means the customs duty rate that is
applicable to an originating good (as defined in section
202(a)) under the USMCA.
(8) Trade representative.--The term ``Trade
Representative'' means the United States Trade
Representative.
(9) USMCA.--The term ``USMCA'' means the Agreement between
the United States of America, the United Mexican States, and
Canada, which is--
(A) attached as an Annex to the Protocol Replacing the
North American Free Trade Agreement with the Agreement
between the United States of America, the United Mexican
States, and Canada, done at Buenos Aires on November 30,
2018, as amended by the Protocol of Amendment to the
Agreement Between the United States of America, the United
Mexican States, and Canada, done at Mexico City on December
10, 2019; and
(B) approved by Congress under section 101(a)(1).
(10) USMCA country.--Except as otherwise provided, the term
``USMCA country'' means--
(A) Canada for such time as the USMCA is in force with
respect to, and the United States applies the USMCA to,
Canada; and
(B) Mexico for such time as the USMCA is in force with
respect to, and the United States applies the USMCA to,
Mexico.
TITLE I--APPROVAL OF, AND GENERAL PROVISIONS RELATING TO, THE USMCA
SEC. 101. APPROVAL AND ENTRY INTO FORCE OF THE USMCA.
(a) Approval of USMCA and Statement of Administrative
Action.--Pursuant to section 106 of the Bipartisan
Congressional Trade Priorities and Accountability Act of 2015
(19 U.S.C. 4205) and section 151 of the Trade Act of 1974 (19
U.S.C. 2191), Congress approves--
(1) the Protocol Replacing the North American Free Trade
Agreement with the Agreement between the United States of
America, the United Mexican States, and Canada, done at
Buenos Aires on November 30, 2018, as submitted to Congress
on December 13, 2019;
(2) the Agreement between the United States of America, the
United Mexican States, and Canada, attached as an Annex to
the Protocol, as amended by the Protocol of Amendment to the
Agreement between the United States of America, the United
Mexican States, and Canada, done at Mexico City on December
10, 2019, as submitted to Congress on December 13, 2019; and
(3) the statement of administrative action proposed to
implement that Agreement, as submitted to Congress on
December 13, 2019.
(b) Conditions for Entry Into Force of the Agreement.--The
President is authorized to provide for the USMCA to enter
into force with respect to Canada and Mexico not earlier than
30 days after the date on which the President submits to
Congress the written notice required by section 106(a)(1)(G)
of the Bipartisan Congressional Trade Priorities and
Accountability Act of 2015 (19 U.S.C. 4205(a)(1)(G)), which
shall include the date on which the USMCA will enter into
force.
SEC. 102. RELATIONSHIP OF THE USMCA TO UNITED STATES AND
STATE LAW.
(a) Relationship of USMCA to United States Law.--
(1) United states law to prevail in conflict.--No provision
of the USMCA, nor the application of any such provision to
any person or circumstance, which is inconsistent with any
law of the United States, shall have effect.
(2) Construction.--Nothing in this Act shall be construed--
(A) to amend or modify any law of the United States, or
(B) to limit any authority conferred under any law of the
United States,
unless specifically provided for in this Act.
(b) Relationship of USMCA to State Law.--
(1) Legal challenge.--No State law, or the application
thereof, may be declared invalid as to any person or
circumstance on the ground that the provision or application
is inconsistent with the USMCA, except in an action brought
by the United States for the purpose of declaring such law or
application invalid.
(2) Definition of state law.--For purposes of this
subsection, the term ``State law'' includes--
(A) any law of a political subdivision of a State; and
(B) any State law regulating or taxing the business of
insurance.
(c) Effect of USMCA With Respect to Private Remedies.--No
person other than the United States--
(1) shall have any cause of action or defense under the
USMCA or by virtue of congressional approval thereof; or
(2) may challenge, in any action brought under any
provision of law, any action or inaction by any department,
agency, or other instrumentality of the United States, any
State, or any political subdivision of a State, on the ground
that such action or inaction is inconsistent with the USMCA.
SEC. 103. IMPLEMENTING ACTIONS IN ANTICIPATION OF ENTRY INTO
FORCE; INITIAL REGULATIONS; TARIFF PROCLAMATION
AUTHORITY.
(a) Implementing Actions.--
(1) Proclamation authority.--After the date of the
enactment of this Act--
[[Page H12223]]
(A) the President may proclaim such actions, and
(B) other appropriate officers of the United States
Government may prescribe such regulations,
as may be necessary to ensure that any provision of this Act,
or amendment made by this Act, that takes effect on the date
on which the USMCA enters into force is appropriately
implemented on such date, but no such proclamation or
regulation may have an effective date earlier than the date
on which the USMCA enters into force.
(2) Effective date of certain proclaimed actions.--Any
action proclaimed by the President under the authority of
this Act that is not subject to the consultation and layover
provisions under section 104 may not take effect before the
15th day after the date on which the text of the proclamation
is published in the Federal Register.
(3) Waiver of 15-day restriction.--The 15-day restriction
contained in paragraph (2) on the taking effect of proclaimed
actions is waived to the extent that the application of such
restriction would prevent the taking effect on the date on
which the USMCA enters into force of any action proclaimed
under this section.
(b) Initial Regulations.--
(1) In general.--Except as provided by paragraph (2) or
(3), initial regulations necessary or appropriate to carry
out the actions required by or authorized under this Act or
proposed in the statement of administrative action approved
under section 101(a)(2) to implement the USMCA shall, to the
maximum extent feasible, be prescribed within 1 year after
the date on which the USMCA enters into force.
(2) Uniform regulations.--Interim or initial regulations to
implement the Uniform Regulations regarding rules of origin
provided for under article 5.16 of the USMCA shall be
prescribed not later than the date on which the USMCA enters
into force.
(3) Implementing actions with effective dates after entry
into force.--In the case of any implementing action that
takes effect on a date after the date on which the USMCA
enters into force, initial regulations to carry out that
action shall, to the maximum extent feasible, be prescribed
within 1 year after such effective date.
(c) Tariff Modifications.--
(1) Tariff modifications provided for in the usmca.--The
President may proclaim--
(A) such modifications or continuation of any duty,
(B) such continuation of duty-free or excise treatment, or
(C) such additional duties,
as the President determines to be necessary or appropriate to
carry out or apply articles 2.4, 2.5, 2.7, 2.8, 2.9, 2.10,
6.2, and 6.3, the Schedule of the United States to Annex 2-B,
including the appendices to that Annex, Annex 2-C, and Annex
6-A, of the USMCA.
(2) Other tariff modifications.--Subject to the
consultation and layover provisions of section 104, the
President may proclaim--
(A) such modifications or continuation of any duty,
(B) such modifications as the United States may agree to
with a USMCA country regarding the staging of any duty
treatment set forth in the Schedule of the United States to
Annex 2-B of the USMCA, including the appendices to that
Annex,
(C) such continuation of duty-free or excise treatment, or
(D) such additional duties,
as the President determines to be necessary or appropriate to
maintain the general level of reciprocal and mutually
advantageous concessions with respect to a USMCA country
provided for by the USMCA.
(3) Conversion to ad valorem rates.--For purposes of
paragraphs (1) and (2), with respect to any good for which
the base rate in the Schedule of the United States to Annex
2-B of the USMCA is a specific or compound rate of duty, the
President shall substitute for the base rate an ad valorem
rate that the President determines to be equivalent to the
base rate.
(4) Tariff-rate quotas.--In implementing the tariff-rate
quotas set forth in the Schedule of the United States to
Annex 2-B of the USMCA, the President shall take such actions
as may be necessary to ensure that imports of agricultural
goods do not disrupt the orderly marketing of agricultural
goods in the United States.
(5) Presidential proclamation authority relating to rules
of origin.--
(A) In general.--The President may proclaim, as part of the
HTS--
(i) the provisions set forth in Annex 4-B of the USMCA;
(ii) the provisions set forth in paragraph 2 of article
3.A.6 of Annex 3-A of the USMCA;
(iii) the provisions set forth in paragraph 5 of Annex 3-B
of the USMCA;
(iv) the provisions set forth in paragraphs 14(b), 14(c),
and 15(e) of Section B of Appendix 2 to Annex 2-B of the
USMCA; and
(v) any additional subordinate category that is necessary
to carry out section 202 and section 202A consistent with the
USMCA.
(B) Modifications.--
(i) In general.--Subject to the consultation and layover
provisions of section 104, the President may proclaim
modifications to the provisions proclaimed under the
authority of subparagraph (A), other than the provisions of
chapters 50 through 63 of the USMCA.
(ii) Special rule for textiles.--Notwithstanding clause
(i), and subject to the consultation and layover provisions
of section 104, the President may proclaim--
(I) such modifications to the provisions proclaimed under
the authority of subparagraph (A) as are necessary to
implement an agreement with one or more USMCA countries
pursuant to article 6.4 of the USMCA; and
(II) before the end of the 1-year period beginning on the
date on which the USMCA enters into force, modifications to
correct any typographical, clerical, or other nonsubstantive
technical error regarding the provisions of chapters 50
through 63 of the USMCA.
SEC. 104. CONSULTATION AND LAYOVER PROVISIONS FOR, AND
EFFECTIVE DATE OF, PROCLAIMED ACTIONS.
If a provision of this Act provides that the implementation
of an action by the President by proclamation is subject to
the consultation and layover requirements of this section,
that action may be proclaimed only if--
(1) the President has obtained advice regarding the
proposed action from--
(A) the appropriate advisory committees established under
section 135 of the Trade Act of 1974 (19 U.S.C. 2155); and
(B) the International Trade Commission, which shall hold a
public hearing on the proposed action before providing advice
regarding the proposed action;
(2) the President has submitted to the Committee on Finance
of the Senate and the Committee on Ways and Means of the
House of Representatives a report that sets forth--
(A) the proposed action and the reasons therefor; and
(B) the advice obtained under paragraph (1);
(3) a period of 60 calendar days, beginning on the first
day on which the requirements set forth in paragraphs (1) and
(2) have been met, has expired; and
(4) the President has consulted with the committees
referred to in paragraph (2) regarding the proposed action
during the period referred to in paragraph (3).
SEC. 105. ADMINISTRATION OF DISPUTE SETTLEMENT PROCEEDINGS.
(a) United States Section of Secretariat.--
(1) Establishment or designation of office.--The President
is authorized to establish or designate within the Department
of Commerce an office to serve as the United States Section
of the Secretariat established under article 30.6 of the
USMCA.
(2) Functions and administrative assistance.--The office
established or designated under paragraph (1), subject to the
oversight of the interagency group established under section
411(c)(2), shall--
(A) carry out its functions within the Secretariat to
facilitate the operation of the USMCA, including the
operation of section D of chapter 10 and chapter 31 of the
USMCA; and
(B) provide administrative assistance to--
(i) panels established under chapter 31 of the USMCA,
including under Annex 31-A (relating to the Facility-Specific
Rapid Response Labor Mechanism);
(ii) technical advisers and experts provided for under
chapter 31 of the USMCA;
(iii) binational panels and extraordinary challenge
committees established under section D of chapter 10 of the
USMCA; and
(iv) binational panels and extraordinary challenge
committees established under NAFTA for matters covered by
article 34.1 of the USMCA (relating to transition from
NAFTA).
(3) Treatment of office under freedom of information act.--
The office established or designated under paragraph (1)
shall not be considered an agency for purposes of section 552
of title 5, United States Code.
(b) Authorization of Appropriations.--There are authorized
to be appropriated for each fiscal year after fiscal year
2020 to the Department of Commerce $2,000,000 for--
(1) the operations of the office established or designated
under subsection (a)(1); and
(2) the payment of the United States share of the expenses
of--
(A) panels established under chapter 31 of the USMCA,
including under Annex 31-A (relating to the Facility-Specific
Rapid Response Labor Mechanism);
(B) binational panels and extraordinary challenge
committees established under section D of chapter 10 of the
USMCA; and
(C) binational panels and extraordinary challenge
committees established under NAFTA for matters covered by
article 34.1 of the USMCA (relating to transition from
NAFTA).
(c) Reimbursement of Certain Expenses.--If the Canadian
Section or the Mexican Section of the Secretariat provides
funds to the United States Section during any fiscal year as
reimbursement for expenses in connection with dispute
settlement proceedings under section D of chapter 10 or
chapter 31 of the USMCA, or under chapter 19 of NAFTA, the
United States Section may, notwithstanding section 3302 of
title 31, United States Code, retain and use such funds to
carry out the functions described in subsection (a)(2).
SEC. 106. TRADE REPRESENTATIVE AUTHORITY.
If a country (other than the United States) that has signed
the USMCA does not enact implementing legislation, the Trade
Representative is authorized to enter into negotiations with
the other country that has signed the USMCA to consider how
the applicable provisions of the USMCA can come into force
with respect to the United States and that other country as
promptly as possible.
[[Page H12224]]
SEC. 107. EFFECTIVE DATE.
(a) In General.--Sections 1 through 3 and this title (other
than section 103(c)) shall take effect on the date of the
enactment of this Act.
(b) Proclamation Authority.--Section 103(c) shall take
effect on the date on which the USMCA enters into force.
TITLE II--CUSTOMS PROVISIONS
SEC. 201. EXCLUSION OF ORIGINATING GOODS OF USMCA COUNTRIES
FROM SPECIAL AGRICULTURE SAFEGUARD AUTHORITY.
(a) In General.--Section 405(e) of the Uruguay Round
Agreements Act (19 U.S.C. 3602(e)) is amended to read as
follows:
``(e) Exclusion of Originating Goods of USMCA Countries.--
``(1) In general.--The President shall exempt from any duty
imposed under this section any good that qualifies as an
originating good under section 202 of the United States-
Mexico-Canada Agreement Implementation Act of a USMCA country
with respect to which preferential tariff treatment is
provided under the USMCA.
``(2) Definitions.--In this subsection, the terms
`preferential tariff treatment', `USMCA', and `USMCA country'
have the meanings given those terms in section 3 of the
United States-Mexico-Canada Agreement Implementation Act.''.
(b) Effective Date.--
(1) In general.--The amendment made by subsection (a)
shall--
(A) take effect on the date on which the USMCA enters into
force; and
(B) apply with respect to a good entered for consumption,
or withdrawn from warehouse for consumption, on or after that
date.
(2) Transition from nafta treatment.--In the case of a good
entered for consumption, or withdrawn from warehouse for
consumption, before the date on which the USMCA enters into
force--
(A) the amendment made by subsection (a) to section 405(e)
of the Uruguay Round Agreements Act (19 U.S.C. 3602(e)) shall
not apply with respect to the good; and
(B) section 405(e) of such Act, as in effect on the day
before that date, shall continue to apply on and after that
date with respect to the good.
SEC. 202. RULES OF ORIGIN.
(a) Definitions.--In this section:
(1) Aquaculture.--The term ``aquaculture'' means the
farming of aquatic organisms, including fish, molluscs,
crustaceans, other aquatic invertebrates, and aquatic plants
from seed stock such as eggs, fry, fingerlings, or larvae, by
intervention in the rearing or growth processes to enhance
production such as regular stocking, feeding, or protection
from predators.
(2) Customs valuation agreement.--The term ``Customs
Valuation Agreement'' means the Agreement on Implementation
of Article VII of the General Agreement on Tariffs and Trade
1994 referred to in section 101(d)(8) of the Uruguay Round
Agreements Act (19 U.S.C. 3511(d)(8)).
(3) Fungible good or fungible material.--The term
``fungible good'' or ``fungible material'' means a good or
material, as the case may be, that is interchangeable with
another good or material for commercial purposes and the
properties of which are essentially identical to such other
good or material.
(4) Good wholly obtained or produced entirely in the
territory of one or more usmca countries.--The term ``good
wholly obtained or produced entirely in the territory of one
or more USMCA countries'' means any of the following:
(A) A mineral good or other naturally occurring substance
extracted or taken from the territory of one or more USMCA
countries.
(B) A plant, plant good, vegetable, or fungus grown,
cultivated, harvested, picked, or gathered in the territory
of one or more USMCA countries.
(C) A live animal born and raised in the territory of one
or more USMCA countries.
(D) A good obtained in the territory of one or more USMCA
countries from a live animal.
(E) An animal obtained by hunting, trapping, fishing,
gathering, or capturing in the territory of one or more USMCA
countries.
(F) A good obtained in the territory of one or more USMCA
countries from aquaculture.
(G) A fish, shellfish, or other marine life taken from the
sea, seabed, or subsoil outside the territory of one or more
USMCA countries and outside the territorial sea of any
country that is not a USMCA country by--
(i) a vessel that is registered or recorded with a USMCA
country and flying the flag of that country; or
(ii) a vessel that is documented under the laws of the
United States.
(H) A good produced on board a factory ship from goods
referred to in subparagraph (G), if such factory ship--
(i) is registered or recorded with a USMCA country and
flies the flag of that country; or
(ii) is a vessel that is documented under the laws of the
United States.
(I) A good, other than a good referred to in subparagraph
(G), that is taken by a USMCA country, or a person of a USMCA
country, from the seabed or subsoil outside the territory of
a USMCA country, if that USMCA country has the right to
exploit such seabed or subsoil.
(J) Waste and scrap derived from--
(i) production in the territory of one or more USMCA
countries; or
(ii) used goods collected in the territory of one or more
USMCA countries, if such goods are fit only for the recovery
of raw materials.
(K) A good produced in the territory of one or more USMCA
countries exclusively from goods referred to in any of
subparagraphs (A) through (J), or from their derivatives, at
any stage of production.
(5) Indirect material.--The term ``indirect material''
means a material used or consumed in the production, testing,
or inspection of a good but not physically incorporated into
the good, or a material used or consumed in the maintenance
of buildings or the operation of equipment associated with
the production of a good, including--
(A) fuel and energy;
(B) tools, dies, and molds;
(C) spare parts and materials used or consumed in the
maintenance of equipment or buildings;
(D) lubricants, greases, compounding materials, and other
materials used or consumed in production or to operate
equipment or buildings;
(E) gloves, glasses, footwear, clothing, safety equipment,
and supplies;
(F) equipment, devices, and supplies used for testing or
inspecting the good;
(G) catalysts and solvents; and
(H) any other material that is not incorporated into the
good, if the use of the material in the production of the
good can reasonably be demonstrated to be a part of that
production.
(6) Intermediate material.--The term ``intermediate
material'' means a material that is self-produced, used or
consumed in the production of a good, and designated as an
intermediate material pursuant to subsection (d)(9).
(7) Material.--The term ``material'' means a good that is
used or consumed in the production of another good and
includes a part or an ingredient.
(8) Net cost.--The term ``net cost'' means total cost minus
sales promotion, marketing, and after-sales service costs,
royalties, shipping and packing costs, and nonallowable
interest costs that are included in the total cost.
(9) Net cost of a good.--The term ``net cost of a good''
means the net cost that can be reasonably allocated to a good
using one of the methods set forth in subsection (d)(7).
(10) Nonallowable interest costs.--The term ``nonallowable
interest costs'' means interest costs incurred by a producer
that exceed 700 basis points above the applicable official
interest rate for comparable maturities of the country in
which the producer is located.
(11) Nonoriginating good or nonoriginating material.--The
term ``nonoriginating good'' or ``nonoriginating material''
means a good or material, as the case may be, that does not
qualify as originating under this section.
(12) Originating good; originating material.--The term
``originating good'' or ``originating material'' means a good
or material, as the case may be, that qualifies as
originating under this section.
(13) Packaging materials and containers.--The term
``packaging materials and containers'' means materials and
containers in which a good is packaged for retail sale.
(14) Packing materials and containers.--The term ``packing
materials and containers'' means materials and containers
that are used to protect a good during transportation.
(15) Producer.--The term ``producer'' means a person who
engages in the production of a good.
(16) Production.--The term ``production'' means--
(A) growing, cultivating, raising, mining, harvesting,
fishing, trapping, hunting, capturing, breeding, extracting,
manufacturing, processing, or assembling a good; or
(B) the farming of aquatic organisms through aquaculture.
(17) Reasonably allocate.--The term ``reasonably allocate''
means to apportion in a manner appropriate to the
circumstances.
(18) Recovered material.--The term ``recovered material''
means a material in the form of individual parts that are the
result of--
(A) the disassembly of a used good into individual parts;
and
(B) the cleaning, inspecting, testing, or other processing
that is necessary for improvement to sound working condition
of such individual parts.
(19) Remanufactured good.--The term ``remanufactured good''
means a good classified in the HTS under any of chapters 84
through 90 or under heading 9402, other than a good
classified under heading 8418, 8509, 8510, 8516, or 8703 or
subheading 8414.51, 8450.11, 8450.12, 8508.11, or 8517.11,
that--
(A) is entirely or partially composed of recovered
materials;
(B) has a life expectancy similar to, and performs in a
manner that is the same as or similar to, such a good when
new; and
(C) has a factory warranty similar to that applicable to
such a good when new.
(20) Royalties.--The term ``royalties'' means payments of
any kind, including payments under technical assistance or
similar agreements, made as consideration for the use of, or
right to use, a copyright, literary, artistic, or scientific
work, patent, trademark, design, model, plan, or secret
formula or secret process, excluding payments under technical
assistance or similar agreements
[[Page H12225]]
that can be related to a specific service such as--
(A) personnel training, without regard to where the
training is performed; or
(B) if performed in the territory of one or more USMCA
countries, engineering, tooling, die-setting, software design
and similar computer services, or other services.
(21) Sales promotion, marketing, and after-sales service
costs.--The term ``sales promotion, marketing, and after-
sales service costs'' means the costs related to sales
promotion, marketing, and after-sales service for the
following:
(A) Sales and marketing promotion, media advertising,
advertising and market research, promotional and
demonstration materials, exhibits, sales conferences, trade
shows, conventions, banners, marketing displays, free
samples, sales, marketing, and after-sales service literature
(product brochures, catalogs, technical literature, price
lists, service manuals, and sales aid information),
establishment and protection of logos and trademarks,
sponsorships, wholesale and retail charges, and
entertainment.
(B) Sales and marketing incentives, consumer, retailer, or
wholesaler rebates, and merchandise incentives.
(C) Salaries and wages, sales commissions, bonuses,
benefits (such as medical, insurance, and pension benefits),
traveling and living expenses, and membership and
professional fees for sales promotion, marketing, and after-
sales service personnel.
(D) Product liability insurance.
(E) Rent and depreciation of sales promotion, marketing,
and after-sales service offices and distribution centers.
(F) Payments by the producer to other persons for warranty
repairs.
(G) If the costs are identified separately for sales
promotion, marketing, or after-sales service of goods on the
financial statements or cost accounts of the producer, the
following:
(i) Property insurance premiums, taxes, utilities, and
repair and maintenance of sales promotion, marketing, and
after-sales service offices and distribution centers.
(ii) Recruiting and training of sales promotion, marketing,
and after-sales service personnel, and after-sales training
of customers' employees.
(iii) Office supplies for sales promotion, marketing, and
after-sales service of goods.
(iv) Telephone, mail, and other communications.
(22) Self-produced material.--The term ``self-produced
material'' means a material that is produced by the producer
of a good and used in the production of that good.
(23) Shipping and packing costs.--The term ``shipping and
packing costs'' means the costs incurred in packing a good
for shipment and shipping the good from the point of direct
shipment to the buyer, excluding the costs of preparing and
packaging the good for retail sale.
(24) Territory.--The term ``territory'', with respect to a
USMCA country, has the meaning given that term in section C
of chapter 1 of the USMCA.
(25) Total cost.--
(A) In general.--The term ``total cost''--
(i) means all product costs, period costs, and other costs
for a good incurred in the territory of one or more USMCA
countries; and
(ii) does not include--
(I) profits that are earned by the producer of the good,
regardless of whether the costs are retained by the producer
or paid out to other persons as dividends; or
(II) taxes paid on those profits, including capital gains
taxes.
(B) Other definitions.--In this paragraph:
(i) Other costs.--The term ``other costs'' means all costs
recorded on the books of the producer that are not product
costs or period costs, such as interest.
(ii) Period costs.--The term ``period costs'' means costs,
other than product costs, that are expensed in the period in
which they are incurred, such as selling expenses and general
and administrative expenses.
(iii) Product costs.--The term ``product costs'' means
costs that are associated with the production of a good,
including the value of materials, direct labor costs, and
direct overhead.
(26) Transaction value.--The term ``transaction value''
means the price--
(A) actually paid or payable for a good or material with
respect to a transaction of a producer; and
(B) adjusted in accordance with the principles set forth in
paragraphs 1, 3, and 4 of article 8 of the Customs Valuation
Agreement.
(27) USMCA country.--The term ``USMCA country'' means the
United States, Canada, or Mexico for such time as the USMCA
is in force with respect to Canada or Mexico, and the United
States applies the USMCA to Canada or Mexico.
(28) Value.--The term ``value'' means the value of a good
or material for purposes of calculating customs duties or
applying this section.
(b) Application and Interpretation.--In this section:
(1) Tariff classification.--The basis for any tariff
classification is the HTS.
(2) Reference to hts.--Whenever in this section there is a
reference to a chapter, heading, or subheading, that
reference shall be a reference to a chapter, heading, or
subheading of the HTS.
(3) Cost or value.--Any cost or value referred to in this
section with respect to a good shall be recorded and
maintained in accordance with the generally accepted
accounting principles applicable in the territory of the
USMCA country in which the good is produced.
(c) Originating Goods.--
(1) In general.--For purposes of this Act and for purposes
of implementing the preferential tariff treatment provided
for under the USMCA, except as otherwise provided in this
section, a good is an originating good if--
(A) the good is a good wholly obtained or produced entirely
in the territory of one or more USMCA countries;
(B) the good is produced entirely in the territory of one
or more USMCA countries using nonoriginating materials, if
the good satisfies all applicable requirements set forth in
Annex 4-B of the USMCA; or
(C) the good is produced entirely in the territory of one
or more USMCA countries, exclusively from originating
materials;
(D) except for a good provided for under any of chapters 61
through 63--
(i) the good is produced entirely in the territory of one
or more USMCA countries;
(ii) one or more of the nonoriginating materials provided
for as parts under the HTS and used in the production of the
good do not satisfy the requirements set forth in Annex 4-B
of the USMCA because--
(I) both the good and its materials are classified under
the same subheading or under the same heading that is not
further subdivided into subheadings; or
(II) the good was imported into the territory of a USMCA
country in an unassembled form or a disassembled form but was
classified as an assembled good pursuant to rule 2(a) of the
General Rules of Interpretation of the HTS; and
(iii) the regional value content of the good is not less
than 60 percent if the transaction value method is used, or
not less than 50 percent if the net cost method is used and
the good satisfies all other applicable requirements of this
section; or
(E) the good itself, as imported, is listed in table 2.10.1
of the USMCA and is imported into the territory of the United
States from the territory of a USMCA country.
(2) Remanufactured goods.--For purposes of determining
whether a remanufactured good is an originating good, a
recovered material derived in the territory of one or more
USMCA countries shall be treated as originating if the
recovered material is used or consumed in the production of,
and incorporated into, the remanufactured good.
(d) Regional Value Content.--
(1) In general.--Except as provided in paragraph (5), for
purposes of subparagraphs (B) and (D) of subsection (c)(1),
the regional value content of a good shall be calculated, at
the choice of the importer, exporter, or producer of the
good, on the basis of--
(A) the transaction value method described in paragraph
(2); or
(B) the net cost method described in paragraph (3).
(2) Transaction value method.--
(A) In general.--An importer, exporter, or producer of a
good may calculate the regional value content of the good on
the basis of the following transaction value method:
TV-VNM ......................
RVC = ---------- 100
TV ......................
(B) Definitions.--In this paragraph:
(i) RVC.--The term ``RVC'' means the regional value content
of the good, expressed as a percentage.
(ii) TV.--The term ``TV'' means the transaction value of
the good, adjusted to exclude any costs incurred in the
international shipment of the good.
(iii) VNM.--The term ``VNM'' means the value of
nonoriginating materials used by the producer in the
production of the good.
(3) Net cost method.--
(A) In general.--An importer, exporter, or producer of a
good may calculate the regional value content of the good on
the basis of the following net cost method:
NC-VNM ......................
RVC = ---------- 100
NC ......................
(B) Definitions.--In this paragraph:
(i) NC.--The term ``NC'' means the net cost of the good.
(ii) RVC.--The term ``RVC'' means the regional value
content of the good, expressed as a percentage.
(iii) VNM.--The term ``VNM'' means the value of
nonoriginating materials used by the producer in the
production of the good.
(4) Value of nonoriginating materials.--
(A) In general.--The value of nonoriginating materials used
by the producer in the production of a good shall not, for
purposes of calculating the regional value content of the
good under paragraph (2) or (3), include the value of
nonoriginating materials used or consumed to produce
originating materials that are subsequently used or consumed
in the production of the good.
(B) Special rule for certain components.--The following
components of the value of nonoriginating materials used by
the producer in the production of a good may be counted as
originating content for purposes of determining whether the
good meets the regional value content requirement set forth
in Annex 4-B of the USMCA:
[[Page H12226]]
(i) The value of processing the nonoriginating materials
undertaken in the territory of one or more USMCA countries.
(ii) The value of any originating materials used or
consumed in the production of the nonoriginating materials
undertaken in the territory of one or more USMCA countries.
(5) Net cost method required in certain cases.--An
importer, exporter, or producer of a good shall calculate the
regional value content of the good solely on the basis of the
net cost method described in paragraph (3) if the rule for
the good set forth in Annex 4-B of the USMCA includes a
regional value content requirement not based on the
transaction value method described in paragraph (2).
(6) Net cost method allowed for adjustments.--
(A) In general.--If an importer, exporter, or producer of a
good calculates the regional value content of the good on the
basis of the transaction value method described in paragraph
(2) and a USMCA country subsequently notifies the importer,
exporter, or producer, during the course of a verification
conducted in accordance with chapter 5 or 6 of the USMCA,
that the transaction value of the good or the value of any
material used in the production of the good must be adjusted
or is unacceptable under article 1 of the Customs Valuation
Agreement, the importer, exporter, or producer may calculate
the regional value content of the good on the basis of the
net cost method.
(B) Review of adjustment.--Nothing in subparagraph (A)
shall be construed to prevent any review or appeal available
in accordance with article 5.15 of the USMCA with respect to
an adjustment to or a rejection of--
(i) the transaction value of a good; or
(ii) the value of any material used in the production of a
good.
(7) Calculating net cost.--The producer of a good may,
consistent with regulations implementing this section,
calculate the net cost of the good under paragraph (3) by--
(A) calculating the total cost incurred with respect to all
goods produced by that producer, subtracting any sales
promotion, marketing, and after-sales services costs,
royalties, shipping and packing costs, and nonallowable
interest costs that are included in the total cost of those
goods, and then reasonably allocating the resulting net cost
of those goods to the good;
(B) calculating the total cost incurred with respect to all
goods produced by that producer, reasonably allocating the
total cost to the good, and subtracting any sales promotion,
marketing, and after-sales service costs, royalties, shipping
and packing costs, and nonallowable interest costs, that are
included in the portion of the total cost allocated to the
good; or
(C) reasonably allocating each cost that is part of the
total cost incurred with respect to the good so that the
aggregate of those costs does not include any sales
promotion, marketing, and after-sales service costs,
royalties, shipping and packing costs, and nonallowable
interest costs.
(8) Value of materials used in production.--For purposes of
calculating the regional value content of a good under this
subsection, applying the de minimis rules under subsection
(f), and calculating the value of nonoriginating components
in a set under subsection (m), the value of a material used
in the production of a good is--
(A) in the case of a material that is imported by the
producer of the good, the transaction value of the material
at the time of importation, including the costs incurred in
the international shipment of the material;
(B) in the case of a material acquired in the territory in
which the good is produced--
(i) the price paid or payable by the producer in the USMCA
country where the producer is located;
(ii) the value as determined under subparagraph (A), as set
forth in regulations prescribed by the Secretary of the
Treasury providing for the application of transaction value
in the absence of an importation by the producer; or
(iii) the earliest ascertainable price paid or payable in
the territory of the country; or
(C) in the case of a self-produced material, the sum of--
(i) all expenses incurred in the production of the
material, including general expenses; and
(ii) an amount for profit equivalent to the profit added in
the normal course of trade or equal to the profit that is
usually reflected in the sale of goods of the same class or
kind as the material.
(9) Intermediate materials.--
(A) In general.--Any self-produced material that is used in
the production of a good may be designated by the producer of
the good as an intermediate material for purposes of
calculating the regional value content of the good under
paragraph (2) or (3).
(B) Materials used in production of intermediate
materials.--If a self-produced material is designated as an
intermediate material under subparagraph (A) for purposes of
calculating a regional value content requirement, no other
self-produced material subject to a regional value content
requirement used or consumed in the production of that
intermediate material may be designated by the producer as an
intermediate material.
(10) Further adjustments to value of materials.--The
following expenses, if included in the value of a
nonoriginating material calculated under paragraph (8), may
be deducted from the value of the nonoriginating material:
(A) The costs of freight, insurance, packing, and all other
costs incurred in transporting the material to the location
of the producer.
(B) Duties, taxes, and customs brokerage fees on the
material paid in the territory of one or more USMCA
countries, other than duties or taxes that are waived,
refunded, refundable, or otherwise recoverable, including
credit against duty or tax paid or payable.
(C) The cost of waste and spoilage resulting from the use
of the material in the production of the good, less the value
of renewable scrap or byproducts.
(e) Accumulation.--
(1) Producers.--A good that is produced in the territory of
one or more USMCA countries, by one or more producers, is an
originating good if the good satisfies the requirements of
subsection (c) and all other applicable requirements of this
section.
(2) Originating materials used in production of goods of a
usmca country.--Originating materials from the territory of
one or more USMCA countries that are used in the production
of a good in the territory of another USMCA country shall be
considered to originate in the territory of such other USMCA
country.
(3) Production undertaken on nonoriginating materials used
in the production of goods.--In determining whether a good is
an originating good under this section, production undertaken
on nonoriginating material in the territory of one or more
USMCA countries by one or more producers shall contribute to
the originating status of the good, regardless of whether
that production is sufficient to confer originating status to
the nonoriginating material.
(f) De Minimis Amounts of Nonoriginating Materials.--
(1) In general.--Except as provided in paragraphs (2)
through (4), a good that does not undergo a change in tariff
classification or satisfy a regional value content
requirement set forth in Annex 4-B of the USMCA is an
originating good if--
(A) the value of all nonoriginating materials that are used
in the production of the good, and do not undergo the
applicable change in tariff classification set forth in Annex
4-B of the USMCA--
(i) does not exceed 10 percent of the transaction value of
the good, adjusted to exclude any costs incurred in the
international shipment of the good; or
(ii) does not exceed 10 percent of the total cost of the
good;
(B) the good meets all other applicable requirements of
this section; and
(C) the value of such nonoriginating materials is included
in the value of nonoriginating materials for any applicable
regional value content requirement for the good.
(2) Exceptions for dairy and other products.--Paragraph (1)
does not apply to the following:
(A) A nonoriginating material of headings 0401 through
0406, or a nonoriginating dairy preparation containing over
10 percent by dry weight of milk solids of subheading 1901.90
or 2106.90, used or consumed in the production of a good of
headings 0401 through 0406.
(B) A nonoriginating material of headings 0401 through
0406, or nonoriginating dairy preparation containing over 10
percent by dry weight of milk solids of subheading 1901.90 or
2106.90, used or consumed in the production of any of the
following goods:
(i) Infant preparations containing over 10 percent by dry
weight of milk solids, of subheading 1901.10.
(ii) Mixes and doughs containing over 25 percent by dry
weight of butterfat, not put up for retail sale, of
subheading 1901.20.
(iii) A dairy preparation containing over 10 percent by dry
weight of milk solids, of subheading 1901.90 or 2106.90.
(iv) A good of heading 2105.
(v) Beverages containing milk of subheading 2202.90.
(vi) Animal feeds containing over 10 percent by dry weight
of milk solids of subheading 2309.90.
(C) A nonoriginating material of heading 0805, or any of
subheadings 2009.11 through 2009.39, used or consumed in the
production of a good of subheadings 2009.11 through 2009.39,
or a fruit or vegetable juice of any single fruit or
vegetable, fortified with minerals or vitamins, concentrated
or unconcentrated, of subheading 2106.90 or 2202.90.
(D) A nonoriginating material of chapter 9 used or consumed
in the production of instant coffee, not flavored, of
subheading 2101.11.
(E) A nonoriginating material of chapter 15 used or
consumed in the production of a good of heading 1507, 1508,
1512, 1514, or 1515.
(F) A nonoriginating material of heading 1701 used or
consumed in the production of a good of any of headings 1701
through 1703.
(G) A nonoriginating material of chapter 17 or heading 1805
used in the production of a good of subheading 1806.10.
(H) Nonoriginating peaches, pears, or apricots of chapter 8
or 20, used in the production of a good of heading 2008.
(I) A nonoriginating single juice ingredient of heading
2009 used or consumed in the production of a good of--
(i) subheading 2009.90, or tariff item 2106.90.54
(concentrated mixtures of fruit or vegetable juice, fortified
with minerals or vitamins); or
[[Page H12227]]
(ii) tariff item 2202.99.37 (mixtures of fruit or vegetable
juices, fortified with minerals or vitamins).
(J) A nonoriginating material of any of headings 2203
through 2208 used or consumed in the production of a good
provided for under heading 2207 or 2208.
(3) Goods provided for under chapters 1 through 27.--
Paragraph (1) does not apply to a nonoriginating material
used or consumed in the production of a good provided for in
chapters 1 through 27 unless the nonoriginating material is
provided for in a different subheading than the subheading of
the good for which origin is being determined.
(4) Textile or apparel goods.--
(A) Goods classified under chapters 50 through 60.--Except
as provided in subparagraph (C), a textile or apparel good
provided for in any of chapters 50 through 60 or heading 9619
that is not an originating good because certain
nonoriginating materials used in the production of the good
do not undergo an applicable change in tariff classification
set forth in Annex 4-B of the USMCA, shall be considered to
be an originating good if the total weight of all such
materials, including elastomeric yarns, is not more than 10
percent of the total weight of the good and the good meets
all other applicable requirements of this section.
(B) Goods classified under chapters 61 through 63.--Except
as provided in subparagraph (C), a textile or apparel good
provided for in chapter 61, 62, or 63 that is not an
originating good because certain fibers or yarns used in the
production of the component of the good that determines the
tariff classification of the good do not undergo an
applicable change in tariff classification set forth in Annex
4-B of the USMCA shall be considered to be an originating
good if the total weight of all such fibers or yarns in the
component, including elastomeric yarns, is not more than 10
percent of the total weight of the component and the good
meets all other applicable requirements of this section.
(C) Goods containing nonoriginating elastomeric yarns.--
(i) Goods classified under chapters 50 through 60 or
heading 9619 .--A textile or apparel good described in
subparagraph (A) containing nonoriginating elastomeric yarns
shall be considered to be an originating good only if the
nonoriginating elastomeric yarns contained in the good do not
exceed 7 percent of the total weight of the good.
(ii) Goods classified under chapters 61 through 63.--A
textile or apparel good described in subparagraph (B)
containing nonoriginating elastomeric yarns shall be
considered to be an originating good only if the
nonoriginating elastomeric yarns contained in the component
of the good that determines the tariff classification of the
good do not exceed 7 percent of the total weight of the good.
(g) Fungible Goods and Materials.--
(1) Fungible materials used in production.--Subject to
paragraph (3), if originating and nonoriginating fungible
materials are used or consumed in the production of a good,
the determination of whether the materials are originating
may be made on the basis of any of the inventory management
methods set forth in regulations implementing this section.
(2) Fungible goods commingled and exported.--Subject to
paragraph (3), if originating and nonoriginating fungible
goods are commingled and exported in the same form, the
determination of whether the goods are originating may be
made on the basis of any of the inventory management methods
set forth in regulations implementing this section.
(3) Use of inventory management method.--A person that
selects an inventory management method for purposes of
paragraph (1) or (2) shall use that inventory management
method throughout the fiscal year of the person.
(h) Accessories, Spare Parts, Tools, and Instructional or
Other Information Materials.--
(1) In general.--Subject to paragraph (2), accessories,
spare parts, tools, or instructional or other information
materials delivered with a good shall--
(A) be treated as originating if the good is an originating
good;
(B) be disregarded in determining whether a good is a good
wholly obtained or produced entirely in the territory of one
or more USMCA countries or satisfies a process or change in
tariff classification set forth in Annex 4-B of the USMCA;
and
(C) be taken into account as originating or nonoriginating
materials, as the case may be, in calculating any applicable
regional value content of the good set forth in Annex 4-B of
the USMCA.
(2) Conditions.--Paragraph (1) shall apply only if--
(A) the accessories, spare parts, tools, or instructional
or other information materials are classified with and
delivered with, but not invoiced separately from, the good;
and
(B) the types, quantities, and value of the accessories,
spare parts, tools, or instructional or other information
materials are customary for the good.
(i) Packaging Materials and Containers for Retail Sale.--
Packaging materials and containers in which a good is
packaged for retail sale, if classified with the good, shall
be disregarded in determining whether all of the
nonoriginating materials used in the production of the good
undergo the applicable process or change in tariff
classification requirement set forth in Annex 4-B of the
USMCA, or whether the good is a good wholly obtained or
produced entirely in the territory of one or more USMCA
countries. If the good is subject to a regional value content
requirement set forth in that Annex, the value of such
packaging materials and containers shall be taken into
account as originating or nonoriginating materials, as the
case may be, in calculating the regional value content of the
good.
(j) Packing Materials and Containers for Shipment.--Packing
materials and containers for shipment shall be disregarded in
determining whether a good is an originating good.
(k) Indirect Materials.--An indirect material shall be
treated as an originating material without regard to where it
is produced.
(l) Transit and Transshipment.--A good that has undergone
production necessary to qualify as an originating good under
subsection (c) shall not be considered to be an originating
good if, subsequent to that production, the good--
(1) undergoes further production or any other operation
outside the territory of a USMCA country, other than--
(A) unloading, reloading, separation from a bulk shipment,
storing, labeling, or marking, as required by a USMCA
country; or
(B) any other operation necessary to preserve the good in
good condition or to transport the good to the territory of
the importing USMCA country; or
(2) does not remain under the control of customs
authorities in a country other than a USMCA country.
(m) Goods Classifiable as Goods Put Up in Sets.--
(1) Goods other than textile or apparel goods.--
Notwithstanding the rules set forth in Annex 4-B of the
USMCA, goods classifiable as goods put up in sets for retail
sale as provided for in rule 3 of the General Rule of
Interpretation of the HTS shall not be considered to be
originating goods unless--
(A) each of the goods in the set is an originating good; or
(B) the total value of the nonoriginating goods in the set
does not exceed 10 percent of the value of the set.
(2) Textile or apparel goods.--Notwithstanding the rules
set forth in Annex 4-B of the USMCA, goods classifiable as
goods put up in sets for retail sale as provided for in rule
3 of the General Rule of Interpretation of the HTS shall not
be considered to be originating goods unless--
(A) each of the goods in the set is an originating good; or
(B) the total value of the nonoriginating goods in the set
does not exceed 10 percent of the value of the set.
(n) Nonqualifying Operations.--A good shall not be
considered to be an originating good merely by reason of--
(1) mere dilution with water or another substance that does
not materially alter the characteristics of the good; or
(2) any production or pricing practice with respect to
which it may be demonstrated, by a preponderance of the
evidence, that the object of the practice was to circumvent
this section.
(o) Effective Date.--
(1) In general.--This section shall--
(A) take effect on the date on which the USMCA enters into
force; and
(B) apply with respect to a good entered for consumption,
or withdrawn from warehouse for consumption, on or after that
date.
(2) Transition from nafta treatment.--Section 202 of the
North American Free Trade Agreement Implementation Act (19
U.S.C. 3332), as in effect on the day before the date on
which the USMCA enters into force, shall continue to apply on
and after that date with respect to a good entered for
consumption, or withdrawn from warehouse for consumption,
before that date.
SEC. 202A. SPECIAL RULES FOR AUTOMOTIVE GOODS.
(a) Definitions.--In this section:
(1) Alternative staging regime.--The term ``alternative
staging regime'' means the application, pursuant to
subsection (d), of the requirements of article 8 of the
automotive appendix to the production of covered vehicles to
allow producers of such vehicles to bring such production
into compliance with the requirements of articles 2 through 7
of that appendix.
(2) Alternative staging regime period.--The term
``alternative staging regime period'' means the period during
which the alternative staging regime is in effect.
(3) Automotive appendix.--The term ``automotive appendix''
means the Appendix to Annex 4-B of the USMCA (relating to the
product-specific rules of origin for automotive goods).
(4) Automotive good.--The term ``automotive good'' means--
(A) a covered vehicle; or
(B) a part, component, or material listed in table A.1,
A.2, B, C, D, or E of the automotive appendix.
(5) Automotive rules of origin.--The term ``automotive
rules of origin'' means the rules of origin for automotive
goods set forth in the automotive appendix.
(6) Commissioner.--The term ``Commissioner'' means the
Commissioner of U.S. Customs and Border Protection.
(7) Covered vehicle.--The term ``covered vehicle'' means a
passenger vehicle, light truck, or heavy truck.
(8) Interagency committee.--The term ``interagency
committee'' means the interagency committee established under
subsection (b)(1).
(9) Passenger vehicle; light truck; heavy truck.--The terms
``passenger vehicle'', ``light truck'', and ``heavy truck''
have
[[Page H12228]]
the meanings given those terms in article 1 of the automotive
appendix.
(10) USMCA country.--The term ``USMCA country'' means the
United States, Canada, or Mexico for such time as the USMCA
is in force with respect to Canada or Mexico, and the United
States applies the USMCA to Canada or Mexico.
(b) Establishment of Interagency Committee.--
(1) In general.--Not later than 30 days after the date of
the enactment of this Act, the President shall establish an
interagency committee--
(A) to provide advice, as appropriate, on the
implementation, enforcement, and modification of provisions
of the USMCA that relate to automotive goods, including the
alternative staging regime; and
(B) to review the operation of the USMCA with respect to
trade in automotive goods, including--
(i) the economic effects of the automotive rules of origin
on the United States economy, workers, and consumers; and
(ii) the impact of new technology on such rules of origin.
(2) Members.--The members of the interagency committee
shall be the following:
(A) The Trade Representative.
(B) The Secretary of Commerce.
(C) The Commissioner.
(D) The Secretary of Labor.
(E) The Chair of the International Trade Commission.
(F) Any other members determined to be necessary by the
Trade Representative.
(3) Chair.--The chair of the interagency committee shall be
the Trade Representative.
(4) Use of information.--
(A) Information sharing.--Notwithstanding any other
provision of law, the members of the interagency committee
may exchange information for purposes of carrying out this
section.
(B) Confidentiality of information.--The interagency
committee and any Federal agency represented on the
interagency committee may not disclose to the public any
confidential documents or information received in the course
of carrying out this section, except information aggregated
to preserve confidentiality and used in the reports described
in subsection (g).
(c) Certification Requirements.--
(1) Certification relating to labor value content
requirements.--
(A) In general.--A covered vehicle shall be eligible for
preferential tariff treatment only if the producer of the
covered vehicle--
(i) provides a certification to the Commissioner that the
production of covered vehicles by the producer meets the
labor value content requirements, including the high-wage
material and manufacturing expenditures, high-wage technology
expenditures, and high-wage assembly expenditures, as set
forth in article 7 of the automotive appendix or, if the
producer is subject to the alternative staging regime,
articles 7 and 8 of that appendix, and includes the
calculations of the producer related to the labor value
content requirements; and
(ii) has information on record to support those
calculations.
(B) Implementation.--For purposes of meeting the
requirements under subparagraph (A)--
(i) the Secretary of Labor, in consultation with the
Commissioner, shall ensure that the certification of a
producer under subparagraph (A)(i) does not contain omissions
or errors before the certification is considered properly
filed; and
(ii) a calculation described in subparagraph (A)(i) based
on a producer's preceding fiscal or calendar year is valid
for the producer's subsequent fiscal or calendar year, as the
case may be, as set forth in articles 7 and 8 of the
automotive appendix.
(C) Regulations required.--The Secretary of the Treasury,
in consultation with the Secretary of Labor, shall prescribe
regulations to carry out this paragraph, including
regulations setting forth the procedures and requirements for
a producer of covered vehicles to establish that the producer
meets the labor value content requirements for preferential
tariff treatment.
(2) Certification relating to steel and aluminum purchase
requirements.--
(A) In general.--A covered vehicle shall be eligible for
preferential tariff treatment only if the producer of the
covered vehicle--
(i) provides a certification to the Commissioner that the
production of covered vehicles by the producer meets the
steel and aluminum purchase requirements set forth in article
6 of the automotive appendix or, if the producer is subject
to the alternative staging regime, articles 6 and 8 of that
appendix; and
(ii) has information on record to support the calculations
relied on for the certification.
(B) Implementation.--For purposes of meeting the
requirements under subparagraph (A)--
(i) the Commissioner shall ensure that the certification of
a producer under subparagraph (A)(i) does not contain
omissions or errors before the certification is considered
properly filed; and
(ii) a calculation described in subparagraph (A)(ii) based
on a producer's preceding fiscal or calendar year is valid
for the producer's subsequent fiscal or calendar year, as the
case may be, as set forth in articles 6 and 8 of the
automotive appendix.
(C) Regulations required.--The Secretary of the Treasury
shall prescribe regulations to carry out this paragraph,
including regulations setting forth the procedures and
requirements for a producer of covered vehicles to establish
that the producer meets the steel and aluminum purchase
requirements for preferential tariff treatment.
(d) Alternative Staging Regime.--
(1) Publication of requirements.--Not later than 90 days
after the date of the enactment of this Act, the Trade
Representative, in consultation with the interagency
committee, shall publish in the Federal Register
requirements, procedures, and guidance required to implement
the alternative staging regime, including with respect to the
following:
(A) The procedures, calculation methodology, timeframe,
specific regional value content thresholds, and other minimum
requirements, consistent with article 8 of the automotive
appendix, with which a producer of covered vehicles subject
to the alternative staging regime is required to comply
during the alternative staging regime period for such
vehicles to be eligible for preferential tariff treatment
pursuant to the alternative staging regime.
(B) The date by which requests for the alternative staging
regime are required to be submitted.
(C) The information a producer of passenger vehicles or
light trucks is required to provide, in the producer's
request to use the alternative staging regime, to demonstrate
the actions that the producer will take to be prepared to
meet all the requirements set forth in articles 2 through 7
of the automotive appendix after the alternative staging
regime period has expired, including the following:
(i) A statement identifying which of the requirements set
forth in articles 2 through 7 of the automotive appendix that
the producer expects it will be unable to meet upon entry
into force of the USMCA based on current business plans.
(ii) A statement indicating whether the passenger vehicles
or light trucks for which the producer seeks to use the
alternative staging regime account for 10 percent or less, or
more than 10 percent, of the total production of passenger
vehicles or light trucks, as the case may be, in USMCA
countries by the producer during the 12-month period
preceding the date on which the USMCA enters into force, or
the average of such production during the 36-month period
preceding that date, whichever is greater.
(iii) In the case of a producer that seeks to use the
alternative staging regime for more than 10 percent of the
producer's total production of passenger vehicles or light
trucks, as the case may be, in USMCA countries--
(I) a detailed and credible plan describing with
specificity the actions the producer intends to take to bring
production of the passenger vehicles or light trucks, as the
case may be, into compliance with the requirements set forth
in articles 2 through 7 of the automotive appendix after the
alternative staging regime period expires; and
(II) a statement indicating the time period for which the
producer is requesting to use the alternative staging regime,
if that time period is greater than 5 years after the USMCA
enters into force.
(D) The procedures for accepting and reviewing requests for
the alternative staging regime, including that the Trade
Representative will--
(i) notify a producer of any deficiencies in the request of
the producer that would result in a denial of the request not
later than 30 days after the request is submitted; and
(ii) provide producers the opportunity to submit
supplemental information.
(E) The criteria the Trade Representative, in consultation
with the interagency committee, will consider when
determining whether to approve a request for the alternative
staging regime. Such criteria shall only include elements
necessary for the producer to demonstrate the producer's
ability to meet the requirements specified in subparagraphs
(A) and (B). The criteria shall also describe the information
to meet those requirements in sufficient detail to allow the
producer to identify the information necessary to complete a
request for the alternative staging regime.
(F) The opportunity for a producer described in
subparagraph (C)(iii) to modify the producer's request for
the alternative staging regime.
(2) Review of requests for alternative staging regime.--
(A) In general.--In reviewing the request of a producer of
passenger vehicles or light trucks for the alternative
staging regime, the Trade Representative, in consultation
with the interagency committee, shall determine--
(i) whether the request covers 10 percent or less, or more
than 10 percent, of the production of passenger vehicles or
light trucks in USMCA countries by the producer; and
(ii) whether the producer has identified with specificity
which of the requirements set forth in articles 2 through 7
of the automotive appendix the producer is unable to meet
based on current business plans.
(B) Approval of alternative staging regime for passenger
vehicle or light truck production not exceeding 10 percent of
north american production.--The Trade Representative shall
authorize the use of the alternative staging regime if the
Trade Representative, in consultation with the interagency
committee, determines that--
(i) the request for the alternative staging regime covers
passenger vehicles or light trucks that do not exceed 10
percent of the
[[Page H12229]]
production of passenger vehicles or lights trucks, as the
case may be, in USMCA countries by the producer; and
(ii) the producer has identified with specificity which of
the requirements set forth in articles 2 through 7 of the
automotive appendix the producer is unable to meet based on
current business plans.
(C) Approval of alternative staging regime for passenger
vehicle or light truck production exceeding 10 percent of
north american production.--The Trade Representative shall
authorize the use of the alternative staging regime if the
Trade Representative, in consultation with the interagency
committee, determines that--
(i) the request for the alternative staging regime covers
more than 10 percent of the production of passenger vehicles
or lights trucks, as the case may be, in USMCA countries by
the producer;
(ii) the producer has identified with specificity which of
the requirements set forth in articles 2 through 7 of the
automotive appendix the producer is unable to meet based on
current business plans; and
(iii) the detailed and credible plan of the producer
submitted under paragraph (1)(C)(iii) is based on substantial
evidence and reasonably calculated to bring the production of
the passenger vehicles or light trucks, as the case may be,
into compliance with the requirements set forth in articles 2
through 7 of the automotive appendix after the alternative
staging regime period has expired.
(3) Procedures related to reviewing and approving
requests.--
(A) Deadline for review.--Not later than 120 days after
receiving a request of a producer for the alternative staging
regime, the Trade Representative, in consultation with the
interagency committee, shall--
(i) review the request;
(ii) make a determination with respect to whether to
authorize the use of the alternative staging regime; and
(iii) provide to each producer a response in writing
stating whether the producer may use the alternative staging
regime.
(B) Establishment of a public list.--The Trade
Representative shall maintain, and update as necessary, a
public list of the producers of covered vehicles that have
been authorized to use the alternative staging regime.
(C) Reporting.--Before a determination is made with respect
to whether to authorize the use of the alternative staging
regime, the Trade Representative shall provide to the
appropriate congressional committees a summary of requests
for the alternative staging regime.
(4) Alternative staging regime review and modification.--
(A) Material changes to circumstances.--
(i) Notification.--If the request of a producer to use the
alternative staging regime for more than 10 percent of the
total production of passenger vehicles or light trucks, as
the case may be, in USMCA countries by the producer has been
granted, the producer shall notify the Trade Representative
and the interagency committee of any material changes to the
information contained in the request, including any
supplemental information relating to that request, and of any
material changes to circumstances, that will affect the
producer's ability to meet any of the requirements set forth
in articles 2 through 7 of the automotive appendix after the
alternative staging regime period has expired.
(ii) Requests for modification of plans.--
(I) In general.--A producer that submits a notification
under clause (i) with respect to a change described in that
clause may submit to the Trade Representative and the
interagency committee a request for modification of its plan.
(II) Determination regarding modification.--Not later than
90 days after receiving a request submitted under subclause
(I), the Trade Representative, in consultation with the
interagency committee, shall--
(aa) review the request;
(bb) make a determination with respect to whether the
modified plan is based on substantial evidence and reasonably
calculated to ensure that the producer will still be able to
meet the requirements set forth in articles 2 through 7 of
the automotive appendix after the alternative staging regime
period has expired;
(cc) if the Trade Representative makes an affirmative
determination under item (bb), approve the modified plan; and
(dd) notify the producer in writing of the determination.
(iii) Inability to meet requirements.--If the Trade
Representative, in consultation with the interagency
committee, determines that the information provided by a
producer under clause (i) demonstrates that the producer will
no longer be able to meet the requirements set forth in
articles 2 through 7 of the automotive appendix after the
alternative staging regime period has expired, the Trade
Representative shall notify the producer in writing, and no
claim for preferential tariff treatment may be made, on or
after the date of the determination, with respect to a
covered vehicle of the producer pursuant to the alternative
staging regime.
(5) Failure to meet requirements for alternative staging
regime.--
(A) In general.--If, at any time, the Trade Representative,
in consultation with the interagency committee, makes a
determination described in subparagraph (B) with respect to a
producer of covered vehicles subject to the alternative
staging regime--
(i) any claim for preferential tariff treatment under the
alternative staging regime for any covered vehicle of that
producer shall be considered invalid; and
(ii) notwithstanding the finality of a liquidation of an
entry, the importer of any covered vehicle of that producer
shall be liable for the duties, taxes, and fees that would
have been applicable to that vehicle if preferential tariff
treatment pursuant to the alternative staging regime had not
applied when the vehicle was entered for consumption, or
withdrawn from warehouse for consumption, plus interest
assessed on or after the date of entry and before the date of
the determination.
(B) Determination described.--A determination described in
this subparagraph is a determination that a producer of
covered vehicles subject to the alternative staging regime--
(i) has failed to take the steps set forth in the
producer's request for the alternative staging regime and, as
a result of that failure, the producer will no longer be able
to meet the requirements set forth in articles 2 through 7 of
the automotive appendix after the alternative staging regime
period has expired;
(ii) has provided false or misleading information in the
producer's request; or
(iii) in the case of a producer authorized to use the
alternative staging regime for more than 10 percent of the
total production of passenger vehicles or light trucks in
USMCA countries by the producer, has failed to notify the
Trade Representative under paragraph (4)(A) of material
changes to circumstances that will prevent the producer from
meeting any of the requirements set forth in articles 2
through 7 of the automotive appendix after the alternative
staging regime period has expired.
(e) Verification of Labor Value Content Requirements.--
(1) In general.--As part of a verification conducted under
section 207, the Secretary of the Treasury, in conjunction
with the Secretary of Labor, may conduct a verification of
whether a covered vehicle complies with the labor value
content requirements set forth in article 7 of the automotive
appendix or, if the producer is subject to the alternative
staging regime under subsection (d), articles 7 and 8 of that
appendix.
(2) Role of secretary of labor.--In cooperation with the
Secretary of the Treasury, the Secretary of Labor shall
participate in any verification conducted under paragraph (1)
by verifying whether the production of covered vehicles by a
producer meets the high-wage components of the labor value
content requirements, including the wage component of the
high-wage material and manufacturing expenditures, the high-
wage technology expenditures, and the high-wage assembly
expenditures, within the meaning given those terms in article
7 of that appendix.
(3) Role of secretary of the treasury.--The Secretary of
the Treasury shall participate in any verification conducted
under paragraph (1) by verifying--
(A) the components of the labor value content requirements
not covered by paragraph (2), including the annual purchase
value and cost components of the high-wage material and
manufacturing expenditures, within the meaning given those
terms in article 7 of that appendix; and
(B) whether the producer has met the labor value content
requirements.
(4) Actions by secretary of labor.--
(A) In general.--In participating in a verification
conducted under paragraph (1), the Secretary of Labor shall
assist the Secretary of the Treasury to do the following:
(i) Examine, or cause to be examined, upon reasonable
notice, any record (including any statement, declaration,
document, or electronically generated or machine readable
data) described in the notice with reasonable specificity.
(ii) Request information from any officer, employee, or
agent of a producer of automotive goods, as necessary, that
may be relevant with respect to whether the production of
covered vehicles meets the high-wage components of the labor
value content requirements set forth in article 7 of the
automotive appendix or, if the producer is subject to the
alternative staging regime under subsection (d), articles 7
and 8 of that appendix.
(B) Nature of information requested.--Records and
information that may be examined or requested under
subparagraph (A) may relate to wages, hours, job
responsibilities, and other information in any plant or
facility relied on by a producer of covered vehicles to
demonstrate that the production of such vehicles by the
producer meets the labor value content requirements set forth
in article 7 of the automotive appendix or, if the producer
is subject to the alternative staging regime under subsection
(d), articles 7 and 8 of that appendix.
(5) Whistleblower protections.--
(A) Unlawful acts.--It is unlawful to intimidate, threaten,
restrain, coerce, blacklist, discharge, or in any other
manner discriminate against any person for--
(i) disclosing information to a Federal agency or to any
person relating to a verification under this subsection; or
(ii) cooperating or seeking to cooperate in a verification
under this subsection.
(B) Enforcement.--The Secretary of the Treasury and the
Secretary of Labor are authorized to take such actions under
existing
[[Page H12230]]
law, including imposing appropriate penalties and seeking
appropriate injunctive relief, as may be necessary to ensure
compliance with this subsection and as provided for in
existing regulations.
(6) Protests of decisions of u.s. customs and border
protection.--
(A) In general.--If a protest under section 514 of the
Tariff Act of 1930 (19 U.S.C. 1514) of a decision of U.S.
Customs and Border Protection with respect to the eligibility
for preferential tariff treatment of a covered vehicle
relates to the analysis of the Department of Labor relating
to the high-wage components of the labor value content
requirements described in paragraph (1), the Secretary of
Labor shall--
(i) conduct an administrative review of the portion of the
decision relating to such requirements; and
(ii) provide the results of that review to the
Commissioner.
(B) No accelerated disposition.--An importer may not
request the accelerated disposition under section 515(b) of
the Tariff Act of 1930 (19 U.S.C. 1515(b)) of a protest
against a decision of the Commissioner described in
subparagraph (A).
(f) Administration by Department of Labor.--The Secretary
of Labor is authorized to establish or designate an office
within the Department of Labor to carry out the provisions of
this section for which the Department is responsible.
(g) Review and Reports.--
(1) Periodic review on automotive rules of origin.--
(A) In general.--The Trade Representative, in consultation
with the interagency committee, shall conduct a biennial
review of the operation of the USMCA with respect to trade in
automotive goods, including--
(i) to the extent practicable, a summary of actions taken
by producers to demonstrate compliance with the automotive
rules of origin, use of the alternative staging regime,
enforcement of such rules of origin, and other relevant
matters; and
(ii) whether the automotive rules of origin are effective
and relevant in light of new technology and changes in the
content, production processes, and character of automotive
goods.
(B) Report.--
(i) In general.--The Trade Representative shall submit to
the appropriate congressional committees a report on each
review conducted under subparagraph (A).
(ii) Initial report.--The first report required under
clause (i) shall be submitted not later than 2 years after
the date on which the USMCA enters into force.
(iii) Termination of reporting requirement.--The
requirement to submit reports under clause (i) shall
terminate on the date that is 10 years after the date on
which the USMCA enters into force.
(2) Report by international trade commission.--Not later
than one year after the submission of the first report
required by paragraph (1)(B), and every 2 years thereafter
until the date that is 12 years after the date on which the
USMCA enters into force, the International Trade Commission
shall submit to the appropriate congressional committees and
the President a report on--
(A) the economic impact of the automotive rules of origin
on--
(i) the gross domestic product of the United States;
(ii) exports from and imports into the United States;
(iii) aggregate employment and employment opportunities in
the United States;
(iv) production, investment, use of productive facilities,
and profit levels in the automotive industries and other
pertinent industries in the United States affected by the
automotive rules of origin;
(v) wages and employment of workers in the automotive
sector in the United States; and
(vi) the interests of consumers in the United States;
(B) the operation of the automotive rules of origin and
their effects on the competitiveness of the United States
with respect to production and trade in automotive goods,
taking into account developments in technology, production
processes, or other related matters;
(C) whether the automotive rules of origin are relevant in
light of technological changes in the United States; and
(D) such other matters as the International Trade
Commission considers relevant to the economic impact of the
automotive rules of origin, including prices, sales,
inventories, patterns of demand, capital investment,
obsolescence of equipment, and diversification of production
in the United States.
(3) Report by comptroller general.--Not later than 4 years
after the date on which the USMCA enters into force, the
Comptroller General of the United States shall submit to the
Committee on Appropriations and the Committee on Ways and
Means of the House of Representatives and the Committee on
Appropriations and the Committee on Finance of the Senate a
report assessing the effectiveness of United States
Government interagency coordination on implementation,
enforcement, and verification of the automotive rules of
origin and the customs procedures of the USMCA with respect
to automotive goods.
(4) Public participation.--Before submitting a report under
paragraph (1)(B) or (2), the agency responsible for the
report shall--
(A) solicit information relating to matters that will be
addressed in the report from producers of automotive goods,
labor organizations, and other interested parties;
(B) provide for an opportunity for the submission of
comments, orally or in writing, from members of the public
relating to such matters; and
(C) after submitting the report, post a version of the
report appropriate for public viewing on a publicly available
internet website for the agency.
(h) Effective Date.--This section shall--
(1) take effect on the date of the enactment of this Act;
and
(2) apply with respect to goods entered, or withdrawn from
warehouse for consumption, on or after the date on which the
USMCA enters into force.
SEC. 203. MERCHANDISE PROCESSING FEE.
(a) In General.--Section 13031(b)(10) of the Consolidated
Omnibus Budget Reconciliation Act of 1985 (19 U.S.C.
58c(b)(10)) is amended by striking subparagraph (B) and
inserting the following:
``(B) No fee may be charged under paragraph (9) or (10) of
subsection (a) with respect to goods that qualify as
originating goods under section 202 of the United States-
Mexico-Canada Agreement Implementation Act or qualify for
duty-free treatment under Annex 6-A of the USMCA (as defined
in section 3 of that Act). Any service for which an exemption
from such fee is provided by reason of this paragraph may not
be funded with money contained in the Customs User Fee
Account.''.
(b) Effective Date.--
(1) In general.--The amendment made by subsection (a)
shall--
(A) take effect on the date on which the USMCA enters into
force; and
(B) apply with respect to a good entered or released on or
after that date.
(2) Transition from nafta treatment.--In the case of a good
entered or released before the date on which the USMCA enters
into force--
(A) the amendments made by subsection (a) to section
13031(b)(10)(B) of the Consolidated Omnibus Budget
Reconciliation Act of 1985 (19 U.S.C. 58c(b)(10)(B)) shall
not apply with respect to the good; and
(B) section 13031(b)(10)(B) of such Act, as in effect on
the day before that date, shall continue to apply on and
after that date with respect to the good.
(3) Entered or released defined.--In this subsection, the
term ``entered or released'' has the meaning given that term
in section 13031(b)(8)(E) of the Consolidated Omnibus Budget
Reconciliation Act of 1985 (19 U.S.C. 58c(b)(8)(E)).
SEC. 204. DISCLOSURE OF INCORRECT INFORMATION; FALSE
CERTIFICATIONS OF ORIGIN; DENIAL OF
PREFERENTIAL TARIFF TREATMENT.
(a) Disclosure of Incorrect Information.--Section 592 of
the Tariff Act of 1930 (19 U.S.C. 1592) is amended--
(1) in subsection (c), by striking paragraph (5) and
inserting the following:
``(5) Prior disclosure regarding claims under the usmca.--
An importer shall not be subject to penalties under
subsection (a) for making an incorrect claim that a good
qualifies as an originating good under section 202 of the
United States-Mexico-Canada Agreement Implementation Act if
the importer, in accordance with regulations prescribed by
the Secretary of the Treasury, promptly makes a corrected
declaration and pays any duties owing with respect to that
good.''; and
(2) by striking subsection (f) and inserting the following:
``(f) False Certifications of Origin Under the USMCA.--
``(1) In general.--Subject to paragraph (2), it is unlawful
for any person to certify falsely, by fraud, gross
negligence, or negligence, in a USMCA certification of origin
(as such term is defined in section 508 of this Act) that a
good exported from the United States qualifies as an
originating good under the rules of origin provided for in
section 202 of the United States-Mexico-Canada Agreement
Implementation Act. The procedures and penalties of this
section that apply to a violation of subsection (a) also
apply to a violation of this subsection.
``(2) Prompt and voluntary disclosure of incorrect
information.--No penalty shall be imposed under this
subsection if, promptly after an exporter or producer that
issued a USMCA certification of origin has reason to believe
that such certification contains or is based on incorrect
information, the exporter or producer voluntarily provides
written notice of such incorrect information to every person
to whom the certification was issued.
``(3) Exception.--A person shall not be considered to have
violated paragraph (1) if--
``(A) the information was correct at the time it was
provided in a USMCA certification of origin but was later
rendered incorrect due to a change in circumstances; and
``(B) the person promptly and voluntarily provides written
notice of the change in circumstances to all persons to whom
the person provided the certification.''.
(b) Denial of Preferential Tariff Treatment.--Section 514
of the Tariff Act of 1930 (19 U.S.C. 1514) is amended--
(1) in subsection (b), by striking ``and article 1904'' and
all that follows through ``Free-Trade Agreement'';
(2) in subsection (c)--
(A) in paragraph (1), in the matter following subparagraph
(D), by striking ``section 202 of the North American Free
Trade Agreement Implementation Act'' and inserting ``section
202 of the United States-Mexico-
[[Page H12231]]
Canada Agreement Implementation Act''; and
(B) in paragraph (2)(E)--
(i) by striking ``section 202 of the North American Free
Trade Agreement Implementation Act'' and inserting ``section
202 of the United States-Mexico-Canada Agreement
Implementation Act''; and
(ii) by striking ``NAFTA Certificate of Origin'' and
inserting ``USMCA certification of origin (as such term is
defined in section 508 of this Act)'';
(3) in subsection (e), by striking ``section 202 of the
North American Free Trade Agreement Implementation Act'' and
inserting ``section 202 of the United States-Mexico-Canada
Agreement Implementation Act''; and
(4) by striking subsection (f) and inserting the following:
``(f) Denial of Preferential Tariff Treatment Under the
USMCA.--If U.S. Customs and Border Protection or U.S.
Immigration and Customs Enforcement of the Department of
Homeland Security finds indications of a pattern of conduct
by an importer, exporter, or producer of false or unsupported
representations that goods qualify under the rules of origin
provided for in section 202 of the United States-Mexico-
Canada Agreement Implementation Act, U.S. Customs and Border
Protection, in accordance with regulations prescribed by the
Secretary of the Treasury, may suspend preferential tariff
treatment under the USMCA (as defined in section 3 of that
Act) to entries of identical goods covered by subsequent
representations by that importer, exporter, or producer until
U.S. Customs and Border Protection determines that
representations of that person are in conformity with such
section 202.''.
(c) Effective Date.--
(1) In general.--The amendments made by subsections (a) and
(b) shall--
(A) take effect on the date on which the USMCA enters into
force; and
(B) apply with respect to a good entered, or exported from
the United States, as the case may be, on or after that date.
(2) Transition from nafta treatment.--In the case of a good
entered, or exported from the United States, as the case may
be, before the date on which the USMCA enters into force--
(A) the amendments made by subsection (a) to section 592 of
the Tariff Act of 1930 (19 U.S.C. 1592) and the amendments
made by subsection (b) to section 514 of such Act (19 U.S.C.
1514) shall not apply with respect to the good; and
(B) sections 592 and 514 of such Act, as in effect on the
day before that date, shall continue to apply on and after
that date with respect to the good.
(3) Entered defined.--In this subsection, the term
``entered'' includes a withdrawal from warehouse for
consumption.
SEC. 205. RELIQUIDATION OF ENTRIES.
(a) In General.--Section 520(d) of the Tariff Act of 1930
(19 U.S.C. 1520(d)) is amended--
(1) in the matter preceding paragraph (1)--
(A) by striking ``section 202 of the North American Free
Trade Agreement Implementation Act,'';
(B) by striking ``, or section 203'' and inserting ``,
section 203''; and
(C) by striking ``for which'' and inserting ``, or section
202 of the United States-Mexico-Canada Agreement
Implementation Act (except with respect to any merchandise
processing fees), for which''; and
(2) by striking paragraph (2) and inserting the following:
``(2) copies of all applicable certificates or
certifications of origin; and''.
(b) Effective Date.--
(1) In general.--The amendments made by subsection (a)
shall--
(A) take effect on the date on which the USMCA enters into
force; and
(B) apply with respect to a good entered for consumption,
or withdrawn from warehouse for consumption, on or after that
date.
(2) Transition from nafta treatment.--In the case of a good
entered for consumption, or withdrawn from warehouse for
consumption, before the date on which the USMCA enters into
force--
(A) the amendments made by subsection (a) to section 520(d)
of the Tariff Act of 1930 (19 U.S.C. 1520(d)) shall not apply
with respect to the good; and
(B) section 520(d) of such Act, as in effect on the day
before that date, shall continue to apply on and after that
date with respect to the good.
SEC. 206. RECORDKEEPING REQUIREMENTS.
(a) In General.--Section 508 of the Tariff Act of 1930 (19
U.S.C. 1508) is amended--
(1) by striking subsection (b) and inserting the following:
``(b) Exports and Imports Relating to USMCA Countries.--
``(1) Definitions.--In this subsection:
``(A) USMCA; usmca country.--The terms `USMCA' and `USMCA
country' have the meanings given those terms in section 3 of
the United States-Mexico-Canada Agreement Implementation Act.
``(B) USMCA certification of origin.--The term `USMCA
certification of origin' means the certification established
under article 5.2.1 of the USMCA that a good qualifies as an
originating good under the USMCA.
``(2) Exports to usmca countries.--Any person who completes
a USMCA certification of origin or provides a written
representation for a good exported from the United States to
a USMCA country shall make, keep, and, pursuant to rules and
regulations prescribed by the Secretary of the Treasury,
render for examination and inspection, all records and
supporting documents related to the origin of the good
(including the certification or copies thereof), including
records related to--
``(A) the purchase, cost, value, and shipping of, and
payment for, the good;
``(B) the purchase, cost, value, and shipping of, and
payment for, all materials, including indirect materials,
used in the production of the good; and
``(C) the production of the good in the form in which it
was exported or the production of the material in the form in
which it was sold.
``(3) Exports under the canadian agreement.--Any person who
exports, or who knowingly causes to be exported, any
merchandise to Canada during such time as the United States-
Canada Free-Trade Agreement is in force with respect to, and
the United States applies that Agreement to, Canada shall
make, keep, and render for examination and inspection such
records (including certifications of origin or copies
thereof) which pertain to the exportations.
``(4) Imports into the united states.--
``(A) In general.--Any importer who claims preferential
tariff treatment under the USMCA for a good imported into the
United States from a USMCA country shall make, keep, and,
pursuant to rules and regulations prescribed by the Secretary
of the Treasury of the Secretary of Labor, render for
examination and inspection--
``(i) records and supporting documentation related to the
importation;
``(ii) all records and supporting documents related to the
origin of the good (including the certification or copies
thereof), if the importer completed the certification; and
``(iii) records and supporting documents necessary to
demonstrate that the good did not, while in transit to the
United States, undergo further production or any other
operation other than unloading, reloading, or any other
operation necessary to preserve the good in good condition or
to transport the good to the United States.
``(B) Vehicle producer.--Any vehicle producer whose good is
the subject of a claim for preferential tariff treatment
under the USMCA shall make, keep, and, pursuant to rules and
regulations promulgated by the Secretary of the Treasury and
Secretary of Labor, render for examination and inspection
records and supporting documents related to the labor value
content and steel and aluminum purchasing requirements for
the qualification of its vehicles for preferential treatment.
``(5) Retention period.--
``(A) Exports to usmca countries.--A person covered by
paragraph (2) who completes a USMCA certification of origin
or provides a written representation for a good exported from
the United States to a USMCA country shall keep the records
required by such paragraph relating to that certification of
origin for a period of at least 5 years after the date on
which the certification is completed.
``(B) Exports under canadian agreement.--The records
required by paragraph (3) shall be kept for such periods of
time as the Secretary shall prescribe, except that--
``(i) no period of time for the retention of the records
may exceed 5 years from the date of entry, filing of a
reconciliation, or exportation, as appropriate; and
``(ii) records for any drawback claim shall be kept until
the 3rd anniversary of the date of liquidation of the claim.
``(C) Imports into the united states.--
``(i) In general.--An importer covered by paragraph (4)(A)
shall keep the records and supporting documents required by
such paragraph for a period of at least 5 years after the
date of importation of the good.
``(ii) Vehicle producer.--A vehicle producer covered by
paragraph (4)(B) shall keep the records and supporting
documents required by paragraph (4)(B) for a period of at
least 5 years after the date of filing the certifications
required under paragraphs (1) and (2) of section 202A(c) of
the United States-Mexico-Canada Agreement Implementation
Act.'';
(2) by striking subsection (c); and
(3) in the paragraph heading for subsection (e)(1), by
striking ``nafta'' and inserting ``usmca''.
(b) Effective Date.--
(1) In general.--The amendments made by subsection (a)
shall take effect on the date on which the USMCA enters into
force.
(2) Applicability.--
(A) Exports.--Paragraphs (2) and (5)(A) of section 508(b)
of the Tariff Act of 1930, as amended by subsection (a),
shall apply with respect to a good exported from the United
States on or after the date on which the USMCA enters into
force.
(B) Imports.--Paragraphs (4) and (5)(C) of section 508(b)
of the Tariff Act of 1930, as amended by subsection (a),
shall apply with respect to a good that is entered for
consumption, or withdrawn from warehouse for consumption, on
or after the date on which the USMCA enters into force.
(3) Transition from nafta treatment.--
(A) Exports.--In the case of a good exported from the
United States before the date on which the USMCA enters into
force--
(i) the amendments made by subsection (a) to paragraphs (2)
and (5)(A) of section 508(b) of the Tariff Act of 1930 (19
U.S.C. 1508) shall not apply with respect to the good; and
(ii) section 508 of such Act, as in effect on the day
before that date, shall continue to apply on and after that
date with respect to the good.
[[Page H12232]]
(B) Imports.--In the case of a good that is entered for
consumption, or withdrawn from warehouse for consumption,
before the date on which the USMCA enters into force, the
amendments made by subsection (a) to paragraphs (4) and
(5)(C) of section 508(b) of the Tariff Act of 1930 (19 U.S.C.
1508) shall not apply with respect to the good.
SEC. 207. ACTIONS REGARDING VERIFICATION OF CLAIMS UNDER THE
USMCA.
(a) Verification.--
(1) Origin verification.--
(A) In general.--The Secretary of the Treasury may,
pursuant to article 5.9 of the USMCA, conduct a verification
of whether a good is an originating good under section 202 or
202A.
(B) Additional requirements.--If the Secretary conducts a
verification under subparagraph (A), the President may direct
the Secretary--
(i) during the verification process, to release the good
only upon payment of duties or provision of security; and
(ii) if the Secretary makes a negative determination under
subsection (b), to take action under subsection (c).
(2) Textile and apparel goods.--
(A) In general.--The Secretary of the Treasury may,
pursuant to article 6.6 of the USMCA, conduct a verification
described in subparagraph (C) with respect to a textile or
apparel good.
(B) Additional requirements.--If the Secretary conducts a
verification under subparagraph (A) with respect to a textile
or apparel good, the President may direct the Secretary--
(i) during the verification process, to take appropriate
action described in subparagraph (D); and
(ii) if the Secretary makes a negative determination
described in subsection (b), to take action under subsection
(c).
(C) Verification described.--A verification described in
this subparagraph with respect to a textile or apparel good
is--
(i) a verification of whether the good qualifies for
preferential tariff treatment under the USMCA; or
(ii) a verification of whether customs offenses are
occurring or have occurred with respect to the good.
(D) Action during verification.--Appropriate action
described in this subparagraph may consist of--
(i) release of the textile or apparel good that is the
subject of a verification described in subparagraph (C) upon
payment of duties or provision of security;
(ii) suspension of preferential tariff treatment under the
USMCA with respect to--
(I) the textile or apparel good that is the subject of a
verification described in subparagraph (C)(i), if the
Secretary determines that there is insufficient information
to support the claim for preferential tariff treatment; or
(II) any textile or apparel good exported or produced by a
person that is the subject of a verification described in
subparagraph (C)(ii) if the Secretary of the Treasury
determines that there is insufficient information to support
the claim for preferential tariff treatment made with respect
to that good;
(iii) denial of preferential tariff treatment under the
USMCA with respect to--
(I) the textile or apparel good that is the subject of a
verification described in subparagraph (C)(i) if the
Secretary determines that incorrect information has been
provided to support the claim for preferential tariff
treatment; or
(II) any textile or apparel good exported or produced by a
person that is the subject of a verification described in
subparagraph (C)(ii) if the Secretary determines that the
person has provided incorrect information to support the
claim for preferential tariff treatment that has been made
with respect to that good;
(iv) detention of any textile or apparel good exported or
produced by a person that is the subject of a verification
described in subparagraph (C) if the Secretary determines
that there is insufficient information to determine the
country of origin of that good; and
(v) denial of entry into the United States of any textile
or apparel good exported or produced by a person that is the
subject of a verification described in subparagraph (C) if
the Secretary determines that the person has provided
incorrect information regarding the country of origin of that
good.
(b) Negative Determination.--
(1) In general.--A negative determination described in this
subsection with respect to a good imported, exported, or
produced by an importer, exporter, or producer is a
determination by the Secretary, based on a verification
conducted under subsection (a), that--
(A) a claim by the importer, exporter, or producer that the
good qualifies as an originating good under section 202 is
inaccurate; or
(B) the good does not qualify for preferential tariff
treatment under the USMCA because--
(i) the importer, exporter, or producer failed to respond
to a written request for information or failed to provide
sufficient information to determine that the good qualifies
as an originating good;
(ii) after receipt of a written notification for a visit to
conduct verification under subsection (a), the exporter or
producer did not provide written consent for that visit;
(iii) the importer, exporter, or producer does not
maintain, or denies access to, records or documentation
required under section 508(l) of the Tariff Act of 1930 (19
U.S.C. 1508(l));
(iv) in the case of verification conducted under subsection
(a)(2)--
(I) access or permission for a site visit is denied;
(II) officials of the United States are prevented from
completing a site visit on the proposed date and the exporter
or producer does not provide an acceptable alternative date
for the site visit; or
(III) the exporter or producer does not provide access to
relevant documents or facilities during a site visit; or
(v) the importer, exporter, or producer--
(I) otherwise fails to comply with the requirements of this
section; or
(II) based on the preponderance of the evidence,
circumvents the requirements of this section.
(2) Requests for information.--The Secretary shall not make
a negative determination described in paragraph (1)(B)
unless--
(A) in a case in which the Secretary conducts a
verification with respect to a good by written request or
questionnaire submitted to the importer under article
5.9.1(a) of the USMCA and the claim for preferential tariff
treatment under the USMCA is based on a certification of
origin completed by the exporter or producer of the good, the
Secretary requests information from the exporter or producer
that completed the certification; or
(B) in a case in which the Secretary conducts a
verification with respect to a textile or apparel good by
requesting a site visit under article 6.6.2 of the USMCA, the
Secretary requests information from the importer and from any
exporter or producer that provided information to the
Secretary to support the claim for preferential tariff
treatment.
(c) Action Based on Determination.--
(1) Denial of preferential tariff treatment.--Upon making a
negative determination described in subsection (b)(1) with
respect to a good, the Secretary may deny preferential tariff
treatment under the USMCA with respect to the good.
(2) Withholding of preferential tariff treatment based on
pattern of conduct.--If verifications of origin relating to
identical goods indicate a pattern of conduct by an importer,
exporter, or producer of false or unsupported representations
relevant to a claim that a good imported into the United
States qualifies for preferential tariff treatment under the
USMCA, U.S. Customs and Border Protection, in accordance with
regulations prescribed by the Secretary, may withhold
preferential tariff treatment under the USMCA for entries of
those goods imported, exported, or produced by that person
until U.S. Customs and Border Protection determines that
person has established compliance with requirements for
claims for preferential tariff treatment under the USMCA.
(d) Prevention of Circumvention.--In making a determination
under this section, including whether to accept or reject a
claim for preferential tariff treatment under the USMCA, the
Secretary shall interpret the requirements of this section in
a manner to avoid and prevent circumvention of those
requirements.
SEC. 208. DRAWBACK [RESERVED].
SEC. 209. OTHER AMENDMENTS TO THE TARIFF ACT OF 1930.
(a) Country of Origin Marking.--Section 304 of the Tariff
Act of 1930 (19 U.S.C. 1304) is amended by striking
subsection (k) and inserting the following:
``(k) Treatment of Goods of a USMCA Country.--In applying
this section to an article that qualifies as a good of a
USMCA country (as defined in section 3 of the United States-
Mexico-Canada Agreement Implementation Act)--
``(1) the exemption under subsection (a)(3)(H) shall be
applied by substituting `reasonably know' for `necessarily
know';
``(2) the Secretary shall exempt the good from the
requirements for marking under subsection (a) if the good--
``(A) is an original work of art; or
``(B) is provided for under subheading 6904.10, heading
8541, or heading 8542 of the Harmonized Tariff Schedule of
the United States; and
``(3) subsection (b) does not apply to the usual container
of any good described in subsection (a)(3)(E) or (I) or
paragraph (2)(A) or (B) of this subsection.''.
(b) Examination of Books and Witnesses.--Section
509(a)(2)(A) of the Tariff Act of 1930 (19 U.S.C.
1509(a)(2)(A)) is amended--
(1) in clause (i), by inserting at the end ``or a vehicle
producer whose good is subject to a claim of preferential
tariff treatment under the USMCA (as defined in section 3 of
the United States-Mexico-Canada Agreement Implementation
Act),''; and
(2) in clause (ii), by striking ``a NAFTA country'' and all
that follows through ``Implementation Act)'' and inserting
``a USMCA country (as defined in section 3 of the United
States-Mexico-Canada Agreement Implementation Act)''.
(c) Exchange of Information.--Section 628 of the Tariff Act
of 1930 (19 U.S.C. 1628) is amended by striking subsection
(c) and inserting the following:
``(c) Government Agency of USMCA Country.--
``(1) In general.--The Secretary may authorize U.S. Customs
and Border Protection to exchange information with any
government agency of a USMCA country, if the Secretary--
[[Page H12233]]
``(A) reasonably believes the exchange of information is
necessary to implement chapter 2, 4, 5, 6, or 7 of the USMCA;
and
``(B) obtains assurances from such agency that the
information will be held in confidence and used only for
governmental purposes.
``(2) Definitions.--In this subsection, the terms `USMCA'
and `USMCA country' have the meanings given those terms in
section 3 of the United States-Mexico-Canada Agreement
Implementation Act.''.
(d) Effective Date.--
(1) In general.--The amendments made by this section
shall--
(A) take effect on the date on which the USMCA enters into
force; and
(B) apply with respect to a good entered for consumption,
or withdrawn from warehouse for consumption, on or after that
date.
(2) Transition from nafta treatment.--In the case of a good
entered for consumption, or withdrawn from warehouse for
consumption, before the date on which the USMCA enters into
force--
(A) the amendments made by this section shall not apply
with respect to the good; and
(B) the provisions of law amended by this section, as such
provisions were in effect on the day before that date, shall
continue to apply on and after that date with respect to the
good.
(e) Effective Date Relating to Exchange of Information.--
Notwithstanding the amendment made by subsection (c), the
Secretary of the Treasury shall retain the authority provided
in section 628(c) of the Tariff Act of 1930 (as in effect on
the day before the date on which the USMCA enters into force)
to exchange information with any government agency of a NAFTA
country (as defined in section 2 of the North American Free
Trade Agreement Implementation Act (as in effect on the day
before the date on which the USMCA enters into force)).
SEC. 210. REGULATIONS.
(a) Secretary of the Treasury.--The Secretary of the
Treasury shall prescribe such regulations as may be necessary
to carry out this title and the amendments made by this title
(except as provided by subsection (b)).
(b) Secretary of Labor.--The Secretary of Labor shall
prescribe such regulations as may be necessary to carry out
the labor value content determination under section 202A.
TITLE III--APPLICATION OF USMCA TO SECTORS AND SERVICES
Subtitle A--Relief From Injury Caused by Import Competition [reserved]
Subtitle B--Temporary Entry of Business Persons [reserved]
Subtitle C--United States-Mexico Cross-border Long-haul Trucking
Services
SEC. 321. DEFINITIONS.
In this subtitle:
(1) Border commercial zone.--The term ``border commercial
zone'' means--
(A) the area of United States territory of the
municipalities along the United States-Mexico international
border and the commercial zones of such municipalities as
described in subpart B of part 372 of title 49, Code of
Federal Regulations; and
(B) any additional border crossing and associated
commercial zones listed in the Federal Motor Carrier Safety
Administration OP-2 application instructions or successor
documents.
(2) Cargo originating in mexico.--The term ``cargo
originating in Mexico'' means any cargo that enters the
United States by commercial motor vehicle from Mexico,
including cargo that may have originated in a country other
than Mexico.
(3) Change in circumstances.--The term ``change in
circumstance'' may include a substantial increase in services
supplied by the grantee of a grant of authority.
(4) Commercial motor vehicle.--The term ``commercial motor
vehicle'' means a commercial motor vehicle, as such term is
defined in paragraph (1) of section 31132 of title 49, United
States Code, that meets the requirements of subparagraph (A)
of such paragraph.
(5) Cross-border long-haul trucking services.--The term
``cross-border long-haul trucking services'' means--
(A) the transportation by commercial motor vehicle of cargo
originating in Mexico to a point in the United States outside
of a border commercial zone; or
(B) the transportation by commercial motor vehicle of cargo
originating in the United States from a point in the United
States outside of a border commercial zone to a point in a
border commercial zone or a point in Mexico.
(6) Driver.--The term ``driver'' means a person that drives
a commercial motor vehicle in cross-border long-haul trucking
services.
(7) Grant of authority.--The term ``grant of authority''
means registration granted pursuant to section 13902 of title
49, United States Code, or a successor provision, to persons
of Mexico to conduct cross-border long-haul trucking services
in the United States.
(8) Interested party.--The term ``interested party''
means--
(A) persons of the United States engaged in the provision
of cross-border long-haul trucking services;
(B) a trade or business association, a majority of whose
members are part of the relevant United States long-haul
trucking services industry;
(C) a certified or recognized union, or representative
group of suppliers, operators, or drivers who are part of the
United States long-haul trucking services industry;
(D) the Government of Mexico; or
(E) persons of Mexico.
(9) Material harm.--The term ``material harm'' means a
significant loss in the share of the United States market or
relevant sub-market for cross-border long-haul trucking
services held by persons of the United States.
(10) Operator or supplier.--The term ``operator'' or
``supplier'' means an entity that has been granted
registration under section 13902 of title 49, United States
Code, to provide cross-border long-haul trucking services.
(11) Persons of mexico.--The term ``persons of Mexico''
includes--
(A) entities domiciled in Mexico organized, or otherwise
constituted under Mexican law, including subsidiaries of
United States companies domiciled in Mexico, or entities
owned or controlled by a Mexican national, which conduct
cross-border long-haul trucking services, or employ drivers
who are non-United States nationals; and
(B) drivers who are Mexican nationals.
(12) Persons of the united states.--The term ``persons of
the United States'' includes entities domiciled in the United
States, organized or otherwise constituted under United
States law, and not owned or controlled by persons of Mexico,
which provide cross-border long-haul trucking services and
long-haul commercial motor vehicle drivers who are United
States nationals.
(13) Threat of material harm.--The term ``threat of
material harm'' means material harm that is likely to occur.
(14) United states long-haul trucking services industry.--
The term ``United States long-haul trucking services
industry'' means--
(A) United States suppliers, operators, or drivers as a
whole providing cross-border long-haul trucking services; or
(B) United States suppliers, operators, or drivers
providing cross-border long-haul trucking services in a
specific sub-market of the whole United States market.
SEC. 322. INVESTIGATIONS AND DETERMINATIONS BY COMMISSION.
(a) Investigation.--Upon the filing of a petition by an
interested party described in subparagraph (A), (B), or (C)
of section 321(8) which is representative of a United States
long-haul trucking services industry, or at the request of
the President or the Trade Representative, or upon the
resolution of the Committee on Ways and Means of the House of
Representatives or the Committee on Finance of the Senate,
the International Trade Commission (in this subtitle referred
to as the ``Commission'') shall promptly initiate an
investigation to determine--
(1) whether a request by a person of Mexico to receive a
grant of authority that is pending as of the date of the
filing of the petition threatens to cause material harm to a
United States long-haul trucking services industry;
(2) whether a person of Mexico who has received a grant of
authority on or after the date of entry into force of the
USMCA and retains such grant of authority is causing or
threatens to cause material harm to a United States long-haul
trucking services industry; or
(3) whether, with respect to a person of Mexico who has
received a grant of authority before the date of entry into
force of the USMCA and retains such grant of authority, there
has been a change in circumstances such that such person of
Mexico is causing or threatens to cause material harm to a
United States long-haul trucking services industry.
(b) Transmission of Petition, Request, or Resolution.--The
Commission shall transmit a copy of any petition, request, or
resolution filed under subsection (a) to the Trade
Representative and the Secretary of Transportation.
(c) Publication and Hearings.--The Commission shall--
(1) promptly publish notice of the commencement of any
investigation under subsection (a) in the Federal Register;
and
(2) within a reasonable time period thereafter, hold public
hearings at which the Commission shall afford interested
parties an opportunity to be present, to present evidence, to
respond to presentations of other parties, and otherwise to
be heard.
(d) Factors Applied in Making Determinations.--In making a
determination under subsection (a) of whether a request by a
person of Mexico to receive a grant of authority, or a person
of Mexico who has received a grant of authority and retains
such grant of authority, as the case may be, threatens to
cause material harm to a United States long-haul trucking
services industry, the Commission shall--
(1) consider, among other things, and as relevant--
(A) the volume and tonnage of merchandise transported; and
(B) the employment, wages, hours of service, and working
conditions; and
(2) with respect to a change in circumstances described in
subsection (a)(3), take into account those operations by
persons of Mexico under grants of authority in effect as of
the date of entry into force of the USMCA are not causing
material harm.
(e) Assistance to Commission.--
(1) In general.--At the request of the Commission, the
Secretary of Homeland Security shall consult with the
Commission
[[Page H12234]]
and shall collect and maintain such additional data and other
information on commercial motor vehicles entering or exiting
the United States at a port of entry or exit at the United
States border with Mexico as the Commission may request for
the purpose of conducting investigations under subsection (a)
and shall make such information available to the Commission
in a timely manner.
(2) Requests for information.--
(A) In general.--At the request of the Commission, the
Secretary of Homeland Security, the Secretary of
Transportation, the Secretary of Commerce, the Secretary of
Labor, and the head of any other Federal agency shall make
available to the Commission any information in their
possession, including proprietary information, as the
Commission may require in order to assist the Commission in
making determinations under subsection (a).
(B) Confidential business information.--The Commission
shall treat any proprietary information obtained under
subparagraph (A) as confidential business information in
accordance with regulations adopted by the Commission to
carry out this subtitle.
(f) Limited Disclosure of Confidential Business Information
Under Protective Order.--The Commission shall promulgate
regulations to provide access to confidential business
information under protective order to authorized
representatives of interested parties who are parties to an
investigation under subsection (a).
(g) Deadline for Determination.--
(1) In general.--Not later than 120 days after the date on
which an investigation is initiated under subsection (a) with
respect to a petition, request, or resolution, the Commission
shall make a determination with respect to the petition,
request, or resolution.
(2) Exception.--If, before the 100th day after an
investigation is initiated under subsection (a), the
Commission determines that the investigation is
extraordinarily complicated, the Commission shall make its
determination with respect to the investigation not later
than 150 days after the date referred to in paragraph (1).
(h) Applicable Provisions.--For purposes of this subtitle,
the provisions of paragraphs (1), (2), and (3) of section
330(d) of the Tariff Act of 1930 (19 U.S.C. 1330(d)) shall be
applied with respect to determinations and findings made
under this section as if such determinations and findings
were made under section 202 of the Trade Act of 1974 (19
U.S.C. 2252).
SEC. 323. COMMISSION RECOMMENDATIONS AND REPORT.
(a) In General.--If the Commission makes an affirmative
determination under section 322, the Commission shall
recommend the action that is necessary to address the
material harm or threat of material harm found.
(b) Limitation.--Only those members of the Commission who
agreed to the affirmative determination under section 322 are
eligible to vote on the recommendation required to be made
under subsection (a).
(c) Report.--Not later than the date that is 60 days after
the date on which the determination is made under section
322, the Commission shall submit to the President a report
that includes--
(1) the determination and an explanation of the basis for
the determination;
(2) if the determination is affirmative, recommendations
for action and an explanation of the basis for the
recommendation; and
(3) any dissenting or separate views by members of the
Commission regarding the determination.
(d) Public Notice.--Upon submitting a report to the
President under subsection (c), the Commission shall--
(1) promptly make public the report (with the exception of
information which the Commission determines to be
confidential business information); and
(2) publish a summary of the report in the Federal
Register.
SEC. 324. ACTION BY PRESIDENT WITH RESPECT TO AFFIRMATIVE
DETERMINATION.
(a) In General.--Not later than the date that is 30 days
after the date on which the President receives a report of
the Commission in which the Commission's determination under
section 322 is affirmative or which contains a determination
that the President may treat as affirmative in accordance
with section 330(d)(1) of the Tariff Act of 1930 (19 U.S.C.
1330(d)(1))--
(1) the President shall, subject to subsection (b), issue
an order to the Secretary of Transportation specifying the
relief to be provided, consistent with subsection (c), and
directing the relief to be carried out; and
(2) the Secretary of Transportation shall carry out such
relief.
(b) Exception.--The President is not required to provide
relief under this section if the President determines that
provision of such relief--
(1) is not in the national economic interest of the United
States; or
(2) would cause serious harm to the national security of
the United States.
(c) Nature of Relief.--
(1) In general.--The relief the President is authorized to
provide under this subsection is as follows:
(A)(i) With respect to a determination relating to an
investigation under section 322(a)(1), the denial or
imposition of limitations on a request for a new grant of
authority by the persons of Mexico that are the subject of
the investigation.
(ii) With respect to a determination relating to an
investigation under section 322(a)(1), the revocation of, or
restrictions on, grants of authority issued to the persons of
Mexico that are the subject of the investigation since the
date of the petition, request, or resolution.
(B) With respect to a determination relating to an
investigation under section 322(a)(2) or (3), the revocation
or imposition of limitations on an existing grant of
authority by the persons of Mexico that are the subject of
the investigation.
(C) With respect to a determination relating to an
investigation under section 322(a)(1), (2), or (3), a cap on
the number of grants of authority issued to persons of Mexico
annually.
(2) Deadline for relief.--Not later than 15 days after the
date on which the President determines the relief to be
provided under this subsection, the President shall direct
the Secretary of Transportation to carry out the relief.
(d) Period of Relief.--
(1) In general.--Subject to paragraph (2), any relief that
the President provides under this section may not be in
effect for more than 2 years.
(2) Extension.--
(A) In general.--Subject to subparagraph (C), the
President, after receiving a determination from the
Commission under subparagraph (B) that is affirmative, or
which contains a determination that the President may treat
as affirmative in accordance with section 330(d)(1) of the
Tariff Act of 1930 (19 U.S.C. 1330(d)(1)(1)), may extend the
effective period of relief provided under this section by up
to an additional 4 years, if the President determines that
the provision of the relief continues to be necessary to
remedy or prevent material harm.
(B) Action by commission.--
(i) Investigation.--Upon request of the President, or upon
the filing by an interested party described in subparagraph
(A), (B), or (C) of section 321(8) which is representative of
a United States long-haul trucking services industry that is
filed with the Commission not earlier than the date that is
270 days, and not later than the date that is 240 days,
before the date on which any action taken under this section
is to terminate, the Commission shall conduct an
investigation to determine whether action under this section
continues to be necessary to remedy or prevent material harm.
(ii) Notice and hearing.--The Commission shall--
(I) publish notice of the commencement of an investigation
under clause (i) in the Federal Register; and
(II) within a reasonable time thereafter, hold a public
hearing at which the Commission shall afford interested
parties an opportunity to be present, to present evidence,
and to respond to the presentations of other parties and
consumers, and otherwise be heard.
(iii) Report.--Not later than the date that is 60 days
before relief provided under subsection (a) is to terminate,
or such other date as determined by the President, the
Commission shall submit to the President a report on its
investigation and determination under this subparagraph.
(C) Period of relief.--Any relief provided under this
section, including any extension thereof, may not, in the
aggregate, be in effect for more than 6 years.
(D) Limitation.--
(i) In general.--Except as provided in clause (ii), the
Commission may not conduct an investigation under
subparagraph (B)(i) if--
(I) the subject matter of the investigation is the same as
the subject matter of a previous investigation conducted
under subparagraph (B)(i); and
(II) less than 1 year has elapsed since the Commission made
its report to the President of the results of such previous
investigation.
(ii) Exception.--Clause (i) shall not apply with respect to
an investigation if the Commission determines good cause
exists to conduct the investigation.
(e) Regulations.--The Commission and the Secretary of
Transportation are authorized to promulgate such rules and
regulations as may be necessary to carry out this subtitle.
SEC. 325. CONFIDENTIAL BUSINESS INFORMATION.
Section 202(a)(8) of the Trade Act of 1974 (19 U.S.C.
2252(a)(8)) is amended in the first sentence by striking
``and title III of the United States-Panama Trade Promotion
Agreement Implementation Act'' and inserting ``, title III of
the United States-Panama Trade Promotion Agreement
Implementation Act, and subtitle C of title III of the United
States-Mexico-Canada Agreement Implementation Act''.
SEC. 326. CONFORMING AMENDMENTS.
(a) Registration of Motor Carriers.--Section 13902 of title
49, United States Code, is amended by inserting at the end
the following:
``(j) Mexico-Domiciled Motor Carriers.--Notwithstanding any
other provision of this section, upon an order in accordance
with section 324(a) of the United States-Mexico-Canada
Agreement Implementation Act, the Secretary shall carry out
the relief specified by denying or imposing limitations on a
request for registration or capping the number of requests
for registration by Mexico-domiciled motor carriers of cargo
to operate beyond the municipalities along the United States-
Mexico international border and the commercial zones of those
municipalities as directed.''.
[[Page H12235]]
(b) Effective Periods of Registration.--Section 13905 of
title 49, United States Code, is amended by inserting at the
end the following:
``(g) Mexico-Domiciled Motor Carriers.--Notwithstanding any
other provision of this section, upon an order in accordance
with section 324(a) of the United States-Mexico-Canada
Agreement Implementation Act, the Secretary shall carry out
the relief specified by revoking or imposing limitations on
existing registrations of Mexico-domiciled motor carriers of
cargo to operate beyond the municipalities along the United
States-Mexico international border and the commercial zones
of those municipalities as directed.''.
SEC. 327. SURVEY OF OPERATING AUTHORITIES.
The Department of Transportation shall undertake a survey
of all existing grants of operating authority to, and pending
applications for operating authority from, all Mexico-
domiciled motor property carriers for operating beyond the
Border Commercial Zones, including OP-1 (MX) operating
authority (Mexico-domiciled Carriers for Motor Carrier
Authority to Operate Beyond U.S. Municipalities and
Commercial Zones on the U.S.-Mexico Border) and OP-1
operating authority (United States-based Enterprise Carrier
of International Cargo Application for Motor Property Carrier
and Broker Authority). The Department of Transportation shall
prepare a report summarizing the results of such survey not
less than 180 days after the date on which the USMCA enters
into force, which it shall deliver to the Office of the
United States Trade Representative, the Commission, and the
Chairs and Ranking Members of the Committee on Transportation
and Infrastructure of the House of Representatives, the
Committee on Commerce, Science, and Transportation of the
Senate, the Committee on Ways and Means of the House of
Representatives, and the Committee on Finance of the Senate.
TITLE IV--ANTIDUMPING AND COUNTERVAILING DUTIES
Subtitle A--Preventing Duty Evasion
SEC. 401. COOPERATION ON DUTY EVASION.
Section 414(b) of the Enforce and Protect Act of 2015 (19
U.S.C. 4374(b)) is amended--
(1) by inserting ``or a party to the USMCA (as defined in
section 3 of the United States-Mexico-Canada Agreement
Implementation Act)'' after ``subsection (a)''; and
(2) by inserting ``or the USMCA, as the case may be,''
after ``the bilateral agreement''.
Subtitle B--Dispute Settlement [reserved]
Subtitle C--Conforming Amendments
SEC. 421. JUDICIAL REVIEW IN ANTIDUMPING DUTY AND
COUNTERVAILING DUTY CASES.
Section 516A of the Tariff Act of 1930 (19 U.S.C. 1516a) is
amended--
(1) in subsection (a)--
(A) in paragraph (2)(B)(vii), by striking ``the Tariff Act
of 1930'' and inserting ``this Act''; and
(B) in paragraph (5)(D)(i), by striking ``article 1904 of
the NAFTA'' and inserting ``article 10.12 of the USMCA'';
(2) in subsection (b)(3)--
(A) in the paragraph heading, by striking ``nafta or united
states-canada'' and inserting ``united states-canada or
usmca''; and
(B) in the text, by striking ``of the NAFTA or of the
Agreement'' and inserting ``of the Agreement or article 10.12
of the USMCA'';
(3) in subsection (f)--
(A) in paragraph (6)(A), by striking ``article 1908 of the
NAFTA'' and inserting ``article 10.16 of the USMCA'';
(B) in paragraph (7)(A), by striking ``article 1908 of the
NAFTA'' and inserting ``article 10.16 of the USMCA'';
(C) by striking paragraph (8);
(D) by redesignating paragraphs (9) and (10) as paragraphs
(8) and (9), respectively;
(E) in paragraph (9), as redesignated by subparagraph (D),
by striking subparagraphs (A) and (B) and inserting the
following:
``(A) Canada for such time as the USMCA is in force with
respect to, and the United States applies the USMCA to,
Canada.
``(B) Mexico for such time as the USMCA is in force with
respect to, and the United States applies the USMCA to,
Mexico.''; and
(F) by adding at the end the following:
``(10) USMCA.--The term `USMCA' has the meaning given that
term in section 3 of the United States-Mexico-Canada
Agreement Implementation Act.'';
(4) in subsection (g)--
(A) in paragraph (2), in the matter preceding subparagraph
(A), by striking ``of the NAFTA or of the Agreement'' and
inserting ``of the Agreement or article 10.12 of the USMCA'';
(B) in paragraph (3)(A)--
(i) in clause (i), by striking ``of the NAFTA or of the
Agreement.'' and inserting ``of the Agreement or article
10.12 of the USMCA;'';
(ii) in clause (iii), by striking ``the NAFTA or of the
Agreement'' and inserting ``the Agreement or the USMCA'';
(iii) in clause (v), by striking ``paragraph 12 of article
1905 of the NAFTA'' and inserting ``article 10.13 of the
USMCA''; and
(iv) in clause (vi), by striking ``paragraph 12 of article
1905 of the NAFTA'' and inserting ``article 10.13 of the
USMCA'';
(C) in paragraph (4)(A), by striking ``the North American
Free Trade Agreement'' and all that follows through ``chapter
19 of the Agreement'' and inserting ``the United States-
Canada Free-Trade Agreement Implementation Act of 1988
implementing the binational panel dispute settlement system
under chapter 19 of the Agreement, or the United States-
Mexico-Canada Agreement Implementation Act implementing the
binational panel dispute settlement system under chapter 10
of the USMCA'';
(D) in paragraph (5)--
(i) in subparagraph (A), by striking ``of the NAFTA or of
the Agreement'' and inserting ``of the Agreement or article
10.12 of the USMCA'';
(ii) in subparagraph (B), by striking ``of the NAFTA or of
the Agreement'' and inserting ``of the Agreement or article
10.12 of the USMCA''; and
(iii) in subparagraph (C)--
(I) in clause (i), by striking ``of the NAFTA or of the
Agreement'' and inserting ``of the Agreement or article 10.12
of the USMCA''; and
(II) in clause (iii), by striking ``of the NAFTA or of the
Agreement'' and inserting ``of the Agreement or chapter 10 of
the USMCA'';
(E) in paragraph (6), by striking ``of the NAFTA or of the
Agreement'' and inserting ``of the Agreement or article 10.12
of the USMCA'';
(F) in paragraph (7)--
(i) in the paragraph heading, by striking ``of the nafta or
the agreement'' and inserting ``of the agreement or article
10.12 of the usmca''; and
(ii) in subparagraph (A), by striking ``the NAFTA or the
Agreement'' and inserting ``article 1904 of the Agreement or
article 10.12 of the USMCA'';
(G) in paragraph (8)--
(i) in subparagraph (A)--
(I) in clause (i), by striking ``of the NAFTA or of the
Agreement'' and inserting ``of the Agreement or article 10.12
of the USMCA''; and
(II) in clause (ii)--
(aa) in the clause heading, by striking ``nafta'' and
inserting ``usmca''; and
(bb) in the text, by striking ``paragraph 11(a) of article
1905 of the NAFTA'' and inserting ``article 10.13 of the
USMCA''; and
(ii) in subparagraph (C), by striking ``of the NAFTA or the
Agreement'' and inserting ``of the Agreement or article 10.12
of the USMCA'';
(H) in paragraph (9), by striking ``of the NAFTA or of the
Agreement'' and inserting ``of the Agreement or chapter 10 of
the USMCA'';
(I) in paragraph (10), by striking ``the NAFTA or the
Agreement'' and inserting ``the Agreement or under article
10.12 of the USMCA'';
(J) by striking paragraph (11) and inserting the following:
``(11) Suspension and termination of suspension of article
10.12 of the usmca.--
``(A) Suspension.--If a special committee established under
article 10.13 of the USMCA issues an affirmative finding, the
Trade Representative may, in accordance with article 10.13 of
the USMCA, suspend the operation of article 10.12 of the
USMCA.
``(B) Termination of suspension.--If a special committee is
reconvened and makes an affirmative determination described
in article 10.13 of the USMCA, any suspension of the
operation of article 10.12 of the USMCA shall terminate.'';
and
(K) in paragraph (12)--
(i) in the paragraph heading, by striking ``nafta'' and
inserting ``usmca'';
(ii) by striking subparagraph (A) and inserting the
following:
``(A) Notice of suspension or termination of suspension of
article 10.12 of the usmca.--
``(i) Notice of suspension.--Upon notification by the Trade
Representative or the government of a country described in
subparagraph (A) or (B) of subsection (f)(9) that the
operation of article 10.12 of the USMCA has been suspended in
accordance with article 10.13 of the USMCA, the United States
Secretary shall publish in the Federal Register a notice of
suspension of article 10.12 of the USMCA.
``(ii) Notice of termination of suspension.--Upon
notification by the Trade Representative or the government of
a country described in subparagraph (A) or (B) of subsection
(f)(9) that the suspension of the operation of article 10.12
of the USMCA is terminated in accordance with article 10.13
of the USMCA, the United States Secretary shall publish in
the Federal Register a notice of termination of suspension of
article 10.12 of the USMCA.'';
(iii) in subparagraph (B)--
(I) in the subparagraph heading, by striking ``article
1904'' and inserting ``article 10.12 of the usmca''; and
(II) in the matter preceding clause (i), by striking ``If''
and all that follows through ``NAFTA--'' and inserting the
following: ``If the operation of article 10.12 of the USMCA
is suspended in accordance with article 10.13 of the USMCA--
'';
(iv) in subparagraph (C)--
(I) in clause (i)--
(aa) in the matter preceding subclause (I), by striking
``if the United States'' and all that follows through
``NAFTA--'' and inserting the following: ``if the United
States made an allegation under article 10.13 of the USMCA
and the operation of article 10.12 of the USMCA was suspended
pursuant to article 10.13 of the USMCA--''; and
(bb) in subclause (I), by striking ``subsection (f)(10)(A)
or (B)'' and inserting ``subparagraph (A) or (B) of
subsection (f)(9)''; and
(II) in clause (ii), in the matter preceding subclause (I),
by striking ``if a country'' and all that follows through
``NAFTA--'' and inserting the following: ``if a country
described in subparagraph (A) or (B) of subsection (f)(9)
[[Page H12236]]
made an allegation under article 10.13 of the USMCA and the
operation of article 10.12 of the USMCA was suspended
pursuant to article 10.13 of the USMCA--''; and
(v) in subparagraph (D)(i), by striking ``a country
described'' and all that follows through ``NAFTA'' and
inserting ``a country described in subparagraph (A) or (B) of
subsection (f)(9) pursuant to article 10.13 of the USMCA''.
SEC. 422. CONFORMING AMENDMENTS TO OTHER PROVISIONS OF THE
TARIFF ACT OF 1930.
(a) Disclosure of Proprietary Information Under Protective
Orders.--Section 777(f) of the Tariff Act of 1930 (19 U.S.C.
1677f(f)) is amended--
(1) in the subsection heading, by striking ``North American
Free Trade Agreement or the United States-Canada Agreement''
and inserting ``the United States-Canada Agreement or the
USMCA'';
(2) in paragraph (1)--
(A) in subparagraph (A), by striking ``article 1904 of the
NAFTA'' and all that follows through ``, the administering
authority'' and inserting ``article 1904 of the United
States-Canada Agreement or article 10.12 of the USMCA, or an
extraordinary challenge committee is convened under Annex
1904.13 of the United States-Canada Agreement or chapter 10
of the USMCA, the administering authority''; and
(B) in subparagraph (B), by striking ``chapter 19 of the
NAFTA or the Agreement'' each place it appears and inserting
``chapter 19 of the Agreement or chapter 10 of the USMCA'';
(3) in paragraph (3), by striking ``the NAFTA or the United
States-Canada Agreement'' and inserting ``article 1904 of the
United States-Canada Agreement or article 10.12 of the
USMCA'';
(4) in paragraph (4), by striking ``section 402(b) of the
North American Free Trade Agreement Implementation Act'' and
inserting ``section 412(b) of the United States-Mexico-Canada
Agreement Implementation Act''; and
(5) by striking ``section 516A(f)(10)'' each place it
appears and inserting ``section 516A(f)(9)''.
(b) Definition.--Section 771 of the Tariff Act of 1930 (19
U.S.C. 1677) is amended by striking paragraph (22) and
inserting the following:
``(22) USMCA.--The term `USMCA' has the meaning given that
term in section 3 of the United States-Mexico-Canada
Agreement Implementation Act.''.
SEC. 423. CONFORMING AMENDMENTS TO TITLE 28, UNITED STATES
CODE.
(a) Court of International Trade.--Chapter 95 of title 28,
United States Code, is amended--
(1) in section 1581(i)--
(A) by redesignating paragraphs (1) through (4) as
subparagraphs (A) through (D), respectively;
(B) by inserting ``(1)'' after ``(i)'';
(C) in subparagraph (D), as redesignated by subparagraph
(A), by striking ``paragraphs (1)-(3) of this subsection''
and inserting ``subparagraphs (A) through (C) of this
paragraph''; and
(D) by striking the flush text and inserting the following:
``(2) This subsection shall not confer jurisdiction over an
antidumping or countervailing duty determination which is
reviewable by--
``(A) the Court of International Trade under section
516A(a) of the Tariff Act of 1930 (19 U.S.C. 1516a(a)); or
``(B) a binational panel under section 516A(g) of the
Tariff Act of 1930 (19 U.S.C. 1516a(g)).'';
(2) in section 1584, by striking the section heading and
inserting the following:
``Sec. 1584. Civil actions under the United States-Canada
Free-Trade Agreement or the USMCA'';
and
(3) in the table of sections at the beginning of the
chapter, by striking the item relating to section 1584 and
inserting the following:
*ERR08*``1584. Civil actions under the United States-Canada Free-Trade
Agreement or the USMCA.''.
=========================== NOTE ===========================
December 19, 2019, on page H12236, ``*ERR08*'' inadvertently
appeared at one place.
The online version has been corrected to delete the inadvertent
text.
========================= END NOTE =========================
(b) Particular Proceedings.--Sections 2201(a) and
2643(c)(5) of title 28, United States Code, are each amended
by striking ``section 516A(f)(10)'' and inserting ``section
516A(f)(9)''.
Subtitle D--General Provisions
SEC. 431. EFFECT OF TERMINATION OF USMCA COUNTRY STATUS.
(a) In General.--Except as provided in subsection (b), on
the date on which a country ceases to be a USMCA country, the
provisions of this title (other than this section) and the
amendments made by this title shall cease to have effect with
respect to that country.
(b) Transition Provisions.--
(1) Proceedings regarding protective orders and
undertakings.--If on the date on which a country ceases to be
a USMCA country an investigation or enforcement proceeding
concerning the violation of a protective order issued under
section 777(f) of the Tariff Act of 1930 (as amended by this
title) or an undertaking of the government of that country is
pending, the investigation or proceeding shall continue, and
sanctions may continue to be imposed, in accordance with the
provisions of such section 777(f) (as so amended).
(2) Binational panel and extraordinary challenge committee
reviews.--If on the date on which a country ceases to be a
USMCA country--
(A) a binational panel review under article 10.12 of the
USMCA is pending, or has been requested, or
(B) an extraordinary challenge committee review under that
article is pending, or has been requested,
with respect to a determination which involves a class or
kind of merchandise and to which subsection (g)(2) of section
516A of the Tariff Act of 1930 (19 U.S.C. 1516a) applies,
such determination shall be reviewable under subsection (a)
of that section. In the case of a determination to which the
provisions of this paragraph apply, the time limits for
commencing an action under 516A(a) of the Tariff Act of 1930
shall not begin to run until the date on which the USMCA
ceases to be in force with respect to that country.
SEC. 432. EFFECTIVE DATE.
The provisions of this title and the amendments made by
this title shall take effect on the date on which the USMCA
enters into force, but shall not apply--
(1) to any final determination described in paragraph
(1)(B) or clause (i), (ii), or (iii) of paragraph (2)(B) of
section 516A(a) of the Tariff Act of 1930 (19 U.S.C.
1516a(a)) notice of which is published in the Federal
Register before such date, or to a determination described in
paragraph (2)(B)(vi) of that section notice of which is
received by the Government of Canada or Mexico before such
date; or
(2) to any binational panel review under NAFTA, or any
extraordinary challenge arising out of any such review, that
was commenced before such date.
TITLE V--TRANSFER PROVISIONS AND OTHER AMENDMENTS
SEC. 501. DRAWBACK.
(a) Clerical Amendment.--Section 208 of this Act is amended
in the section heading by striking ``[reserved]''.
(b) USMCA Drawback.--Subsection (a) of section 203 of the
North American Free Trade Agreement Implementation Act (19
U.S.C. 3333) is--
(1) transferred to section 208 of this Act;
(2) inserted after the section heading for that section (as
amended by subsection (a)); and
(3) amended--
(A) by striking ``NAFTA country'' each place it appears and
inserting ``USMCA country'';
(B) in the subsection heading, by striking ``NAFTA'' and
inserting ``USMCA'';
(C) in the matter preceding paragraph (1)--
(i) by striking ``and the amendments made by subsection
(b)''; and
(ii) by striking ``NAFTA drawback'' and inserting ``USMCA
drawback'';
(D) in paragraph (2)--
(i) in subparagraph (A), by inserting ``sorting, marking,''
after ``repacking,''; and
(ii) in subparagraph (B), by striking ``paragraph 12 of
section A of Annex 703.2 of the Agreement'' and inserting
``paragraph 11 of Annex 3-B of the USMCA''; and
(E) by amending paragraph (6) to read as follows:
``(6) A good provided for in subheading 1701.13.20 or
1701.14.20 of the HTS that is imported under any re-export
program or any like program and that is--
``(A) used as a material, or
``(B) substituted for by a good of the same kind and
quality that is used as a material,
in the production of a good provided for in existing Canadian
tariff item 1701.99.00 or existing Mexican tariff item
1701.99.01, 1701.99.02, or 1701.99.99 (relating to refined
sugar).''.
(c) Same Kind and Quality.--Section 208 of this Act, as
amended by subsection (b), is further amended by adding at
the end the following:
``(b) Same Kind and Quality.--For purposes of paragraphs
(3)(A)(iii), (5)(C), (6)(B), and (8) of subsection (a), and
for purposes of obtaining refunds, waivers, or reductions of
customs duties with respect to a good subject to USMCA
drawback under section 313(n)(2) of the Tariff Act of 1930
(19 U.S.C. 1313(n)(2)), a good is a good of the same kind and
quality as another good--
``(1) for a good described in such paragraph (6)(B), if the
good would have been considered of the same kind and quality
as the other good on the day before the date on which the
USMCA enters into force; or
``(2) for other goods if--
``(A) the good is classified under the same 8-digit HTS
subheading number as the other good; or
``(B) drawback would be allowed with respect to the goods
under subsection (b)(4), (j)(1), or (p) of section 313 of the
Tariff Act of 1930 (19 U.S.C. 1313).''.
(d) Certain Fees; Inapplicability to Countervailing and
Antidumping Duties.--Subsections (d) and (e) of section 203
of the North American Free Trade Agreement Implementation Act
(19 U.S.C. 3333) are--
(1) transferred to section 208 of this Act;
(2) inserted after subsection (b) of section 208 (as added
by subsection (c));
(3) redesignated as subsections (c) and (d), respectively;
and
(4) amended, in subsection (c) (as redesignated by
paragraph (3)), by striking ``exported to'' and all that
follows through the period at the end and inserting
``exported to a USMCA country.''.
(e) Conforming Amendments.--
(1) Bonded manufacturing warehouses.--Section 311 of the
Tariff Act of 1930 (19 U.S.C. 1311) is amended, in the
eleventh paragraph--
(A) by striking ``NAFTA'' each place it appears;
[[Page H12237]]
(B) by striking ``section 203(a) of the North American Free
Trade Agreement Implementation Act'' and inserting ``section
208(a) of the United States-Mexico-Canada Agreement
Implementation Act''; and
(C) by striking ``section 2(4) of that Act'' and inserting
``section 3 of that Act''.
(2) Bonded smelting and refining warehouses.--Section 312
of the Tariff Act of 1930 (19 U.S.C. 1312) is amended, in
subsections (b) and (d)--
(A) by striking ``NAFTA'' each place it appears and
inserting ``USMCA'';
(B) by striking ``section 2(4) of the North American Free
Trade Agreement Implementation Act'' each place it appears
and inserting ``section 3 of the United States-Mexico-Canada
Agreement Implementation Act''; and
(C) by striking ``section 203(a) of that Act'' each place
it appears and inserting ``section 208(a) of that Act''.
(3) Drawback and refunds.--Section 313 of the Tariff Act of
1930 (19 U.S.C. 1313) is amended--
(A) in subsection (j)(4), by striking subparagraph (A) and
inserting the following:
``(A)(i) Effective upon the entry into force of the USMCA,
the exportation to a USMCA country of merchandise that is
fungible with and substituted for imported merchandise, other
than merchandise described in paragraphs (1) through (8) of
section 208(a) of the United States-Mexico-Canada Agreement
Implementation Act, shall not constitute an exportation for
purposes of paragraph (2).
``(ii) In this subparagraph, the terms `USMCA' and `USMCA
country' have the meanings given those terms in section 3 of
the United States-Mexico-Canada Agreement Implementation
Act.'';
(B) in subsection (n)--
(i) in paragraph (1), by striking subparagraphs (A) and (B)
and inserting the following:
``(A) the term `USMCA country' has the meaning given that
term in section 3 of the United States-Mexico-Canada
Agreement Implementation Act;
``(B) the term `good subject to USMCA drawback' has the
meaning given that term in section 208(a) of the United
States-Mexico-Canada Agreement Implementation Act;''; and
(ii) in paragraphs (2) and (3), by striking ``NAFTA'' each
place it appears and inserting ``USMCA''; and
(C) in subsection (o), by striking ``NAFTA'' each place it
appears and inserting ``USMCA''.
(4) Manipulation in warehouse.--Section 562 of the Tariff
Act of 1930 (19 U.S.C. 1562) is amended--
(A) by striking paragraph (1) and inserting the following:
``(1) without payment of duties for exportation to a USMCA
country, as defined in section 3 of the United States-Mexico-
Canada Agreement Implementation Act, if the merchandise is of
a kind described in any of paragraphs (1) through (8) of
section 208(a) of that Act;'';
(B) in paragraph (2)--
(i) by striking ``section 203(a) of that Act'' and
inserting ``section 208(a) of that Act''; and
(ii) by striking ``NAFTA'' each place it appears and
inserting ``USMCA''; and
(C) in paragraphs (3) and (4), by striking ``NAFTA'' each
place it appears and inserting ``USMCA''.
(5) Foreign trade zones.--Section 3(a)(2) of the Act of
June 18, 1934 (commonly known as the ``Foreign Trade Zones
Act'') (19 U.S.C. 81c(a)(2)) is amended, in the flush text--
(A) by striking ``goods subject to NAFTA drawback, as
defined in section 203(a) of the North American Free Trade
Agreement Implementation Act'' and inserting ``goods subject
to USMCA drawback, as defined in section 208(a) of the United
States-Mexico-Canada Agreement Implementation Act'';
(B) by striking ``a NAFTA country, as defined in section
2(4) of that Act'' and inserting ``a USMCA country, as
defined in section 3 of that Act''; and
(C) by striking ``NAFTA'' each place it appears and
inserting ``USMCA''.
(f) Additional Clerical Amendment.--The table of contents
for this Act is amended by striking the item relating to
section 208 and inserting the following:
``Sec. 208. Drawback.''.
(g) Effective Date.--
(1) In general.--Each transfer, redesignation, and
amendment made by subsections (b) through (e) shall--
(A) take effect on the date on which the USMCA enters into
force; and
(B) apply with respect to a good entered, or withdrawn from
warehouse for consumption, on or after that date.
(2) Transition from nafta treatment.--In the case of a good
entered, or withdrawn from warehouse for consumption, before
the date on which the USMCA enters into force--
(A) the amendments made by subsections (b) through (e)
shall not apply with respect to the good; and
(B) the provisions of law amended by such subsections, as
such provisions were in effect on the day before that date,
shall continue to apply on and after that date with respect
to the good.
SEC. 502. RELIEF FROM INJURY CAUSED BY IMPORT COMPETITION.
(a) Clerical Amendment.--Subtitle A of title III of this
Act is amended in the subtitle heading by striking
``[reserved]''.
(b) Article Impact in Import Relief Cases.--Section 311 of
the North American Free Trade Agreement Implementation Act
(19 U.S.C. 3371) is--
(1) transferred to subtitle A of title III of this Act;
(2) inserted after the heading (as amended by subsection
(a)) of such subtitle;
(3) redesignated as section 301; and
(4) amended--
(A) in the section heading, by striking ``nafta'' and
inserting ``usmca'';
(B) in subsection (c), by striking ``section 312(a)'' and
inserting ``section 302(a)''; and
(C) by striking ``NAFTA'' each place it appears and
inserting ``USMCA''.
(c) Presidential Action Regarding Imports.--Section 312 of
the North American Free Trade Agreement Implementation Act
(19 U.S.C. 3372) is--
(1) transferred to subtitle A of title III of this Act;
(2) inserted after section 301 (as inserted and
redesignated by subsection (b));
(3) redesignated as section 302; and
(4) amended--
(A) in the section heading, by striking ``nafta'' and
inserting ``usmca'';
(B) in subsection (b), in the subsection heading, by
striking ``NAFTA'' and inserting ``USMCA'';
(C) in subsection (c), in the subsection heading, by
striking ``NAFTA'' and inserting ``USMCA''; and
(D) by striking ``NAFTA'' each place it appears and
inserting ``USMCA''.
(d) Additional Clerical Amendments.--The table of contents
for this Act is amended by striking the item relating to
subtitle A of title III and inserting the following:
``Subtitle A--Relief From Injury Caused by Import Competition
``Sec. 301. USMCA article impact in import relief cases under the Trade
Act of 1974.
``Sec. 302. Presidential action regarding USMCA imports.''.
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text.
========================= END NOTE =========================
(e) Effective Date.--
(1) In general.--Each transfer, redesignation, and
amendment made by this section shall--
(A) take effect on the date on which the USMCA enters into
force; and
(B) apply with respect to an investigation under chapter 1
of title II of the Trade Act of 1974 (19 U.S.C. 2251 et seq.)
initiated on or after that date.
(2) Transition from nafta.--In the case of an investigation
under chapter 1 of title II of the Trade Act of 1974
initiated before the date on which the USMCA enters into
force--
(A) the transfers, redesignations, and amendments made by
this section shall not apply with respect to the
investigation; and
(B) sections 311 and 312 of the North American Free Trade
Agreement Implementation Act (19 U.S.C. 3371 and 3372), as in
effect on the day before that date, shall continue to apply
on and after that date with respect to the investigation.
SEC. 503. TEMPORARY ENTRY.
(a) Clerical Amendment.--Subtitle B of title III of this
Act is amended in the subtitle heading by striking
``[reserved]''.
(b) Nonimmigrant Traders and Investors.--Section 341 of the
North American Free Trade Agreement Implementation Act
(Public Law 103-182; 107 Stat. 2116) is--
(1) transferred to subtitle B of title III of this Act;
(2) inserted after the heading (as amended by subsection
(a)) of such subtitle;
(3) redesignated as section 311; and
(4) amended--
(A) by striking subsections (b) and (c);
(B) by striking ``(a)'' and all that follows through
``Upon'' and inserting ``Upon'';
(C) by striking ``the Agreement'' each place it appears and
inserting ``the USMCA'';
(D) by striking ``Annex 1603'' and inserting ``Annex 16-
A''; and
(E) by striking ``Annex 1608'' and inserting ``article
16.1''.
(c) Nonimmigrant Professionals.--Section 214 of the
Immigration and Nationality Act (8 U.S.C. 1184) is amended--
(1) in subsection (e)--
(A) by striking paragraphs (1), (3), (4), and (5);
(B) by redesignating paragraphs (2) and (6) as paragraphs
(1) and (2), respectively; and
(C) in paragraph (1), as redesignated by subparagraph (B)--
(i) by striking ``Annex 1603 of the North American Free
Trade Agreement (in this subsection referred to as `NAFTA')''
and inserting ``Annex 16-A of the USMCA (as defined in
section 3 of the United States-Mexico-Canada Agreement
Implementation Act)''; and
(ii) by striking the third and fourth sentences and
inserting the following: ``For purposes of this paragraph,
the term `citizen of Mexico' means `citizen' as defined in
article 16.1 of the USMCA.''; and
(2) in subsection (j)(1)--
(A) in the first sentence, by striking ``Annex 1603 of the
North American Free Trade Agreement'' and inserting ``Annex
16-A of the USMCA (as defined in section 3 of the United
States-Mexico-Canada Agreement Implementation Act)'';
(B) in the second sentence, by striking ``article 1603 of
such Agreement'' and inserting ``article 16.4 of the USMCA'';
and
(C) in the third sentence, by striking ``Annex 1608 of such
Agreement'' and inserting ``article 16.1 of the USMCA''.
(d) Conforming Amendments.--
(1) Integrated entry and exit data system.--Section
110(c)(1)(B) of the Illegal Immigration Reform and Immigrant
Responsibility Act of 1996 (8 U.S.C. 1365a(c)(1)(B)) is
amended by striking ``North American Free
[[Page H12238]]
Trade Agreement'' and inserting ``USMCA (as defined in
section 3 of the United States-Mexico-Canada Agreement
Implementation Act)''.
(2) Enhanced border security and visa entry reform act of
2002.--Section 604 of the Enhanced Border Security and Visa
Entry Reform Act of 2002 (8 U.S.C. 1773) is amended by
striking ``North American Free Trade Agreement'' and
inserting ``USMCA (as defined in section 3 of the United
States-Mexico-Canada Agreement Implementation Act)''.
(e) Additional Clerical Amendments.--The table of contents
for this Act is amended by striking the item relating to
subtitle A of title III and inserting the following:
``Subtitle B--Temporary Entry of Business Persons
``Sec. 311. Temporary entry.''.
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========================= END NOTE =========================
(f) Effective Date.--
(1) In general.--Each transfer, redesignation, and
amendment made by this section shall--
(A) take effect on the date on which the USMCA enters into
force; and
(B) apply with respect to a visa issued on or after that
date.
(2) Transition from nafta.--In the case of a visa issued
before the date on which the USMCA enters into force--
(A) the transfers, redesignations, and amendments made by
this section shall not apply with respect to the visa; and
(B) the provisions of law amended by subsections (b)
through (d), as such provisions were in effect on the day
before that date, shall continue to apply on and after that
date with respect to the visa.
SEC. 504. DISPUTE SETTLEMENT IN ANTIDUMPING AND
COUNTERVAILING DUTY CASES.
(a) Clerical Amendment.--Subtitle B of title IV of this Act
is amended in the subtitle heading by striking
``[reserved]''.
(b) References in Subtitle.--Section 401 of the North
American Free Trade Agreement Implementation Act (19 U.S.C.
3431) is--
(1) transferred to subtitle B of title IV of this Act and
inserted after the heading (as amended by subsection (a)) of
such subtitle;
(2) redesignated as section 411; and
(3) amended by striking ``the Agreement'' and inserting
``the USMCA''.
(c) Organizational and Administrative Provisions.--Section
402 of the North American Free Trade Agreement Implementation
Act (19 U.S.C. 3432) is--
(1) transferred to subtitle B of title IV of this Act and
inserted after section 411 (as inserted and redesignated by
subsection (b));
(2) redesignated as section 412; and
(3) amended--
(A) in subsection (a)--
(i) in paragraph (1)--
(I) in subparagraph (D), by striking ``in paragraph 1'' and
all that follows and inserting ``in paragraph 1 of Annex 10-
B.1 and paragraph 1 of Annex 10-B.3; and'';
(II) in subparagraph (E), by striking ``chapter 19'' and
inserting ``chapter 10''; and
(III) in the matter following subparagraph (E), by striking
``in paragraph 1'' and all that follows through ``Annex
1904.13'' and inserting ``in paragraph 1 of Annex 10-B.1 and
paragraph 1 of Annex 10-B.3''; and
(ii) in paragraph (2)--
(I) in the paragraph heading, by striking ``under'' and all
that follows before the period; and
(II) in the text--
(aa) by striking ``paragraph 1 of Annex 1901.2'' and
inserting ``paragraph 1 of Annex 10-B.1'';
(bb) by striking ``chapter 19'' each place it appears and
inserting ``chapter 10''; and
(cc) by striking ``article 1905'' and inserting ``article
10.13'';
(B) in subsection (b)(1)--
(i) by striking ``chapter 19'' each place it appears and
inserting ``chapter 10''; and
(ii) by striking ``article 1905'' and inserting ``article
10.13'';
(C) in subsection (c)--
(i) in paragraph (1)--
(I) by striking ``chapter 19'' each place it appears and
inserting ``chapter 10''; and
(II) by striking ``article 1905'' and inserting ``article
10.13'';
(ii) in paragraph (2)(B)--
(I) by striking ``chapter 19'' each place it appears and
inserting ``chapter 10''; and
(II) in clause (i)(II), by striking ``article 1905'' and
inserting ``article 10.13'';
(iii) in paragraph (3)--
(I) in subparagraph (A)(i), by striking ``Annex 1901.2''
and inserting ``Annex 10-B.1'';
(II) in subparagraph (A)(ii), by striking ``under Annex
1904.13'' and all that follows and inserting ``under Annex
10-B.3 and special committees under article 10.13.''; and
(III) in subparagraph (B)(i), by striking ``chapter 19''
and inserting ``chapter 10''; and
(iv) in paragraph (4)--
(I) in subparagraph (A), by striking ``chapter 19'' and
inserting ``chapter 10''; and
(II) in subparagraph (C)(iv)(III), by striking ``chapter
19'' and inserting ``chapter 10'';
(D) in subsection (d)--
(i) in paragraph (1)--
(I) in subparagraph (A), by striking ``in paragraph 1'' and
all that follows and inserting ``in paragraph 1 of Annex 10-
B.1 and paragraph 1 of Annex 10-B.3; or''; and
(II) in subparagraph (B), by striking ``chapter 19'' and
inserting ``chapter 10'';
(ii) in paragraph (2)--
(I) in subparagraph (A)(i), by striking ``in paragraph 1''
and all that follows through ``during'' and inserting ``in
paragraph 1 of Annex 10-B.1 and paragraph 1 of Annex 10-B.3
during'';
(II) in subparagraph (A)(ii)--
(aa) by striking ``chapter 19'' and inserting ``chapter
10''; and
(bb) by striking ``the Agreement'' and inserting ``the
USMCA'';
(III) in subparagraph (A)(iii), by striking ``NAFTA'' and
inserting ``USMCA'';
(IV) in subparagraph (B)(i), by striking ``in paragraph 1''
and all that follows and inserting ``in paragraph 1 of Annex
10-B.1 and paragraph 1 of Annex 10-B.3; or''; and
(V) in subparagraph (B)(ii), by striking ``chapter 19'' and
inserting ``chapter 10''; and
(iii) in paragraph (3)--
(I) in subparagraph (A), by striking ``in paragraph 1'' and
all that follows through ``during'' and inserting ``in
paragraph 1 of Annex 10-B.1 and paragraph 1 of Annex 10-B.3
during''; and
(II) in subparagraph (B), by striking ``chapter 19'' and
inserting ``chapter 10'';
(E) in subsection (e), in the matter preceding paragraph
(1)--
(i) by striking ``the Agreement'' and inserting ``the
USMCA'';
(ii) by striking ``between the United States'' and all that
follows through ``NAFTA country''; and
(iii) by striking ``January 3, 1994'' and inserting
``January 3, 2020'';
(F) in subsection (f), by striking ``chapter 19'' and
inserting ``chapter 10'';
(G) in subsection (g), by striking ``chapter 19'' and
inserting ``chapter 10''; and
(H) in subsection (h), by striking ``chapter 19'' and
inserting ``chapter 10''.
(d) Testimony and Production of Papers.--Section 403 of the
North American Free Trade Agreement Implementation Act (19
U.S.C. 3433) is--
(1) transferred to subtitle B of title IV of this Act and
inserted after section 412 (as inserted and redesignated by
subsection (c));
(2) redesignated as section 413; and
(3) amended in subsection (a), in the matter preceding
paragraph (1), by striking ``under paragraph 13'' and all
that follows through ``the committee--'' and inserting
``under paragraph 13 of article 10.12, and the allegations
before the committee include a matter referred to in
paragraph 13(a)(i) of article 10.12, for the purposes of
carrying out its functions and duties under Annex 10-B.3, the
committee--''.
(e) Requests for Review of Determinations.--Section 404 of
the North American Free Trade Agreement Implementation Act
(19 U.S.C. 3434) is--
(1) transferred to subtitle B of title IV of this Act and
inserted after section 413 (as inserted and redesignated by
subsection (d));
(2) redesignated as section 414; and
(3) amended--
(A) in the section heading, by striking ``of nafta
countries'';
(B) in subsection (a)--
(i) in paragraph (1), by striking ``article 1911'' and all
that follows and inserting ``article 10.8, of a USMCA
country.''; and
(ii) in paragraph (2), by striking ``article 1908'' and
inserting ``article 10.16'';
(C) in subsection (b), by striking ``article 1904'' and
inserting ``article 10.12''; and
(D) in subsection (c), by striking ``article 1904'' each
place it appears and inserting ``article 10.12''.
(f) Rules of Procedure for Panels and Committees.--Section
405 of the North American Free Trade Agreement Implementation
Act (19 U.S.C. 3435) is--
(1) transferred to subtitle B of title IV of this Act and
inserted after section 414 (as inserted and redesignated by
subsection (e));
(2) redesignated as section 415; and
(3) amended--
(A) in subsection (a), in the matter preceding paragraph
(1), by striking ``article 1904'' and inserting ``article
10.12'';
(B) in subsection (b), by striking ``Annex 1904.13'' and
inserting ``Annex 10-B.3''; and
(C) in subsection (c), by striking ``Annex 1905.6'' and
inserting ``Annex 10-B.4''.
(g) Subsidy Negotiations.--Section 406 of the North
American Free Trade Agreement Implementation Act (19 U.S.C.
3436) is--
(1) transferred to subtitle B of title IV of this Act and
inserted after section 415 (as inserted and redesignated by
subsection (f));
(2) redesignated as section 416; and
(3) amended, in the matter preceding paragraph (1), by
striking ``NAFTA country'' and inserting ``USMCA country''.
(h) Identification of Industries Facing Subsidized
Imports.--Section 407 of the North American Free Trade
Agreement Implementation Act (19 U.S.C. 3437) is--
(1) transferred to subtitle B of title IV of this Act and
inserted after section 416 (as inserted and redesignated by
subsection (g));
(2) redesignated as section 417; and
(3) amended--
(A) in subsection (a)(1)(A)--
(i) by striking ``the Agreement'' and inserting ``the
USMCA''; and
(ii) by striking ``NAFTA country'' and inserting ``USMCA
country'';
(B) in subsection (c), in the matter following paragraph
(3), by striking ``NAFTA countries'' and inserting ``USMCA
countries''; and
(C) in subsection (d)(3), by striking ``the Agreement'' and
inserting ``the USMCA''.
(i) Treatment of Amendments to Law.--Section 408 of the
North American Free Trade Agreement Implementation Act (19
U.S.C. 3438) is--
[[Page H12239]]
(1) transferred to subtitle B of title IV of this Act and
inserted after section 417 (as inserted and redesignated by
subsection (h));
(2) redesignated as section 418; and
(3) amended--
(A) in the matter preceding paragraph (1), by striking
``the Agreement'' and all that follows through ``United
States'' and inserting ``the USMCA''; and
(B) in the flush text, by striking ``NAFTA country'' and
inserting ``USMCA country''.
(j) Additional Clerical Amendments.--The table of contents
for this Act is amended by striking the item relating to
subtitle B of title IV and inserting the following:
``Subtitle B--Dispute Settlement
``Sec. 411. References in subtitle.
``Sec. 412. Organizational and administrative provisions.
``Sec. 413. Testimony and production of papers in extraordinary
challenges.
``Sec. 414. Requests for review of determination by competent
investigating authorities.
``Sec. 415. Rules of procedure for panels and committees.
``Sec. 416. Subsidy negotiations.
``Sec. 417. Identification of industries facing subsidized imports.
``Sec. 418. Treatment of amendments to antidumping and countervailing
duty law.''.
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appeared at two places.
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text.
========================= END NOTE =========================
(k) Effective Date.--
(1) In general.--Each transfer, redesignation, and
amendment made by this section shall take effect on the date
on which the USMCA enters into force, but shall not apply--
(A) to any final determination described in paragraph
(1)(B) or clause (i), (ii), or (iii) of paragraph (2)(B) of
section 516A(a) of the Tariff Act of 1930 (19 U.S.C.
1516a(a)) notice of which is published in the Federal
Register before such date, or to a determination described in
paragraph (2)(B)(vi) of that section notice of which is
received by the Government of Canada or Mexico before such
date; and
(B) to any binational panel review under NAFTA, or any
extraordinary challenge arising out of any such review, that
was commenced before such date.
(2) Transition from nafta.--The transfers, redesignations,
and amendments made by this section shall not apply, and the
provisions of title IV of the North American Free Trade
Agreement Implementation Act, as in effect on the day before
the date on which the USMCA enters into force, shall continue
to apply on and after that date with respect--
(A) to any final determination described in paragraph
(1)(B) or clause (i), (ii), or (iii) of paragraph (2)(B) of
section 516A(a) of the Tariff Act of 1930 (19 U.S.C.
1516a(a)) notice of which is published in the Federal
Register before such date, or to a determination described in
paragraph (2)(B)(vi) of that section notice of which is
received by the Government of Canada or Mexico before the
date on which the USMCA enters into force; and
(B) to any binational panel review under NAFTA, or any
extraordinary challenge arising out of any such review, that
was commenced before the date on which the USMCA enters into
force.
SEC. 505. GOVERNMENT PROCUREMENT.
(a) General Authority To Modify Discriminatory Purchasing
Requirements.--Section 301 of the Trade Agreements Act of
1979 (19 U.S.C. 2511) is amended--
(1) in subsection (b)(1), by striking ``the North American
Free Trade Agreement'' and inserting ``the USMCA (as defined
in section 3 of the United States-Mexico-Canada Agreement
Implementation Act)''; and
(2) in subsection (e)--
(A) by striking ``Annex 1001.1a-2 of the North American
Free Trade Agreement'' and inserting ``Annex 13-A of the
USMCA (as defined in section 3 of the United States-Mexico-
Canada Agreement Implementation Act)''; and
(B) by striking ``chapter 10 of such Agreement'' and
inserting ``chapter 13 of the USMCA''.
(b) Definitions.--Section 308(4)(A)(ii) of the Trade
Agreements Act of 1979 (19 U.S.C. 2518(4)(A)(ii)) is
amended--
(1) by striking ``a party to the North American Free Trade
Agreement,'' and inserting ``Mexico, as a party to the USMCA
(as defined in section 3 of the United States-Mexico-Canada
Agreement Implementation Act),''; and
(2) by striking ``the North American Free Trade Agreement
for'' and inserting ``the USMCA for''.
(c) Effective Date.--
(1) In general.--The amendments made by subsections (a) and
(b) shall--
(A) take effect on the date on which the USMCA enters into
force; and
(B) apply with respect to a procurement on or after that
date.
(2) Transition from nafta treatment.--In the case of a
procurement before the date on which the USMCA enters into
force--
(A) the amendments made by subsections (a) and (b) to
sections 301 and 308 of the Trade Agreements Act of 1979 (19
U.S.C. 2511 and 2518) shall not apply with respect to the
contract; and
(B) sections 301 and 308 of such Act, as in effect on the
day before that date, shall continue to apply on and after
that date with respect to the contract.
SEC. 506. ACTIONS AFFECTING UNITED STATES CULTURAL
INDUSTRIES.
(a) In General.--Section 182(f) of the Trade Act of 1974
(19 U.S.C. 2242(f)) is amended--
(1) in paragraph (1)(C), by striking ``article 2106 of the
North American Free Trade Agreement'' and inserting ``article
32.6 of the USMCA (as defined in section 3 of the United
States-Mexico-Canada Agreement Implementation Act)''; and
(2) in paragraph (2), in the matter preceding subparagraph
(A), by striking ``article 2106 of the North American Free
Trade Agreement'' and inserting ``article 32.6 of the
USMCA''.
(b) Effective Date.--The amendment made by subsection (a)
shall take effect on the date on which the USMCA enters into
force.
SEC. 507. REGULATORY TREATMENT OF URANIUM PURCHASES.
(a) In General.--Section 1017(c) of the Energy Policy Act
of 1992 (42 U.S.C. 2296b-6(c)) is amended by striking ``North
American Free Trade Agreement'' and inserting ``USMCA (as
defined in section 3 of the United States-Mexico-Canada
Agreement Implementation Act)''.
(b) Effective Date.--The amendment made by subsection (a)
shall take effect on the date on which the USMCA enters into
force.
SEC. 508. REPORT ON AMENDMENTS TO EXISTING LAW.
Not later than 180 days after the date of the enactment of
this Act, the Trade Representative shall submit to the
Committee on Finance of the Senate and the Committee on Ways
and Means of the House of Representatives a report setting
forth a proposal for technical and conforming amendments to
the laws under the jurisdiction of such committees, and other
laws, necessary to fully carry out the provisions of, and
amendments made by, this Act.
TITLE VI--TRANSITION TO AND EXTENSION OF USMCA
Subtitle A--Transitional Provisions
SEC. 601. REPEAL OF NORTH AMERICAN FREE TRADE AGREEMENT
IMPLEMENTATION ACT.
The North American Free Trade Agreement Implementation Act
(Public Law 103-182; 19 U.S.C. 3301 et seq.) is repealed,
effective on the date on which the USMCA enters into force.
SEC. 602. CONTINUED SUSPENSION OF THE UNITED STATES-CANADA
FREE-TRADE AGREEMENT.
Section 501(c)(3) of the United States-Canada Free-Trade
Agreement Implementation Act of 1988 (Public Law 100-449; 19
U.S.C. 2112 note) is amended--
(1) in the paragraph heading, by striking ``nafta'' and
inserting ``usmca''; and
(2) in the matter preceding subparagraph (A), by striking
``between them of the North American Free Trade Agreement''
and inserting ``of the USMCA (as defined in section 3 of the
United States-Mexico-Canada Agreement Implementation Act)''.
Subtitle B--Joint Reviews Regarding Extension of USMCA
SEC. 611. PARTICIPATION IN JOINT REVIEWS WITH CANADA AND
MEXICO REGARDING EXTENSION OF THE TERM OF THE
USMCA AND OTHER ACTION REGARDING THE USMCA.
(a) In General.--Pursuant to the requirements of this
section, the President shall consult with the appropriate
congressional committees and stakeholders before each joint
review, including consultation with respect to--
(1) any recommendation for action to be proposed at the
review; and
(2) the decision whether or not to confirm that the United
States wishes to extend the USMCA.
(b) Consultations With Congress and Stakeholders.--
(1) Publication and public hearing.--At least 270 days
before a joint review commences, the Trade Representative
shall publish in the Federal Register a notice regarding the
joint review and shall, as soon as possible following such
publication, provide opportunity for the presentation of
views relating to the operation of the USMCA, including a
public hearing.
(2) Report to congress.--At least 180 days before a 6-year
joint review under article 34.7 of the USMCA commences, the
Trade Representative shall report to the appropriate
congressional committees regarding--
(A) the assessment of the Trade Representative with respect
to the operation of the USMCA;
(B) the precise recommendation for action to be proposed at
the review and the position of the United States with respect
to whether to extend the term of the USMCA;
(C) what, if any, prior efforts have been made to resolve
any concern that underlies that recommendation or position;
and
(D) the views of the advisory committees established under
section 135 of the Trade Act of 1974 (19 U.S.C. 2155)
regarding that recommendation or position.
(c) Subsequent Action To Address Lack of Agreement on Term
Extension.--
(1) In general.--If, as part of a joint review, any USMCA
country does not confirm that the country wishes to extend
the term of the USMCA under article 34.7.3 of the USMCA, at
least 70 days before any subsequent annual joint review
meeting conducted as required under article 34.7 of the
USMCA, the Trade Representative shall report to the
appropriate congressional committees regarding--
[[Page H12240]]
(A) any reason offered by a USMCA country regarding why the
country is unable to agree to extend the term of the USMCA;
(B) the progress that has been made in efforts to achieve
resolution of the concerns of that country;
(C) any proposed action that the Trade Representative
intends to raise during the meeting; and
(D) the views of the advisory committees established under
section 135 of the Trade Act of 1974 (19 U.S.C. 2155)
regarding the reasons described in subparagraph (A) and any
proposed action under subparagraph (C).
(2) Additional information.--The Trade Representative shall
also provide detailed and timely information in response to
any questions posed by the appropriate congressional
committees with respect to any meeting described in paragraph
(1), including by submitting to those committees copies of
any proposed text that the Trade Representative plans to
submit to the other parties to the meeting.
(d) Congressional Engagement After Joint Review.--
(1) In general.--Not later than 20 days after the USMCA
countries have met for a joint review, the Trade
Representative shall brief the appropriate congressional
committees regarding the positions expressed by the countries
during the joint review and what, if any, actions were agreed
to by the countries.
(2) Continued engagement.--After a joint review, the Trade
Representative shall keep the appropriate congressional
committees timely apprised of any developments arising out of
or related to the review.
(e) Definitions.--In this section:
(1) Joint review.--The term ``joint review'' means a review
conducted under the process provided for in article 34.7 of
the USMCA relating to extension of the term of the USMCA.
(2) USMCA country.--The term ``USMCA country'' has the
meaning given that term in section 202(a).
Subtitle C--Termination of USMCA
SEC. 621. TERMINATION OF USMCA.
(a) Termination of USMCA Country Status.--During any period
in which a country ceases to be a USMCA country, this Act
(other than this subsection and title IX) and the amendments
made by this Act shall cease to have effect with respect to
that country.
(b) Termination of USMCA.--On the date on which the USMCA
ceases to be in force with respect to the United States, this
Act and the amendments made by this Act (other than this
subsection and title IX) shall cease to have effect.
TITLE VII--LABOR MONITORING AND ENFORCEMENT
SEC. 701. DEFINITIONS.
In this title:
(1) Labor attache.--The term ``labor attache'' means an
individual hired under subtitle B.
(2) Labor obligations.--The term ``labor obligations''
means the obligations under chapter 23 of the USMCA (relating
to labor).
(3) Mexico's labor reform.--The term ``Mexico's labor
reform'' means the legislation on labor reform enacted by
Mexico on May 1, 2019.
Subtitle A--Interagency Labor Committee for Monitoring and Enforcement
SEC. 711. INTERAGENCY LABOR COMMITTEE FOR MONITORING AND
ENFORCEMENT.
(a) Establishment.--Not later than 90 days after the date
of the enactment of this Act, the President shall establish
an Interagency Labor Committee for Monitoring and Enforcement
(in this title referred to as the ``Interagency Labor
Committee''), to coordinate United States efforts with
respect to each USMCA country--
(1) to monitor the implementation and maintenance of the
labor obligations;
(2) to monitor the implementation and maintenance of
Mexico's labor reform; and
(3) to request enforcement actions with respect to a USMCA
country that is not in compliance with such labor
obligations.
(b) Membership.--The Interagency Labor Committee shall--
(1) be co-chaired by the Trade Representative and the
Secretary of Labor; and
(2) include representatives of such other Federal
departments or agencies with relevant expertise as the
President determines appropriate.
(c) Meetings.--The Interagency Labor Committee shall meet
at least once every 90 days during the 5-year period
beginning on the date of the enactment of this Act, and at
least once every 180 days thereafter for 5 years.
(d) Information Sharing.--Notwithstanding any other
provision of law, the members of the Interagency Labor
Committee may exchange information for purposes of carrying
out this title.
SEC. 712. DUTIES.
The duties of the Interagency Labor Committee shall include
the following:
(1) Coordinating the activities of departments and agencies
of the Committee in monitoring implementation of and
compliance with labor obligations, including by--
(A) requesting and reviewing relevant information from the
governments of USMCA countries and from the public;
(B) coordinating visits to Mexico as necessary to assess
implementation of Mexico's labor reform and compliance with
the labor obligations of Mexico;
(C) receiving and reviewing quarterly assessments from the
labor attaches with respect to the implementation of and
compliance with Mexico's labor reform; and
(D) coordinating with the Secretary of Treasury with
respect to support relating to labor issues provided to
Mexico by the Inter-American Development Bank.
(2) Establishing an ongoing dialogue with appropriate
officials of the Government of Mexico regarding the
implementation of Mexico's labor reform and compliance with
its labor obligations.
(3) Coordinating with other institutions and governments
with respect to support relating to labor issues, such as the
International Labour Organization and the Government of
Canada.
(4) Identifying priority issues for capacity-building
activities in Mexico to be funded by the United States,
drawing primarily on the expertise of the Department of
Labor.
(5) Meeting, at least biannually during the 5-year period
beginning on the date of the enactment of this Act and at
least annually for 5 years thereafter, with the Labor
Advisory Committee for Trade Negotiations and Trade Policy
established under section 135(c)(1) of the Trade Act of 1974
(19 U.S.C. 2155(c)(1)) (or any successor advisory committee)
to consult and provide opportunities for input with respect
to--
(A) the implementation of Mexico's labor reform;
(B) labor capacity-building activities in Mexico funded by
the United States;
(C) labor monitoring efforts;
(D) labor enforcement priorities; and
(E) other relevant issues.
(6) Based on the assessments required by section 714,
making recommendations relating to dispute settlement actions
to the Trade Representative, in accordance with section 715.
(7) Based on reports provided by the Forced Labor
Enforcement Task Force under section 743, developing
recommendations for appropriate enforcement actions by the
Trade Representative.
(8) Reviewing reports submitted by the labor experts
appointed in accordance with Annex 31-A of the USMCA, with
respect to the functioning of that Annex.
(9) Reviewing reports submitted by the Independent Mexico
Labor Expert Board under section 734.
SEC. 713. ENFORCEMENT PRIORITIES.
The Interagency Labor Committee shall--
(1) review the list of priority sectors under Annex 31-A of
the USMCA and suggest to USTR additional sectors for review
by the USMCA countries as appropriate;
(2) establish and annually update a list of priority
subsectors within such priority sectors to be the focus of
the enforcement efforts of the Committee, the first of which
shall consist of--
(A) auto assembly;
(B) auto parts;
(C) aerospace;
(D) industrial bakeries;
(E) electronics;
(F) call centers;
(G) mining; and
(H) steel and aluminum; and
(3) review priority facilities within such priority
subsectors for monitoring and enforcement.
SEC. 714. ASSESSMENTS.
(a) Ongoing Assessments.--For the 10-year period beginning
on the date of the enactment of this Act, except as provided
in subsection (b), the Interagency Labor Committee shall
assess on a biannual basis the extent to which Mexico is in
compliance with its obligations under Annex 23-A of the
USMCA.
(b) Consultation Relating to Annual Assessment.--On or
after the date that is 5 years after the date of the
enactment of this Act, the Interagency Labor Committee may
consult with the appropriate congressional committees with
respect to the frequency of the assessment required under
subsection (a) and, with the approval of both such
committees, may conduct such assessment on an annual basis
for the following 5 years.
(c) Matters To Be Included.--The assessment required under
subsection (a) shall also include each of the following:
(1) Whether Mexico is providing adequate funding to
implement and enforce Mexico's labor reform, including
specifically whether Mexico has provided funding consistent
with commitments made to contribute the following amounts for
the labor reform implementation budget:
(A) $176,000,000 for 2021.
(B) $325,000,000 for 2022.
(C) $328,000,000 for 2023.
(2) The extent to which any legal challenges to Mexico's
labor reform have succeeded in that court system.
(3) The extent to which Mexico has implemented the federal
and state labor courts, registration entity, and federal and
state conciliation centers consistent with the timeline set
forth for Mexico's labor reform, in the September 2019 policy
statements by the Government of Mexico on a national strategy
for implementation of the labor justice system, and in
subsequent policy statements in accordance with Mexico's
labor reform.
SEC. 715. RECOMMENDATION FOR ENFORCEMENT ACTION.
(a) Recommendation To Initiate.--If the Interagency Labor
Committee determines, pursuant to an assessment under section
714, as a result of monitoring activities described in
section 712(1), or pursuant to a report of
[[Page H12241]]
the Independent Mexico Labor Expert Board that a USMCA
country has failed to meets its labor obligations, including
with respect to obligations under Annex 23-A of the USMCA,
the Committee shall recommend that the Trade Representative
initiate enforcement actions under--
(1) article 23.13 or 23.17 of the USMCA (relating to
cooperative labor dialogue and labor consultations);
(2) articles 31.4 and 31.6 of the USMCA (relating to
dispute settlement consultations); or
(3) Annex 31-A of the USMCA (relating to the rapid response
labor mechanism).
(b) Trade Representative Determinations.--Not later than 60
days after the date on which the Trade Representative
receives a recommendation pursuant to subsection (a), the
Trade Representative shall--
(1) determine whether to initiate an enforcement action;
and
(2) if such determination is negative, submit to the
appropriate congressional committees a report on the reasons
for such negative determination.
SEC. 716. PETITION PROCESS.
(a) In General.--The Interagency Labor Committee shall
establish procedures for submissions by the public of
information with respect to potential failures to implement
the labor obligations of a USMCA country.
(b) Facility-Specific Petitions.--With respect to
information submitted in accordance with the procedures
established under subsection (a) accompanying a petition
relating to a denial of rights at a covered facility, as such
terms are defined for purposes of Annex 31-A of the USMCA:
(1) The Interagency Labor Committee shall review such
information within 30 days of submission and shall determine
whether there is sufficient, credible evidence of a denial of
rights (as so defined) enabling the good-faith invocation of
enforcement mechanisms.
(2) If the Committee reaches a negative determination under
paragraph (1), the Committee shall certify such determination
to the appropriate congressional committees and the
petitioner.
(3) If the Committee reaches an affirmative determination
under paragraph (1), the Trade Representative shall submit a
request for review, in accordance with article 31-A.4 of such
Annex, with respect to the covered facility and shall inform
the petitioner and the appropriate congressional committees
of the submission of such request.
(4) Not later than 60 days after the date of an affirmative
determination under paragraph (1), the Trade Representative
shall--
(A) determine whether to request the establishment of a
rapid response labor panel in accordance with such Annex; and
(B) if such determination is negative, certify such
determination to the appropriate congressional committees in
conjunction with the reasons for such determination and the
details of any agreed-upon remediation plan.
(c) Other Petitions.--With respect to information submitted
in accordance with the procedures established under
subsection (a) accompanying a petition relating to any other
violation of the labor obligations of a USMCA country:
(1) The Interagency Labor Committee shall review such
information not later than 20 days after the date of the
submission and shall determine whether the information
warrants further review.
(2) If the Committee reaches an affirmative determination
under paragraph (1), such further review shall focus
exclusively on determining, not later than 60 days after the
date of such submission, whether there is sufficient,
credible evidence that the USMCA country is in violation of
its labor obligations, for purposes of initiating enforcement
action under chapter 23 or chapter 31 of the USMCA.
(3) If the Committee reaches an affirmative determination
under paragraph (2), the Trade Representative shall--
(A) not later than 60 days after the date of the
determination of the Committee, initiate appropriate
enforcement action under such chapter 23 or chapter 31; or
(B) submit to the appropriate congressional committees a
notification including the reasons for which action was not
initiated within such 60-day period.
SEC. 717. HOTLINE.
The Interagency Labor Committee shall establish a web-based
hotline, monitored by the Department of Labor, to receive
confidential information regarding labor issues among USMCA
countries directly from interested parties, including Mexican
workers.
SEC. 718. REPORTS.
(a) In General.--Not later than 180 days after the date of
the enactment of this Act, and every 180 days thereafter for
10 years except as provided in subsection (b), the
Interagency Labor Committee shall submit to the appropriate
congressional committees a report that includes--
(1) a description of Committee staffing and capacity
building activities with Mexico;
(2) information regarding the budget resources for Mexico's
labor reform and the deadlines in the September 2019 policy
statements by the Government of Mexico on a national strategy
for implementation of the labor justice system and in
subsequent policy statements in accordance with Mexico's
labor reform;
(3) a summary of petitions filed in accordance with section
716 and the use of the rapid response labor mechanism under
Annex 31-A of the USMCA;
(4) the results of the most recent assessment conducted
under section 714; and
(5) if, with respect to any report of the Independent
Mexico Labor Expert Board submitted under section 734 that
includes a determination described in paragraph (2) of such
section, the Interagency Labor Committee does not concur with
such determination, an explanation of the reasons for not
concurring in such determination and a commitment to provide
an oral briefing with respect to such explanation upon
request.
(b) Consultation Relating to Annual Assessment.--On or
after the date that is 5 years after the date of the
enactment of this Act, the Trade Representative and the
Secretary of Labor may consult with the appropriate
congressional committees with respect to the frequency of the
reports required under subsection (a) and, with the approval
of both such committees, may submit such report on an annual
basis for the following 5 years.
(c) Five-Year Assessment.--Not later than the date that is
5 years after the date of the establishment of the
Interagency Labor Committee pursuant to section 711(a), the
Committee shall jointly submit to the appropriate
congressional committees--
(1) a comprehensive assessment of the implementation of
Mexico's labor reform, including with respect to--
(A) whether Mexico has reviewed and legitimized all
existing collective bargaining agreements in Mexico;
(B) whether Mexico has addressed the pre-existing legal or
administrative labor disputes;
(C) whether Mexico has established the Federal Center for
Conciliation and Labor Registration, and an assessment of
that Center's operation;
(D) whether Mexico has established the federal labor
courts, and an assessment of their operation; and
(E) whether Mexico has established the state conciliation
centers and labor courts in all states and an assessment of
their operation; and
(2) a strategic plan and recommendations for actions to
address areas of concern relating to the implementation of
Mexico's labor reform, for purposes of the joint review
conducted pursuant to article 34.7 of the USMCA on the sixth
anniversary of the entry into force of the USMCA.
SEC. 719. CONSULTATIONS ON APPOINTMENT AND FUNDING OF RAPID
RESPONSE LABOR PANELISTS.
(a) In General.--The Interagency Labor Committee shall
consult with the Labor Advisory Committee established under
section 135(c)(1) of the Trade Act of 1974 (19 U.S.C.
2155(c)(1)) and the Advisory Committee for Trade Policy and
Negotiations established under section 135(b) of such Act (or
successor advisory committees) and the appropriate
congressional committees with respect to the selection and
appointment of candidates for the rapid response labor
panelists described in Annex 31-A of the USMCA.
(b) Funding.--The United States, in consultation with
Mexico, shall provide adequate funding for rapid response
labor panelists to carry out the responsibilities under the
USMCA promptly and fully.
Subtitle B--Mexico Labor Attaches
SEC. 721. ESTABLISHMENT.
The Secretary of Labor shall--
(1) hire and fix the compensation of up to 5 additional
full-time officers or employees of the Department of Labor;
and
(2) detail or assign such officers or employees to the
United States Embassy or a United States Consulate in Mexico
to carry out the duties described in section 722.
SEC. 722. DUTIES.
The duties described in this section are the following:
(1) Assisting the Interagency Labor Committee to monitor
and enforce the labor obligations of Mexico.
(2) Submitting to the Interagency Labor Committee on a
quarterly basis reports on the efforts undertaken by Mexico
to comply with its labor obligations.
SEC. 723. STATUS.
Any officer or employee, while detailed or assigned under
this subtitle, shall be considered, for the purpose of
preserving their allowances, privileges, rights, seniority,
and other benefits as such, an officer or employee of the
United States Government and of the agency of the United
States Government from which detailed or assigned, and shall
continue to receive compensation, allowances, and benefits
from program funds appropriated to that agency or made
available to that agency for purposes related to the
activities of the detail or assignment, in accordance with
authorities related to their employment status and agency
policies.
Subtitle C--Independent Mexico Labor Expert Board
SEC. 731. ESTABLISHMENT.
There is hereby established a board, to be known as the
``Independent Mexico Labor Expert Board'', to be responsible
for monitoring and evaluating the implementation of Mexico's
labor reform and compliance with its labor obligations. The
Board shall also advise the Interagency Labor Committee with
respect to capacity-building activities needed to support
such implementation and compliance.
SEC. 732. MEMBERSHIP; TERM.
(a) Membership.--The Board shall be composed of 12 members
who shall be appointed as follows:
[[Page H12242]]
(1) Four members to be appointed by the Labor Advisory
Committee established under section 135(c)(1) of the Trade
Act of 1974 (19 U.S.C. 2155(c)(1)) (or successor advisory
committee).
(2) Two members appointed by the Speaker of the House of
Representatives, in consultation with the Chair of the
Committee on Ways and Means of the House of Representatives.
(3) Two members appointed by the president pro tempore of
the Senate from among individuals recommended by the majority
leader of the Senate and in consultation with the Chair of
the Committee on Finance of the Senate.
(4) Two members appointed by the minority leader of the
House of Representatives, in consultation with the Ranking
Member of the Committee on Ways and Means of the House of
Representatives.
(5) Two members appointed by the President pro tempore of
the Senate from among individuals recommended by the minority
leader of the Senate and in consultation with the Ranking
Member of the Committee on Finance of the Senate.
(b) Term.--Except as provided in subsection (c), members of
the Board shall serve for a term of 6 years.
(c) Extension of Term.--If the Board determines, at the end
of the 6-year period beginning on the date of the appointment
of the last member appointed in accordance with subsection
(a), that Mexico is not fully in compliance with its labor
obligations, a majority of the members of the Board may
determine to extend its term for 4 additional years. A new
Board shall be appointed in accordance with subsection (a)
and shall serve for a single term of 4 years.
SEC. 733. FUNDING.
The United States shall provide necessary funding to
support the work of the Board, including with respect to
translation services and personnel support.
SEC. 734. REPORTS.
For the 6-year period beginning on the date of the
enactment of this Act, and for an additional 4 years if the
term of the Board is extended in accordance with section
732(c), the Board shall submit to appropriate congressional
committees and to the Interagency Labor Committee an annual
report that--
(1) contains an assessment of--
(A) the efforts of Mexico to implement Mexico's labor
reform; and
(B) the manner and extent to which labor laws are generally
enforced in Mexico; and
(2) may include a determination that Mexico is not in
compliance with its labor obligations.
Subtitle D--Forced Labor
SEC. 741. FORCED LABOR ENFORCEMENT TASK FORCE.
(a) Establishment.--Not later than 90 days after the date
of the enactment of this Act, the President shall establish a
Forced Labor Enforcement Task Force to monitor United States
enforcement of the prohibition under section 307 of the
Tariff Act of 1930 (19 U.S.C. 1307).
(b) Members; Meetings.--
(1) Members.--The Task Force shall be chaired by the
Secretary of Homeland Security and shall be comprised of
representatives from such other agencies with relevant
expertise, including the Office of the United States Trade
Representative and the Department of Labor, as the President
determines appropriate.
(2) Meetings.--The Task Force shall meet on a quarterly
basis regarding active Withhold and Release Orders, ongoing
investigations, petitions received, and enforcement
priorities, and other relevant issues with respect to
enforcing the prohibition under section 307 of the Tariff
Act.
SEC. 742. TIMELINE REQUIRED.
(a) In General.--Not later than 90 days after the
establishment of the Forced Labor Enforcement Task Force
pursuant to section 741(a), the Task Force shall establish
timelines for responding to petitions submitted to the
Commissioner of U.S. Customs and Border Protection alleging
that goods are being imported by or with child or forced
labor.
(b) Consultation Required.--In establishing the timelines
during such 90-day period, the Task Force shall consult with
the appropriate congressional committees.
(c) Report.--The Task Force shall timely submit to the
appropriate congressional committees a report that contains
the timelines established pursuant to subsection (a) and
shall make such report publicly available.
SEC. 743. REPORTS REQUIRED.
The Forced Labor Enforcement Task Force shall submit to
appropriate congressional committees a biannual report that
includes the following:
(1) The enforcement activities and priorities of the
Department of Homeland Security with respect to enforcing the
prohibition under section 307 of the Tariff Act of 1930 (19
U.S.C. 1307).
(2) The number of instances in which merchandise was denied
entry pursuant to such prohibition during the preceding 180-
day period.
(3) A description of the merchandise so denied entry.
(4) An enforcement plan regarding goods included in the
most recent ``Findings on the Worst Forms of Child Labor''
report submitted in accordance with section 504 of the Trade
Act of 1974 (19 U.S.C. 2464) and ``List of Goods Produced by
Child Labor or Forced Labor'' submitted in accordance with
section 105(b)(2)(C) of the Trafficking Victims Protection
Reauthorization Act of 2005 (22 U.S.C. 7112(b)(2)(C)).
(5) Such other information as the Forced Labor Enforcement
Task Force considers appropriate with respect to monitoring
and enforcing compliance with section 307 of the Tariff Act
of 1930 (19 U.S.C. 1307).
SEC. 744. DUTIES RELATED TO MEXICO.
The Task Force shall--
(1) develop, in consultation with the appropriate
congressional committees, an enforcement plan regarding goods
produced by or with forced labor in Mexico; and
(2) report to the Interagency Labor Committee with respect
to any concerns relating to the enforcement of the
prohibition under section 307 of the Tariff Act with respect
to Mexico, including any allegations that may be filed with
respect to forced labor in Mexico.
Subtitle E--Enforcement Under Rapid Response Labor Mechanism
SEC. 751. TRANSMISSION OF REPORTS.
Each report issued by a rapid response labor panel
constituted in accordance with Annex 31-A of the USMCA shall
be immediately submitted to the appropriate congressional
committees, the Labor Advisory Committee established under
section 135(c)(1) of the Trade Act of 1974 (19 U.S.C.
2155(c)(1)) (or successor advisory committee), and, as
appropriate, the petitioner submitting information pursuant
to section 716. The Trade Representative shall also make each
such report publicly available in a timely manner.
SEC. 752. SUSPENSION OF LIQUIDATION.
(a) In General.--If the United States files a request
pursuant to article 31-A.4.2 of Annex 31-A of the USMCA, the
Trade Representative may direct the Secretary of the Treasury
to suspend liquidation for unliquidated entries of goods from
such covered facility until such time as the Trade
Representative notifies the Secretary that a condition
described in subsection (b) has been met.
(b) Resumption of Liquidation.--The conditions described in
this subsection are the following:
(1) The rapid response labor panel has determined that
there is no denial of rights at the covered facility within
the meaning of such terms under Annex 31-A of the USMCA.
(2) A course of remediation for denial of rights has been
agreed to and has been completed in accordance with the
agreed-upon time.
(3) The denial of rights has been otherwise remedied.
SEC. 753. FINAL REMEDIES.
(a) In General.--If a rapid response labor panel
constituted in accordance with Annex 31-A of the USMCA
determines with respect to a case that there has been a
denial of rights within the meaning of such Annex, the Trade
Representative may, in consultation with the appropriate
congressional committees--
(1) direct the Secretary of the Treasury, until the date of
the notification described in subsection (b) and in
accordance with Annex 31-A of the USMCA--
(A) to--
(i) deny entry to goods, produced wholly or in part, from
any covered facility involved in such case; or
(ii) allow for the release of goods, produced wholly or in
part, from such covered facilities only upon payment of
duties and any penalty; and
(B) to apply any duties or penalties to customs entries for
which liquidation was suspended pursuant to section 752; and
(2) apply other remedies that are appropriate and available
under Annex 31-A of the USMCA, until the denial of rights
with respect to the case has been remedied.
(b) Remediation Notification.--The Trade Representative
shall promptly notify the Secretary when the denial of rights
with respect to a case described in subsection (a) has been
remedied.
TITLE VIII--ENVIRONMENT MONITORING AND ENFORCEMENT
SEC. 801. DEFINITIONS.
In this title:
(1) Environmental law.--The term ``environmental law'' has
the meaning given the term in article 24.1 of the USMCA.
(2) Environmental obligations.--The term ``environmental
obligations'' means obligations relating to the environment
under--
(A) chapter 1 of the USMCA (relating to initial provisions
and general definitions); and
(B) chapter 24 of the USMCA (relating to environment).
Subtitle A--Interagency Environment Committee for Monitoring and
Enforcement
SEC. 811. ESTABLISHMENT.
(a) In General.--Not later than 30 days after the date of
the enactment of this Act, the President shall establish an
Interagency Environment Committee for Monitoring and
Enforcement (in this title referred to as the ``Interagency
Environment Committee'')--
(1) to coordinate United States efforts to monitor and
enforce environmental obligations generally; and
(2) with respect to the USMCA countries--
(A) to carry out an assessment of their environmental laws
and policies;
(B) to carry out monitoring actions with respect to the
implementation and maintenance of their environmental
obligations; and
[[Page H12243]]
(C) to request enforcement actions with respect to USMCA
countries that are not in compliance with their environmental
obligations.
(b) Membership.--The members of the Interagency Environment
Committee shall be the following:
(1) The Trade Representative, who shall serve as
chairperson.
(2) Representatives from each of the following:
(A) The National Oceanic Atmospheric Administration.
(B) The U.S. Fish and Wildlife Service.
(C) The U.S. Forest Service.
(D) The Environmental Protection Agency.
(E) The Animal and Plant Health Inspection Service.
(F) U.S. Customs and Border Protection.
(G) The Department of State.
(H) The Department of Justice.
(I) The Department of the Treasury.
(J) The United States Agency for International Development.
(3) Representatives from other Federal agencies, as the
President determines to be appropriate.
(c) Information Sharing.--Notwithstanding any other
provision of law, the members of the Interagency Environment
Committee may exchange information for purposes of carrying
out this subtitle.
SEC. 812. ASSESSMENT.
(a) In General.--The Interagency Environment Committee
shall carry out an assessment of the environmental laws and
policies of the USMCA countries--
(1) to determine if such laws and policies are sufficient
to implement their environmental obligations; and
(2) to identify any gaps between such laws and policies and
their environmental obligations.
(b) Matters To Be Included.--The assessment required by
subsection (a) shall identify the environmental laws and
policies of the USMCA countries with respect to which
enhanced cooperation, including the provision of technical
assistance and capacity building assistance, monitoring
actions, and enforcement actions, if appropriate, should be
carried out on an enhanced and continuing basis.
(c) Report.--Not later than 90 days after the date on which
the Interagency Environment Committee is established, or the
date on which the USMCA enters into force, whichever occurs
earlier, the Interagency Environment Committee shall submit a
report that contains the assessment required by subsection
(a) to--
(1) the appropriate congressional committees; and
(2) the Trade and Environment Policy Advisory Committee (or
successor advisory committee) established under section
135(c)(1) of the Trade Act of 1974 (19 U.S.C. 2155(c)(1)).
(d) Update.--The Interagency Environment Committee shall--
(1) update the assessment required by subsection (a) at the
appropriate time prior to submission of the report required
by section 816(a) that is to be submitted in the fifth year
after the USMCA enters into force; and
(2) submit the updated assessment to the Trade
Representative for inclusion in such fifth annual report.
(e) Consultation.--The Interagency Environment Committee
shall consult on a regular basis with the USMCA countries--
(1) in carrying out the assessment required by subsection
(a) and the update to the assessment required by subsection
(d); and
(2) in preparing the report required by subsection (c).
SEC. 813. MONITORING ACTIONS.
(a) In General.--The Interagency Environment Committee
shall carry out monitoring actions, which shall include the
monitoring actions described in subsections (b), (c), and
(d), with respect to the implementation and maintenance of
the environmental obligations of the USMCA countries.
(b) Review of CEC Secretariat Submissions.--
(1) In general.--Not later than 30 days after the date on
which the Secretariat of the Commission for Environmental
Cooperation prepares a factual record under article 24.28 of
the USMCA relating to a submission filed under article 24.27
of the USMCA with respect to a USMCA country, the Interagency
Environment Committee--
(A) shall review the factual record; and
(B) may, based on findings of the review under subparagraph
(A) that the USMCA country is not in compliance with its
environmental obligations, request enforcement actions under
section 814 with respect to the USMCA country.
(2) Written justification.--If the Interagency Environment
Committee finds that a USMCA country is not in compliance
with its environmental obligations under paragraph (1)(B) and
determines not to request enforcement actions under section
814 with respect to the USMCA country, the Committee shall,
not later than 30 days after the date on which it makes the
determination, provide to the appropriate congressional
committees a written explanation and justification of the
determination.
(c) Review of Reports of United States Environment Attaches
to Mexico.--The Interagency Environment Committee shall--
(1) review each report submitted to the Committee under
section 822(b)(2); and
(2) based on the findings of each such report, assess the
efforts of Mexico to comply with its environmental
obligations.
(d) United States Implementation of Environment Cooperation
and Customs Verification Agreement.--
(1) Verification of shipments.--The Interagency Environment
Committee--
(A) may request verification of particular shipments of
Mexico under the Environment Cooperation and Customs
Verification Agreement between the United States and Mexico,
done at Mexico City on December 10, 2019, in response to--
(i) comments submitted by the public to request
verification of particular shipments of Mexico under such
Agreement; or
(ii) on its own motion; and
(B) upon receipt of comments described in subparagraph
(A)(i)--
(i) shall review the comments not later than 30 days after
the date on which the comments are submitted to the Trade
Representative; and
(ii) may request the Trade Representative to, within a
reasonable period of time, request Mexico to provide relevant
information for purposes of verification of particular
shipments of Mexico described in subparagraph (A).
(2) Review of relevant information and request for
additional steps.--The Interagency Environment Committee--
(A) shall review relevant information provided by Mexico as
described in paragraph (1)(B)(ii) to determine if the Trade
Representative should request additional steps to verify
information provided or related to a particular shipment of
Mexico; and
(B) may request the Trade Representative to, within a
reasonable period of time, request Mexico to take such
additional steps with respect to the particular shipment.
(3) Consultation.--The Trade Representative, on behalf of
the Interagency Environment Committee, shall, on a quarterly
basis, consult with the appropriate congressional committees
and the Trade and Environment Policy Advisory Committee (or
successor advisory committee) established under section
135(c)(1) of the Trade Act of 1974 (19 U.S.C. 2155(c)(1))
regarding the public comments and relevant information
described in paragraph (1) and the actions taken under
paragraph (2).
(e) Application.--Subsections (c) and (d) shall apply with
respect to Mexico for such time as the USMCA is in force with
respect to, and the United States applies the USMCA to,
Mexico.
SEC. 814. ENFORCEMENT ACTIONS.
The Interagency Environment Committee--
(1) may request the Trade Representative to, within a
reasonable period of time, request consultations under--
(A) article 24.29 of the USMCA (relating to environment
consultations) with respect to the USMCA country; or
(B) articles 31.4 and 31.6 of the USMCA (relating to
dispute settlement consultations) with respect to the USMCA
country; or
(2) may request the heads of other Federal agencies
described in section 815 to initiate monitoring or
enforcement actions with respect to the USMCA country under
the provisions of law described in section 815.
SEC. 815. OTHER MONITORING AND ENFORCEMENT ACTIONS.
(a) Marine Mammal Protection Act.--The Secretary of
Commerce has authority to take appropriate monitoring or
enforcement actions under the Marine Mammal Protection Act of
1972 (16 U.S.C. 1361 et seq.).
(b) Magnuson-Stevens Fishery Conservation and Management
Act.--The Secretary of Commerce has authority to take
appropriate monitoring or enforcement actions under the
following provisions of law:
(1) The Magnuson-Stevens Fishery Conservation and
Management Act (16 U.S.C. 1801 et seq.).
(2) The Magnuson-Stevens Fishery Conservation and
Management Reauthorization Act of 2006 (16 U.S.C. 1891 et
seq.).
(3) The High Seas Driftnet Fishing Moratorium Protection
Act (16 U.S.C. 1826d et seq.).
(4) The Shark Conservation Act of 2010 (16 U.S.C. 1826k
note; 1857 note).
(5) The Shark Finning Prohibition Act (16 U.S.C. 1822
note).
(c) Fishermen's Protective Act of 1967.--The Secretary of
Commerce and Secretary of the Interior have authority to take
appropriate monitoring or enforcement actions under section 8
of the Fishermen's Protective Act of 1967 (22 U.S.C. 1978).
(d) Agreement on Port State Measures To Prevent, Deter and
Eliminate Illegal, Unreported and Unregulated Fishing.--The
Secretary of Commerce has authority to take appropriate
monitoring or enforcement actions under the Port State
Measures Agreement Act of 2015 (16 U.S.C. 7401 et seq.).
(e) Endangered Species Act.--The Secretary of Agriculture,
the Secretary of the Interior, the Secretary of Homeland
Security, the Secretary of Commerce, and the Secretary of the
Treasury have authority to take appropriate monitoring or
enforcement actions under the Endangered Species Act of 1973
(16 U.S.C. 1531 et seq.).
(f) Lacey Act.--The Secretary of Agriculture, the Secretary
of Commerce, the Secretary of the Interior, the Secretary of
Homeland Security, and the Secretary of the Treasury have
authority to take appropriate monitoring or enforcement
actions under the Lacey Act Amendments of 1981 (16 U.S.C.
3371 et seq.).
(g) Migratory Bird Treaty Act.--The Secretary of the
Interior has authority to take appropriate monitoring or
enforcement actions under the Migratory Bird Treaty Act of
1918 (16 U.S.C. 703 et seq.).
(h) Eliminate, Neutralize, and Disrupt Wildlife Trafficking
Act.--The Secretary
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of State, the Secretary of the Interior, the Attorney
General, and Administrator of the United States Agency for
International Development have authority to take appropriate
monitoring or enforcement actions under the Eliminate,
Neutralize, and Disrupt Wildlife Trafficking Act of 2016 (16
U.S.C. 7601 et seq.).
(i) Wild Bird Conservation Act.--The Secretary of the
Interior has authority to take appropriate monitoring or
enforcement actions under the Wild Bird Conservation Act of
1992 (16 U.S.C. 4901 et seq.).
(j) Customs Seizure and Other Authorities.--The Secretary
of Homeland Security has authority to take appropriate
monitoring or enforcement actions under section 499 of the
Tariff Act of 1930 (19 U.S.C. 1499) or section 596 of such
Act (19 U.S.C. 1595a).
(k) Other Relevant Provisions of Law.--The Interagency
Environment Committee may request the heads of other Federal
agencies to take appropriate monitoring or enforcement
actions under other relevant provisions of law.
(l) Rule of Construction.--Nothing in this section may be
construed to supersede or otherwise limit in any manner the
functions or authority of the head of any Federal agency
described in this section under any other provision of law.
SEC. 816. REPORT TO CONGRESS.
(a) In General.--The Trade Representative, in consultation
with the head of any Federal agency described in this
subtitle, shall submit to the appropriate congressional
committees a report on the implementation of this subtitle,
including--
(1) a description of efforts of the USMCA countries to
implement their environmental obligations; and
(2) a description of additional efforts to be taken with
respect to USMCA countries that are failing to implement
their environmental obligations.
(b) Timing of Report.--The report required by subsection
(a) shall be submitted--
(1) not later than one year after the date on which the
USMCA enters into force;
(2) annually for each of the next four years; and
(3) biennially thereafter.
(c) Additional Matters To Be Included in the Fifth Annual
Report.--The report required by subsection (a) that is
submitted in the fifth year after the USMCA enters into force
shall also include the following:
(1) The updated assessment required by section 812(d).
(2) A comprehensive determination regarding USMCA
countries' implementation of their environmental obligations.
(3) An explanation of how compliance with environmental
obligations will be taken into consideration during the
``joint review'' conducted pursuant to article 34.7.2 of the
USMCA on the sixth anniversary of the entry into force of the
USMCA.
SEC. 817. REGULATIONS.
The head of any Federal agency described in this subtitle,
in consultation with the Interagency Environment Committee,
may prescribe such regulations as are necessary to carry out
the authorities of the Federal agency as provided for under
this subtitle.
Subtitle B--Other Matters
SEC. 821. BORDER WATER INFRASTRUCTURE IMPROVEMENT AUTHORITY.
(a) In General.--The Administrator of the Environmental
Protection Agency shall, in coordination with eligible public
entities, carry out the planning, design, construction, and
operation and maintenance of high priority treatment works in
the covered area to treat wastewater (including stormwater),
nonpoint sources of pollution, and related matters resulting
from international transboundary water flows originating in
Mexico.
(b) Report to Congress.--Not later than 1 year after the
date of enactment of this Act, and annually thereafter, the
Administrator shall submit to Congress a report on activities
carried out pursuant to this section.
(c) Definitions.--In this section:
(1) Covered area.--The term ``covered area'' means the
portion of the Tijuana River watershed that is in the United
States.
(2) Eligible public entities.--The term ``eligible public
entities'' means--
(A) the United States Section of the International Boundary
and Water Commission;
(B) the Corps of Engineers;
(C) the North American Development Bank;
(D) the Department of State;
(E) any other appropriate Federal agency;
(F) the State of California; and
(G) any of the following entities with jurisdiction over
any part of the covered area:
(i) A local government.
(ii) An Indian Tribe.
(iii) A regional water board.
(iv) A public wastewater utility.
(3) Treatment works.--The term ``treatment works'' has the
meaning given that term in section 212 of the Federal Water
Pollution Control Act.
SEC. 822. DETAIL OF PERSONNEL TO OFFICE OF THE UNITED STATES
TRADE REPRESENTATIVE.
(a) In General.--Upon the request of the Trade
Representative, the Administrator of the Environmental
Protection Agency, the Director of the U.S. Fish and Wildlife
Service, and the Administrator of the National Oceanic
Atmospheric Administration may detail, on a reimbursable
basis, one employee of each such respective agency to the
Office of the United States Trade Representative to be
assigned to the United States Embassy in Mexico to carry out
the duties described in subsection (b).
(b) Duties.--The duties described in this subsection are
the following:
(1) Assist the Interagency Environment Committee to carry
out monitoring and enforcement actions with respect to the
environmental obligations of Mexico.
(2) Prepare and submit to the Interagency Environment
Committee on a quarterly basis a report on efforts of Mexico
to comply with its environmental obligations.
Subtitle C--North American Development Bank
SEC. 831. GENERAL CAPITAL INCREASE.
Part 2 of subtitle D of title V of Public Law 103-182 (22
U.S.C. 290m et seq.) is amended by adding at the end the
following:
``SEC. 547. FIRST CAPITAL INCREASE.
``(a) Subscription Authorized.--
``(1) In general.--The Secretary of the Treasury is
authorized to subscribe on behalf of the United States to,
and make payment for, 150,000 additional shares of the
capital stock of the Bank.
``(2) Limitation.--Any subscription by the United States to
the capital stock of the Bank shall be effective only to such
extent and in such amounts as are provided in advance in
appropriations Acts.
``(b) Limitations on Authorization of Appropriations.--
``(1) In general.--In order to pay for the increase in the
United States subscription to the Bank under subsection (a),
there are authorized to be appropriated, without fiscal year
limitation, $1,500,000,000 for payment by the Secretary of
the Treasury.
``(2) Allocation of funds.--Of the amount authorized to be
appropriated under paragraph (1)--
``(A) $225,000,000 shall be for paid in shares of the Bank;
and
``(B) $1,275,000,000 shall be for callable shares of the
Bank.''.
SEC. 832. POLICY GOALS.
(a) In General.--To the extent consistent with the mission
and scope of the North American Development Bank on the day
before the date of the enactment of this Act and pursuant to
section 2 of article II of the Charter, the Secretary of the
Treasury should direct the representatives of the United
States to the Board of Directors of the Bank to use the voice
and vote of the United States to give preference to the
financing of projects related to environmental infrastructure
relating to water pollution, wastewater treatment, water
conservation, municipal solid waste, stormwater drainage,
non-point pollution, and related matters.
(b) Charter Defined.--In this section, the term ``Charter''
means the Agreement Concerning the Establishment of a Border
Environment Cooperation Commission and a North American
Development Bank, signed at Washington and Mexico November 16
and 18, 1993, and entered into force January 1, 1994 (TIAS
12516), between the United States and Mexico.
SEC. 833. EFFICIENCIES AND STREAMLINING.
The Secretary of the Treasury should direct the
representatives of the United States to the Board of
Directors of the North American Development Bank to use the
voice and vote of the United States to seek to require the
Bank to develop and implement efficiency improvements to
streamline and accelerate the project certification and
financing process, including through initiatives such as
single certifications for revolving facilities, programmatic
certification of similar groups of small projects, expansion
of internal authority to approve qualified projects below
certain monetary thresholds, and expedited certification for
public sector projects subject to lender bidding processes.
SEC. 834. PERFORMANCE MEASURES.
(a) In General.--The Secretary of the Treasury should
direct the representatives of the United States to the Board
of Directors of the North American Development Bank to use
the voice and vote of the United States to seek to require
the Bank to develop performance measures that--
(1) demonstrate how projects and financing approved by the
Bank are meeting the Bank's mission and providing added value
to the region near the international land border between the
United States and Mexico; and
(2) are reviewed and updated not less frequently than
annually.
(b) Report to Congress.--The Secretary of the Treasury
shall submit to Congress, with the submission to Congress of
the budget of the President for a fiscal year under section
1105(a) of title 31, United States Code, a report on progress
in imposing the performance measures described in subsection
(a) of this section.
TITLE IX--USMCA SUPPLEMENTAL APPROPRIATIONS ACT, 2019
The following sums are hereby appropriated, out of any
money in the Treasury not otherwise appropriated, for fiscal
year 2020 and for other purposes, namely:
DEPARTMENT OF AGRICULTURE
Agricultural Programs
Animal and Plant Health Inspection Service
salaries and expenses
For an additional amount for ``Salaries and Expenses'', for
enforcement of the Lacey Act Amendments of 1981 (16 U.S.C.
3371 et seq.) during fiscal years 2020 through 2023 related
to trade activities between the United States and Mexico,
$4,000,000, to remain available until September 30, 2023:
Provided, That such amount is designated by the Congress as
being for an emergency requirement
[[Page H12245]]
pursuant to section 251(b)(2)(A)(i) of the Balanced Budget
and Emergency Deficit Control Act of 1985.
DEPARTMENT OF COMMERCE
National Oceanic and Atmospheric Administration
operations, research, and facilities
For an additional amount for ``Operations, Research, and
Facilities'', $16,000,000, to remain available until
September 30, 2023: Provided, That $8,000,000 shall be
available to engage in cooperation with the Government of
Mexico to combat illegal, unreported, and unregulated fishing
and enhance the implementation of the Seafood Import
Monitoring Program pursuant to 16 U.S.C. 1826 and 1829,
during fiscal years 2020 through 2023: Provided further,
That $8,000,000 shall be available to carry out section 3 of
the Marine Debris Act (33 U.S.C. 1952) during fiscal years
2020 through 2023 in the North American region: Provided
further, That such amount is designated by the Congress as
being for an emergency requirement pursuant to section
251(b)(2)(A)(i) of the Balanced Budget and Emergency Deficit
Control Act of 1985.
Office of the United States Trade Representative
salaries and expenses
For an additional amount for ``Salaries and Expenses'',
$50,000,000, to remain available until September 30, 2023:
Provided, That $30,000,000 shall be available solely to
provide for additional capacity of the Office during fiscal
years 2020 through 2023 to monitor compliance with labor
obligations (as such term is defined in section 701 of this
Act), including the necessary expenses of additional full-
time employees to participate in the Interagency Labor
Committee for Monitoring and Enforcement established pursuant
to section 711 of this Act: Provided further, That
$20,000,000 shall be available to reimburse the necessary
expenses of personnel participating in the Interagency
Environment Committee for Monitoring and Enforcement
established pursuant to section 811 of this Act during fiscal
years 2020 through 2023 to monitor compliance with
environmental obligations (as such term is defined in section
801 of this Act), including up to 1 additional full-time
employee detailed to the United States Embassy in Mexico from
each of the United States Fish and Wildlife Service, the
Environmental Protection Agency, and the National Oceanic and
Atmospheric Administration: Provided further, That, if the
United States Trade Representative determines that the
additional amount appropriated under this heading in this Act
exceeds the amount sufficient to provide for the
reimbursement of personnel specified in the previous proviso,
such excess amounts may be used to reimburse the necessary
expenses of additional personnel participating in the
Interagency Environment Committee for Monitoring and
Enforcement during fiscal years 2020 through 2023 to monitor
compliance with environmental obligations (as such term is
defined in section 801 of this Act): Provided further, That
such amount is designated by the Congress as being for an
emergency requirement pursuant to section 251(b)(2)(A)(i) of
the Balanced Budget and Emergency Deficit Control Act of
1985.
trade enforcement trust fund
For an additional amount for the ``Trade Enforcement Trust
Fund'', $40,000,000, to remain available until September 30,
2023, to carry out the enforcement of environmental
obligations under the USMCA, including for state-to-state
dispute settlement actions, during fiscal years 2020 through
2023: Provided, That, amounts appropriated in this paragraph
shall not count toward the limitation specified in section
611(b)(2) of the Trade Facilitation and Trade Enforcement Act
of 2015 (19 U.S.C. 4405): Provided further, That such amount
is designated by the Congress as being for an emergency
requirement pursuant to section 251(b)(2)(A)(i) of the
Balanced Budget and Emergency Deficit Control Act of 1985.
DEPARTMENT OF THE INTERIOR
United States Fish and Wildlife Service
resource management
For an additional amount for ``Resource Management'', to
enforce the Lacey Act Amendments of 1981 (16 U.S.C. 3371 et
seq.) and sections 42 and 43 of title 18, United States Code,
with respect to goods imported or exported between the United
States and Mexico, during fiscal years 2020 through 2023,
$4,000,000, to remain available until September 30, 2023:
Provided, That such amount is designated by the Congress as
being for an emergency requirement pursuant to section
251(b)(2)(A)(i) of the Balanced Budget and Emergency Deficit
Control Act of 1985.
ENVIRONMENTAL PROTECTION AGENCY
Environmental Programs and Management
For an additional amount for ``Environmental Programs and
Management'' for necessary expenses for carrying out the
Environmental Protection Agency's efforts through the
Commission for Environmental Cooperation during fiscal years
2020 through 2023, to reduce pollution, strengthen
environmental governance, conserve biological diversity, and
sustainably manage natural resources, $4,000,000, to remain
available until expended: Provided, That such amount is
designated by the Congress as being for an emergency
requirement pursuant to section 251(b)(2)(A)(i) of the
Balanced Budget and Emergency Deficit Control Act of 1985.
State and Tribal Assistance Grants
For an additional amount for ``State and Tribal Assistance
Grants'' for architectural, engineering, planning, design,
construction and related activities in connection with the
construction of high priority wastewater facilities in the
area of the United States-Mexico Border, after consultation
with the appropriate border commission, $300,000,000, to
remain available until expended: Provided, That such amount
is designated by the Congress as being for an emergency
requirement pursuant to section 251(b)(2)(A)(i) of the
Balanced Budget and Emergency Deficit Control Act of 1985.
DEPARTMENT OF LABOR
Departmental Management
salaries and expenses
For an additional amount for ``Salaries and Expenses'',
$210,000,000, for the Bureau of International Labor Affairs
to administer or operate international labor activities,
bilateral and multilateral technical assistance, and
microfinance programs, by or through contracts, grants,
subgrants and other arrangements; of which $180,000,000, to
remain available until December 31, 2023, shall be used to
support reforms of the labor justice system in Mexico,
including grants to support worker-focused capacity building,
efforts to reduce workplace discrimination in Mexico, efforts
to reduce child labor and forced labor in Mexico, efforts to
reduce human trafficking, efforts to reduce child
exploitation, and other efforts related to implementation of
the USMCA; and of which $30,000,000, to remain available
until September 30, 2027, shall be available to provide for
additional capacity of the Bureau of International Labor
Affairs during fiscal years 2020 through 2027 to monitor
compliance with labor obligations (as such term is defined in
section 701 of this Act), including the necessary expenses of
additional full-time employees of the Bureau to participate
in the Interagency Labor Committee for Monitoring and
Enforcement established pursuant to section 711 of this Act:
Provided, That the Secretary of Labor may detail or assign up
to 5 additional full-time employees of the Bureau to the
United States Embassy or consulates in Mexico to (1) assist
in monitoring and enforcement actions with respect to the
labor obligations of Mexico, and (2) prepare a report, to be
submitted on a quarterly basis to the Interagency Labor
Committee for Monitoring and Enforcement through September
30, 2027, on the efforts of Mexico to comply with labor
obligations (as such term is defined in section 701 of this
Act): Provided further, That such employees, while detailed
or assigned, shall continue to receive compensation,
allowances, and benefits from funds made available to the
Bureau for purposes related to the activities of the detail
or assignment, in accordance with authorities related to
their employment status and agency policies: Provided
further, That such amount is designated by the Congress as
being for an emergency requirement pursuant to section
251(b)(2)(A)(i) of the Balanced Budget and Emergency Deficit
Control Act of 1985.
MULTILATERAL ASSISTANCE
International Financial Institutions
contribution to the north american development bank
For payment to the North American Development Bank by the
Secretary of the Treasury for the United States share of the
paid-in portion of the increase in capital stock,
$215,000,000, to remain available until expended: Provided,
That the authorities and conditions applicable to accounts in
title V of the Department of State, Foreign Operations, and
Related Programs Appropriations Act, 2019 (division F of
Public Law 116-6) shall apply to the amounts provided under
this heading: Provided further, That such amount is
designated by the Congress as being for an emergency
requirement pursuant to section 251(b)(2)(A)(i) of the
Balanced Budget and Emergency Deficit Control Act of 1985.
GENERAL PROVISIONS--THIS TITLE
Sec. 901. Each amount appropriated or made available by
this title is in addition to any amounts otherwise
appropriated for any of the fiscal years involved.
Sec. 902. No part of any appropriation contained in this
title shall remain available for obligation beyond the
current fiscal year unless expressly so provided herein.
Sec. 903. Unless otherwise provided for by this title, the
additional amounts appropriated by this title to
appropriations accounts shall be available under the
authorities and conditions applicable to such appropriations
accounts for fiscal year 2020.
Sec. 904. Each amount designated in this title by the
Congress as being for an emergency requirement pursuant to
section 251(b)(2)(A)(i) of the Balanced Budget and Emergency
Deficit Control Act of 1985 shall be available (or rescinded
or transferred, if applicable) only if the President
subsequently so designates all such amounts and transmits
such designations to the Congress.
budgetary effects
Sec. 905. (a) Statutory PAYGO Scorecards.--The budgetary
effects of this title shall not be entered on either PAYGO
scorecard maintained pursuant to section 4(d) of the
Statutory Pay As-You-Go Act of 2010.
(b) Senate PAYGO Scorecards.--The budgetary effects of this
title shall not be entered on any PAYGO scorecard maintained
for purposes of section 4106 of H. Con. Res. 71 (115th
Congress).
[[Page H12246]]
(c) Classification of Budgetary Effects.--Notwithstanding
Rule 3 of the Budget Scorekeeping Guidelines set forth in the
joint explanatory statement of the committee of conference
accompanying Conference Report 105-217 and section 250(c)(7)
and (c)(8) of the Balanced Budget and Emergency Deficit
Control Act of 1985, the budgetary effects of this title
shall be estimated for purposes of section 251 of such Act.
This title may be cited as the ``USMCA Supplemental
Appropriations Act, 2019''.
The SPEAKER pro tempore. The bill shall be debatable for 2 hours
equally divided and controlled by the majority leader and the minority
leader or their respective designees.
The gentleman from Maryland (Mr. Hoyer) and the gentleman from
California (Mr. McCarthy) each will control 1 hour.
The Chair recognizes the gentleman from Maryland.
General Leave
Mr. HOYER. Madam Speaker, I ask unanimous consent that all Members
may have 5 legislative days in which to revise and extend their remarks
and insert extraneous material on H.R. 5430.
The SPEAKER pro tempore. Is there objection to the request of the
gentleman from Maryland?
There was no objection.
Mr. HOYER. Madam Speaker, I yield myself 1 minute.
This vote today, Madam Speaker, is a reminder that, even while the
House was working on a serious matter regarding the President's
accountability for abuses of office, we were still working hard to
deliver on our promises to the American people to focus on economic
opportunity, and in this instance we were working together.
This USMCA agreement before us is a vast improvement over the first
version shown to us by President Trump and his team. We worked
together, and it now includes critically important changes offered by
Democratic members in order to ensure that its enforcement mechanisms
are stronger, that it protects American workers, and that it will help
lower prescription drug costs and improve access to medications.
This agreement, Madam Speaker, will also remove some of the
uncertainty created by the tariff policies that have been pursued by
the President.
I am glad that our House Democratic working group was able to secure
new provisions to ensure that America's trading partners uphold the
rights of workers to unionize and bargain collectively. And I am glad
that this agreement includes strong, rapid-response enforcement
mechanisms that will allow us to block imports produced in facilities
where these commitments are violated.
I, and this Congress, will be closely monitoring the enforcement of
this new agreement to make certain that the administration is doing its
job and workers' rights are protected.
I thank Speaker Pelosi, Chairman Neal of the Ways and Means
Committee, and Ambassador Lighthizer, who represented the
administration in his straightforward, honest way. Their hard work and
negotiations with the White House to improve on the administration's
initial draft were successful.
I thank, as well, the members of the Democratic working group who
spent months working alongside the Speaker and chairman to fight for
the provisions necessary to secure House support.
This agreement, Madam Speaker, is truly the product of bipartisanship
with many victories for Democrats, of which all Americans can be proud,
and obviously, victories for Republicans, as well. I hope we can
approve it today with a strong, bipartisan vote of support.
Madam Speaker, I reserve the balance of my time.
Mr. McCARTHY. Madam Speaker, I yield myself 1 minute.
Madam Speaker, in sharp contrast to yesterday, today is the first
time this Chamber can finally rally behind an overwhelming, bipartisan
legislative win since the beginning of this Congress.
More than a year ago, President Trump came together with the leaders
of Mexico and Canada to sign a transformative trade deal that would
revamp how we trade goods with our top two leading traders. Despite
delay after delay from our Democratic colleagues, Republicans never
relented.
We understood months ago that the United States-Mexico-Canada
agreement would deliver a much-deserved win for the American worker.
Today is for them. It is for our hardworking farmers who have early
mornings and long days maintaining their harvest and livestock. It is
for our consumers who will be paying less money at the checkout for
everyday goods. It is for generations of Americans that will be able to
enjoy a more prosperous and financially secure future for decades to
come.
And because of that Republicans fought. We spoke to our constituents.
We took to the floor to deliver speeches. I just did a report to see
the number of times in the last year USMCA was mentioned on this floor.
Ninety-one percent of all the times it was mentioned were from this
side of the aisle and 9 percent on the other. I want to congratulate
our members for never giving up.
We spoke about the wins the USMCA would deliver any chance we got,
and we stayed in close contact with the administration to ensure that
it would be the right deal worthy of the American workers' legacy.
Republicans also understood that the ratification of USMCA would only
make the United States stronger as we continue to negotiate a trade
with China.
I am glad today is here, but it is a year late. Mexico is our number
one trader. Canada is our number two. China is number three. For the
last year we have been trying to negotiate an agreement with China. Our
hand would only have been stronger if today happened months ago. I am
glad today is here, but the delay has hurt us.
As we move forward, another goal that President Trump continues to
make progress on is our negotiations with China. Today will make him
stronger and, hopefully, help his hand from the last year.
Our economy is booming, exceeding expectations on a regular basis.
Thanks to this President and Republicans in Congress pushing pro-growth
policies, we are living through the best economy in a generation.
Regardless, if you are a Republican or a Democrat, the strength of
this economy is undeniable, and that is a fact worth celebrating.
{time} 1045
The ratification of the USMCA will guarantee that the trajectory
continues to move in the same positive direction.
After 25 years, a revised trade agreement was well past due.
I know other Presidents had promised they would be able to do this.
It is no small feat and not easy by any means, but it is another
promise kept by this President, and we want to thank him for his work.
When President Trump ran for office, passing the USMCA was a campaign
promise. Critics said it couldn't be done, yet he made it happen.
Another promise made, another promise kept.
I also want to commend the incredible support he had from
Congressional Republicans, especially our Ranking Member Kevin Brady
and the entire team he has on the Ways and Means Committee. They never
faltered, they never backed down, and they continued to work.
Madam Speaker, they never let the Democrat pushback hold them back
from delivering a major win for the American worker.
Today is a day worth celebrating. It is a day this House, after
nearly a year, finally checked their partisanship at the door to better
the lives of the American people.
Madam Speaker, I yield the balance of my time to the gentleman from
Texas (Mr. Brady).
Mr. BRADY. Madam Speaker, I reserve the balance of my time.
Mr. NEAL. Madam Speaker, I yield myself such time as I may consume.
Madam Speaker, I am delighted to stand in support of H.R. 5430, the
United States-Mexico-Canada Agreement Implementation Act.
The legislation we are considering today is the result of almost 14
months of negotiations between House Democrats and Ambassador
Lighthizer, and I am very proud of the outcome that we have reached.
As a result of these months of work, the USMCA is a transformative
agreement that creates a new high-water mark for U.S. trade deals going
forward.
[[Page H12247]]
When we assumed the majority this year, we were asked to consider a
renegotiated NAFTA that had structural flaws in a key number of areas:
enforcement, labor rights, environment, and access to medicines.
Let me start with enforcement, which was the crux of this agreement.
As I have noted many times over the past year, I did not vote for the
original NAFTA. The chief reason was the lack of enforceability
mechanisms. During these past 25 years, we have seen the shortcomings
of the original agreement, much of which comes down to a lack of
enforcement, in my view.
House Democrats, working with Ambassador Lighthizer, fixed many of
those issues. The improvements to the USMCA that we negotiated finally
make the agreement enforceable by preventing a country from being able
to block the formation of a dispute settlement panel.
On labor, our trade agreements, in many cases, have failed American
workers. NAFTA has been symbolic of our broken promises to these
workers.
Over 25 years of the NAFTA, there have been 39 petitions filed
documenting the exploitation of workers and zero enforcement actions
taken to remedy those violations.
In close partnership with labor unions and with the robust support of
Ways and Means Democrats, support from Republicans, we negotiated
improvements to the rules and to our monitoring regime, and we
established a new enforcement mechanism.
On the rules, we strengthened certain provisions and addressed
obstacles to enforcement in many others. On monitoring, for the first
time we have created a proactive monitoring regime for labor
obligations in a trade agreement. The implementing bill establishes an
Interagency Labor Committee that will actively monitor Mexico's
compliance, and report back to Congress.
On enforcement, we negotiated a historic mechanism never included in
a trade agreement before. As a result of Democratic efforts, we will
now have a facility-specific, rapid-response mechanism to address
violations of key labor obligations.
We have made great improvements to environmental provisions. The
USMCA will now include the highest environmental standards of any trade
agreement in history and will include a new customs verification
agreement to enhance enforcement.
The implementing bill, and I hope our colleagues in this Chamber will
hear this, also secures more than $600 million in funding for
environmental problems in the NAFTA region and reauthorizes the North
American Development Bank.
Through the dedication of the working group members, the Trade
Subcommittee members, we also secured important changes to USMCA that
preserve Congress' ability to change U.S. law to address the crisis we
face with respect to high prescription drug prices.
These changes set a new standard for U.S. trade agreements, and
demonstrate that trade agreements can achieve broad, bipartisan support
if they empower workers, protect patients, provide access to affordable
healthcare, and improve our shared environment.
I am proud of what we did here. After 14 months of negotiating on
every conceivable front, we have improved the old NAFTA.
Madam Speaker, I want to remind our colleagues today, if they decide
that they are not going to vote for this piece of legislation in front
of us, that is up to them. But one thing they cannot say is, this is
not much better than what we have had in the past.
So the options here are clear: you can vote for what we have
negotiated or you can embrace the status quo. And if this fails today,
that is precisely what you are doing: embracing the status quo.
This agreement, based upon the painstaking efforts of members of the
committee and Ambassador Lighthizer, was done with full transparency.
No surprises are in this legislation.
I hope that today we can say at the end of the time limits that this
was a successful negotiation of the largest trade agreement in American
history, a hemispheric agreement that I think we can stand in support
of with great pride today.
Madam Speaker, I reserve the balance of my time.
Mr. BRADY. Madam Speaker, I yield myself such time as I may consume.
Madam Speaker, yesterday, with impeachment, was a low mark in
partisanship.
Today, we have the opportunity to set a high mark in consensus and
bipartisanship.
Today is a momentous day. We will finally consider the implementing
bill that brings the trade relationship between the U.S., Canada, and
Mexico into the 21st century.
This trade agreement is sorely needed. It has been over 25 years
since we first established this trade relationship through NAFTA. So
much has changed since then.
For one thing, when we passed NAFTA, the phone booths by the Ways and
Means hearing room actually had pay phones in them.
A new 21st century trade agreement will be a force multiplier for
America's already strong economy.
Today marks the day 2 years ago that the House approved the Tax Cuts
and Jobs Act for the first time that has transformed America's economy.
Today, President Trump and Ambassador Lighthizer have fought hard and
delivered on their promise for a pro-growth and moderate trade pact.
And because of their outstanding leadership and working closely with
our congressional leaders on both sides of the aisle, we now have a
trade agreement that will deliver historic wins for the economy, and
that is because this trade agreement is all about growth.
USMCA will set the stage for billions more in economic activity. It
creates, for the first time, rules for competing in the digital
economy, to the advantage of America's manufacturers and farmers across
so many sectors. It pries open Canada's market for U.S. farmers and
ranchers to sell American dairy, wheat, chickens, eggs, and turkey. It
improves the competitive position of our manufacturers, our service
companies, and our small businesses. It ends the race to the bottom
created by what had been Mexico's poor labor laws.
The agreement, best of all, is enforceable, allowing us to challenge
violations and to stop countries from blocking these challenges,
holding Mexico and Canada accountable for these new rules.
More jobs. More American customers.
America's innovators will get the tools they need to succeed here as
we compete with countries like China.
Independent experts predict this new agreement will spur over $68
billion in new economic activity.
We are always looking to create more U.S. jobs, and this will create
more than 176,000 jobs here in America, including 76,000 in our auto
sector. That is good news for everyone.
Best of all for the American people, USMCA is a truly bipartisan
agreement.
To Chairman Neal's credit and his remarkable hard work, House
Democrats, including Chairman Blumenauer and my Texas colleague, Henry
Cuellar and many others, worked in good faith with Ranking Member
Buchanan and Ambassador Lighthizer to get on a path to ``yes.''
We are so glad to see so many Republican priorities were retained.
In the agreement before us today, we have labor and environmental
rules that are realistic, they are measurable, they are enforceable.
What is not in this agreement are provisions for which there is no
consensus, like the Paris climate accord.
It is not a perfect agreement. No trade agreements are. We will
continue to work to improve the areas that we think can be improved in
future agreements, but in any event, American workers have a major
victory in the USMCA, and I am proud to support it.
It is a shame that the Speaker held it up for so long. It has been
over a year since President Trump and our North American neighbors
signed the new U.S.-Mexico-Canada Agreement. It has been over half a
year since Mexico ratified the initial agreement, and they have
undertaken transformational labor reform.
Due to Democrats' misguided obsession with impeachment, they
neglected moving forward on this pro-worker and pro-growth trade
agreement for far too long.
Nonetheless, today I am so encouraged that we are here, finally
moving forward on this new, strengthened
[[Page H12248]]
North American Trade Agreement, because in the end, USMCA will not be a
Republican win or a Democratic win, but a win for the American people,
and a stronger, more prosperous alliance with our North American
trading partners.
Madam Speaker, I reserve the balance of my time.
Mr. NEAL. Madam Speaker, I yield 2 minutes to the gentleman from
Oregon (Mr. Blumenauer), the chairman of the Trade Subcommittee, who
also made an invaluable effort in terms of the working group that
assembled the document that we will vote on this afternoon.
Mr. BLUMENAUER. Madam Speaker, I thank Chairman Neal for his
extraordinary efforts.
Twenty-five years ago, NAFTA passed over strong opposition, with
serious flaws.
At the beginning of this Congress, we were given a bill by the
administration that didn't address those problems. It didn't have the
votes to pass and it didn't deserve to pass.
I am proud of the work with our chairman; with our working group; the
Speaker, who periodically invested huge amounts of time to keep it on
track; and, of course, Ambassador Lighthizer, who was a great partner
working with us.
We are voting today on an agreement that has fundamentally been
rewritten and strengthened.
A personal priority for me was stripping unnecessary and harmful
special provisions for Big Pharma. We have strengthened labor
protections and enforcement. These are game changers. The help of AFL-
CIO President Richard Trumka and, again, the Speaker were invaluable.
We have had environmental improvements. My colleague from Oregon,
Suzanne Bonamici, deserves great praise for being tenacious on that. We
will attack the raw sewage many of us saw flowing into the Pacific in
Tijuana.
We finally have come to an agreement that can and should be passed.
I appreciate the hard work of all our colleagues, and hope that this
is a foundation that we can move forward on to deal with challenges we
have with a global economy with the same spirit of cooperation and
innovation.
Mr. BRADY. Madam Speaker, I yield 2 minutes to the gentleman from
Florida (Mr. Buchanan), the leading Republican on the Trade
Subcommittee, who deserves great credit for this trade agreement.
Mr. BUCHANAN. Madam Speaker, I rise today in support of the United
States-Mexico-Canada Agreement. I want to say up front, I am so excited
about this bipartisan effort, that is going to make a big difference
for American workers.
Madam Speaker, I want to thank our leaders on our committee: Leader
Brady, Chairman Neal, Chairman Blumenauer. I want to thank all of them,
because this has been a team effort. It is exciting to see that once in
a while.
What the House passes today will bring us one step closer to finally
modernizing and balancing the 25-year-old North American Free Trade
Agreement, which supports nearly $1.3 trillion in economic activity and
more than 12 million American jobs.
Passing USMCA will update the United States' critical trading
relationships with our North American neighbors into the 21st century,
a high-standard deal that benefits American workers, businesses, and
the economy.
{time} 1100
In fact, according to the independent International Trade Commission,
USMCA will boost our economy by $68 billion and create an additional
175,000 new jobs.
International trade is critical to my home State of Florida, where we
export more than $12 billion worth of goods and services to Canada and
Mexico, supporting more than 700,000 jobs.
Leveling the playing field for Florida and the country, as well as
increasing access to our foreign markets, is critical to growing the
U.S. economy and creating good-paying jobs.
Florida has 15 deepwater seaports, including Port Manatee in my
district. Florida exports tens of billions of dollars in goods and
services annually and adds more than $100 billion in economic value to
our State.
I also congratulate President Trump because this is something for the
last 3 or 4 years he has been very passionate about, and Ambassador
Lighthizer because, without him and his effort, I am not sure we would
be here today.
Madam Speaker, I urge support for this landmark trade agreement.
Mr. NEAL. Madam Speaker, I yield 1\1/2\ minutes to the gentleman from
Georgia (Mr. Lewis), whose legendary work on behalf of America is well
known to all.
Mr. LEWIS. Madam Speaker, I thank my friend, Chairman Neal, for all
of his hard and great work. He never gave up; he never gave in. He kept
the faith, and he kept his eyes on the prize.
I thank all of my colleagues, both Democrats and Republicans, from
the Ways and Means Committee for finding a way to get us to the point
where we are today.
Twenty-six years ago, I opposed NAFTA with every bone in my body. I
never thought the day would come when we would have the opportunity to
right some of the wrongs in that agreement.
NAFTA failed our workers. It failed our Mexican brothers and sisters.
It failed Mother Earth.
NAFTA destroyed the hopes and dreams of a generation. It wiped out
communities. It started a race to the bottom.
With this vote, we have a chance to reset the clock, to chart a new
path, and to create a new trade model.
We can always do more, but today, we build a new foundation for trade
policy, a floor that reflects our values as a people and as a nation.
I thank the working group and all of our trade staff for working day
in and day out. They were determined to do right.
Mr. BRADY. Madam Speaker, I am proud to yield 2 minutes to the
gentlewoman from Wyoming (Ms. Cheney), a free-market conservative who
is an outstanding chairman of the Republican Conference.
Ms. CHENEY. Madam Speaker, I thank the Republican leader of the Ways
and Means Committee, my friend Mr. Brady, for all of his hard work, and
Chairman Neal, as well, for his work on this.
Sadly, Madam Speaker, last night, on the floor of this House, the
Democrats impeached the President of the United States without any
direct evidence. After that, we learned that, despite the fact that
they claimed, for months, that impeachment was an urgent matter,
Speaker Pelosi is refusing to send the Articles of Impeachment to the
Senate. I suppose we shouldn't be surprised, as Leader McConnell,
moments ago, said that these articles are a reflection of very shoddy
work and a rigged and rushed process.
The American voters will not forget the travesty that the House
Democrats have overseen. Had they not been obsessed with impeaching
President Trump, we could have approved this very deal a year ago. The
bipartisan nature of this deal that we are here discussing today cannot
cover up what happened on this floor last night.
Trade with Mexico and Canada is vital to our economy in my home State
of Wyoming. Exports from Wyoming to our North American partners totaled
$207 million in 2018. This USMCA will open countless new opportunities
for Wyoming businesses, especially our agriculture producers selling
our goods like wheat and beef, increasing export opportunities and the
thousands of jobs supported by trade in Wyoming.
USMCA will also benefit our small- and medium-sized businesses, which
already comprise 67 percent of our State's exports of machinery to
Canada and Mexico.
For too long, NAFTA allowed countries to take advantage of U.S.
workers. USMCA, negotiated by the President, is vital to strengthening
our relationship with our North American trade partners while still
holding Canada and Mexico accountable.
Madam Speaker, I support this crucial trade deal because it will
bring tremendous benefits to my home State of Wyoming and all across
the Nation, and I urge its approval today.
Mr. NEAL. Madam Speaker, I yield 1\1/2\ minutes to the gentleman from
Texas (Mr. Doggett).
Mr. DOGGETT. Madam Speaker, this agreement is good for moving more
commerce across our three countries. It means more jobs, and it means
lower prices for consumers. That is especially important in Texas where
the original
[[Page H12249]]
NAFTA was signed only a few blocks from my San Antonio office: Mexico,
our top trading partner; Canada, our second.
Some were so eager for this commerce that would be produced by
continuing NAFTA that they were willing to accept most any agreement.
But, we insisted that we get a much-improved agreement to address the
legitimate concerns of those who raised objection to previous
agreements.
What we have today is an initial step, an important step, toward
achieving a truly 21st century trade agreement that not only encourages
trade but protects the environment and recognizes the legitimate
concerns of workers. This victory results from major changes in what
President Trump proposed 14 months ago.
First, we secured additional funding for the North American
Development Bank, the NAD Bank, based in San Antonio, which is
important in addressing especially environmental concerns.
Second, and very significantly, we deleted the horrible Big Pharma
power grab to extend its monopoly power for prescription price gouging.
Third, each country was forced to take all necessary measures to
comply with multilateral environmental agreements which take precedence
over trade. This includes an additional recent agreement to
dramatically reduce heat-trapping chemicals. In 2021, when we have a
new president who actually believes in science, the agreement will
facilitate, not impede, our response to the climate crisis.
And, finally, instead of platitudes, we have an enforceable agreement
to address worker concerns. Let's celebrate a major step forward in
building broad public support for trade.
Mr. BRADY. Madam Speaker, I am pleased to yield 2 minutes to the
gentleman from Arizona (Mr. Schweikert), an outstanding technology
leader on the Ways and Means Committee.
Mr. SCHWEIKERT. Madam Speaker, I know we all had the points we want
to walk through, but can I actually take a step sideways and do more a
unified theory reason why I think getting this done is so incredibly
important.
We talk about our issues with trade with China. We are living in a
time right now where supply chains are choosing where to move around
the world. The fact of the matter is that we are going to move North
America into a stable, much more robust trading bloc where we know what
the rules are. It gives us a chance to try to draw much more of the
world's supply chains--manufacturing, trade, and commerce--as we get to
be one of the key hubs in the world. The rancor, the fragility, the
disagreements--hopefully that is behind us now.
Being from the State of Arizona, we also accomplished a number of
things in this trade agreement that are really important. The de
minimis rules, where small businesses, internet-based businesses, now
have a fighting chance to engage in commerce back and forth across the
border, and some of the other rules of protections of IP and data, we
truly have modernized much of this agreement.
Will this help the United States? I sure hope so because you see a
number of predictions that this draws almost a half a percent of GDP in
growth. That is wonderful. I wish we could have done this a year ago,
but we are finally getting it done.
We are living almost in a miracle of economic growth and economic
stability. This just adds one more leg so we can keep this going. We
got the tax policy right. We also have the international part of the
tax policy right. Now, hopefully, we are getting part of the trade
right. Can we continue to live this economic expansion miracle longer?
I will make the argument that getting this USMCA done is incredibly
important to this success.
Mr. NEAL. Madam Speaker, we consider it a bit of a miracle that the
gentleman did not show up with his charts.
Madam Speaker, I yield 1\1/2\ minutes to the gentleman from
California (Mr. Thompson), whose invaluable work on the committee and a
steady hand all of the time is very much appreciated.
Mr. THOMPSON of California. Madam Speaker, I rise in strong support
of the USMCA implementing legislation.
As a member of the working group, I can tell you how far we have
come. The original agreement that was sent to Congress was a total
failure at protecting workers' rights, providing access to affordable
medicine, and protecting our environment. Further, it wasn't
enforceable.
The bill we have before us today is the result of tireless work from
Speaker Pelosi, Chairman Neal, and the working group members who
represented the diverse views of Congress.
With gains achieved through our negotiations, this trade deal will
set the standard for all future trade agreements. It is enforceable; it
protects workers; it helps address serious environmental issues; and it
protects access to affordable medicine.
Finally, I thank the staff, which worked tirelessly to get us to this
day. There were a lot of late nights and a lot of weekends sacrificed
to reach this deal. Specifically, I thank the Katherines, Katherine Tai
and Katherine Monge; the Trade Subcommittee staff, Alexandra Whittaker,
John Catalfamo, Julia Friedman, Kate Connor Linton, Katie White, and
Keigan Mull; and from my staff, my trade person, Jennifer Goedke.
I commend the Speaker, the chairman, and all the Members who worked
so hard to get us here. All of those good things that both sides have
been talking about today were not in the first draft that we got from
the White House. This is a good bill because we made it a good bill. I
ask everybody to support this bill.
Mr. BRADY. Madam Speaker, I am pleased to yield 2 minutes to the
gentleman from Louisiana (Mr. Scalise), the outstanding Republican
whip.
Mr. SCALISE. Madam Speaker, I thank Chairman Brady for yielding. I
thank all the people who we have worked with to get to this point
because passing the United States-Mexico-Canada trade agreement is
going to be a major victory for American workers, yet another sign that
we can improve on our current trade relationships.
I think a lot of people were concerned that maybe the President would
pull out of NAFTA because he was clearly critical of the flaws of the
previous agreement. But what he did was actually go and negotiate with
Mexico and get a better deal for American workers. Then he went to
Canada, which might have been a little more reluctant, but he got a
better deal with Canada, as well.
What you see is not only a trade agreement that is a major win for
the American economy--conservative estimates show over 160,000 new jobs
get created. Agriculture gets a big win because many of our products
that we can't sell to Canada now will be able to be sent to those
markets.
This shows how Congress can work with this administration to do
something that is really good for American workers.
{time} 1115
But what it also does, Madam Speaker, is it sends a message to the
rest of the world that we can work with our friends to get better trade
deals, our other friends around the world like Japan, like the United
Kingdom, who would like to work to get better trade deals. But if you
can't get a deal from your neighbors from the north and south, you
surely are not going to be able to get a deal with anyone else.
Now, this tells them that we can close deals and that there are other
countries lining up that want to be a part of this economy. We have the
hottest economy in the world, and it is only going to get better for
workers here.
But it then sends a message to China that not just America wants to
send, but a message that all of our allies around the world want to
send, that when you do business with America, you have to follow the
rules. You can't play by your own set of rules. And now, for
enforcement of deals, it really shows that China is going to have to
become part of the world economy and play by the rules that everyone
else in the world plays by.
That is an important win for all of those forgotten men and women
across this country who appreciate the work President Trump has done,
Bob Lighthizer, who has been his quarterback on this all the way
through, and everyone else. So it is going to be a big win for our
country and for our economy.
[[Page H12250]]
Mr. NEAL. Madam Speaker, I yield 1\1/2\ minutes to the gentleman from
Connecticut (Mr. Larson), a member of the working task force that
assembled the document in front of us today, again, whose keen mind and
good sense is always very helpful to these debates.
Mr. LARSON of Connecticut. Madam Speaker, I thank the chairman for
yielding, and I want to commend Ranking Member Brady and our colleagues
on the other side as well. It is always a pleasure to know what this
body can do when we work together.
I also want to associate myself with the remarks of the chairman for
his incredible leadership. In his opening remarks, he underscored the
key word that is central to this agreement that is far different from
the previous NAFTA agreement. It is ``enforcement.'' It was his
tenacity and the tenacity of the working group and the subcommittee
that made this happen.
I commend Speaker Pelosi for her work and, clearly, for all the
working members of the task force for the effort they put forward.
Mike Thompson has already credited the staff for their outstanding
work, and I specifically want to thank Rosa DeLauro, who also was there
for the first NAFTA vote as well and is a strong and a tenacious
defender of labor.
The work of Rosa DeLauro, the work of President Trumka, the work of
Ambassador Lighthizer, these were salient reasons that underscored Mr.
Neal's premise that enforcement at all levels, but specifically as it
related to labor and environment, needed to be put in place.
Mr. BRADY. Madam Speaker, I am proud to yield 2 minutes to the
gentleman from Nebraska (Mr. Smith), the elite Republican leader of the
Select Revenue Measures Subcommittee.
Mr. SMITH of Nebraska. Madam Speaker, I almost heard my colleague Mr.
Larson appreciate, I thought I heard him say President Trump, but then
he did say ``Trumka,'' so I guess maybe not so much similarity there.
But the fact of the matter is I appreciate the few nudges that we have
seen over the last few weeks that have brought us to this point.
And I certainly appreciate the work of Ambassador Lighthizer and many
on President Trump's team who have worked so hard to get us to this
point.
Representing an agriculture powerhouse district, the Third District
of Nebraska, where our farmers and ranchers work very diligently and
very efficiently to help feed America and the world, we need good
markets for them. Trade relationships in North America are so
important, and we have this opportunity to modernize NAFTA, heading us
in the direction of even more markets and really reflecting the needs
of our economy and the economy across North America.
We have got this opportunity to bring people together, especially in
light of events this week. I certainly appreciate this opportunity and
our leaders on the Ways and Means Committee, both Mr. Brady and the
chairman as well.
This is a great time to work together. I look forward to its passage
and urge everyone to vote ``yes.''
Mr. NEAL. Madam Speaker, I yield 1\1/2\ minutes to the gentleman from
Wisconsin (Mr. Kind). His advocacy on behalf of agriculture is well-
known to all in this body.
Mr. KIND. Madam Speaker, I rise in proud support of this trade
agreement. It is important that we have a strong trading relationship
with our two border neighbors, Mexico and Canada, our two biggest
export markets.
I just caution my colleagues who choose to vote ``no'' on this that a
``no'' vote is a return to the failed policy of the old NAFTA, the
status quo, rather than this more modernized version.
I am happy that dairy farmers in America are going to have greater
access to the Canadian market.
We made progress on poultry and eggs.
We also tightened up the sanitary and phytosanitary standards so that
those decisions have to be made on sound science rather than arbitrary
decisions to block our agricultural exports.
We have, perhaps, the strongest worker protection chapter ever in the
trade agreement, enhanced environmental standards, all to level the
playing field for our workers, our farmers, our businesses so they can
fairly compete rather than trying to compete in a race to the bottom.
Perhaps most importantly, we have the strongest enforcement chapter
ever, and we look forward to working with Mexico and Canada to
implement it the right way to make sure we are all playing by the same
rules.
So this is solid, and I want to commend the chair, the ranking
member, the working group, but also the staff for the countless hours
that they put in to get us to this place, but especially Ambassador Bob
Lighthizer for his perseverance and patience throughout these months.
These were difficult negotiations. This is what bipartisanship looks
like on the House floor, where we are able to get this across the
floor.
I encourage my colleagues to support this agreement, support the
Northern Hemisphere economy. Show the rest of the world that we are
back in business.
Mr. BRADY. Madam Speaker, I am proud to yield 2 minutes to the
gentleman from Pennsylvania (Mr. Kelly), a Main Street businessman and
the Republican leader of the Oversight Subcommittee.
Mr. KELLY of Pennsylvania. Madam Speaker, I thank the gentleman for
yielding.
Madam Speaker, it is great to stand here today, and what a difference
a day makes. It is really good to see Members on both sides of the
aisle stand up and say: You know, we are really getting things done for
America.
I would like to say that this is a Christmas gift that is wrapped up
in paper that is red, white, and blue. It is a jobs bill: 176,000 jobs,
$68 billion in new revenue. And this was arrived at because, in 2016, a
candidate for the Presidency made the same commitment that everybody
who ever runs for the Presidency says: If I get elected, I am going to
make sure that we replace NAFTA with something that makes sense for
American workers.
Promise made, promise kept. The 45th President of the United States
has been on a tear improving this economy.
Now, having said all that--and I do have friends on both sides of the
aisle. I just think that sometimes when we are on the floor here, it is
impossible to show that.
There is a saying at Christmastime that says: Peace on Earth, and
good will to men.
That is not the saying. It is: Peace on Earth to men of goodwill.
That is a saying we need to take here.
One story I will share with you: As a child, I used to write a letter
to Santa Claus every Christmas, and I would tell him everything I
wanted. I would come down Christmas morning, and I never got everything
I wanted, but I was sure as heck thankful for everything I got.
This is a tremendous jobs bill for America. This is a tremendous
accomplishment. I can't imagine anybody not voting for this.
But I do want to take this opportunity to wish all of us a very Merry
Christmas, and all of the people back home.
For the staffs on both sides, I thank them for everything they did.
This is the way that America is supposed to work and should continue
to work as we end 2019 and go into 2020. It is a wonderful opportunity
to show America that, on the people's floor in the House of
Representatives, we can actually get things done.
Mr. NEAL. Madam Speaker, it is always an honor to endorse the Speaker
of the House and to welcome her to the floor, but also to point
something out.
On weekends, from Brussels, from Madrid, from Paris, she called me.
And on the final weekend, time and again, with the U.S. trade rep on
the line, the three of us went back and forth with Rich Trumka, who was
in Pennsylvania on vacation, who couldn't have cell access until 5
o'clock in the evening. The Speaker was totally involved in this
endeavor.
But most importantly, she called me in the middle of a Patriots game,
and I was smart enough to take the call.
Madam Speaker, I yield 1 minute to the gentlewoman from California
(Ms. Pelosi).
Ms. PELOSI. Madam Speaker, that is while I was watching what was
happening with the San Francisco 49ers and the Baltimore Ravens.
Sports, sports, the center of our lives. That is the unifying factor.
We all are for our teams--aren't we?--and, hopefully, we are all Team
[[Page H12251]]
USA. Now we can prove that on this U.S.-Mexico-Canada Agreement.
While I was calling the distinguished chairman, I was in Brussels for
the 75th anniversary of the Battle of the Bulge. We had a bipartisan
delegation there to thank our veterans. All of them were in their
nineties, many of whom who were there, so we could thank them
personally and be there to see them acknowledged by heads of state and
the rest.
In terms of Spain, it was about we are still in it when it comes to
the Paris accord. So, work, work, work.
But this was a priority, and time was important. We were trying to
get it done as soon as it met the standards that we share.
I proudly rise to join my colleagues on this exciting day as the
House passes a historic trade agreement that is truly worthy of the
American people, a new and dramatically improved U.S.-Canada-Mexico
trade agreement.
I salute Chairman Richard Neal, a lifelong champion for working
people, the maestro in the House on our side of this process, who
helped deliver a trade agreement that will serve as a model for future
trade agreements.
I thank each member of the Trade Working Group who worked so hard to
improve the product that was sent originally by the administration
nearly 2 years ago to where we are now.
I thank Chairman Blumenauer, chairman of the Trade Subcommittee,
walking in now; Congresswoman Rosa DeLauro; Congressman John Larson;
Congresswoman Jan Schakowsky; Congressman Mike Thompson;
Congresswoman Terri Sewell; Congresswoman Suzanne Bonamici; and
Congressman Jimmy Gomez, each of them working on the different
categories that are mentioned: enforcement, labor rights, environmental
protections, and pharmaceuticals.
I thank every Member for their wisdom, leadership, and commitment to
delivering for the people during this process.
I was just asked in a press conference: Aren't you giving President
Trump--Mr. Brady always asks this question--aren't you giving the
President a victory to boast about?
I said: That would be collateral benefit if we could come together to
support America's working families. And if the President wants to take
credit, so be it. That would not stand in the way of our passing this.
However, I do want to point out some of the distance we have come from
the President's original product.
The House Democratic Caucus is united in our values and our priority
to making progress for America's working families in everything we do,
including this trade agreement.
We all thank Trade Representative Lighthizer, Mr. Ambassador, for
being an honest broker and straight shooter with us as we worked toward
an agreement. Not every day was without its, shall we say, exuberances,
but this day is possible because of the hard work of many Members
representing every corner of our country.
We thank Richard Trumka, president of the AFL-CIO, a true warrior for
workers, who helped secure an agreement that is light-years better than
what the administration proposed 2 years ago.
Democrats knew that hardworking Americans needed more from the USMCA
than just some broken NAFTA with better language but no real
enforcement. That was my concern: We just can't come up with a bill
that is a little sugar on the top and say this is better, because the
impact on workers would be felt for a long time to come. And we knew we
could do better.
The original USMCA draft put forth by the administration fell far
short of where it is now. It still left many American workers exposed
to losing their jobs to Mexico; included unacceptable provisions,
locking in high drug prices; came up short on key environmental
standards; critically lacked the tough, effective enforcements that are
essential to protect American jobs and holding our trading partners
accountable to their promises.
After months of Democrats working with the Trade Representative, we
have key changes to the USMCA that make this a truly transformative
agreement for America's workers.
Now, with Democratic changes, the USMCA has the strongest enforcement
mechanism of any U.S. trade agreement. Again, in contrast to the
original USMCA draft which would have allowed nations that do not live
up to their obligations to stop enforcement complaints from even being
heard, Democrats' changes prevented nations from panel blocking.
For workers, while the administration drafts stack the deck against
labor violation claims, our changes enact new rules and monitoring
tools to protect American workers, prosecute labor violations, and
ensure that Mexico is complying with labor reforms.
Other points that are for the workers include establishing labor
attaches based in Mexico who will provide on-the-ground information
about Mexico's labor practices and creating a facility-specific rapid
response law enforcement mechanism to stop trade in goods that violate
this agreement.
These are not technical changes. These make a big difference.
{time} 1130
For the environment, whereas the administration's draft had weak
environmental rules and tilted the playing field against violation
claims, democrats have strengthened the rules and enforcement tools and
are lowering pollution and increasing resilient infrastructure.
Sadly, while the administration refuses to acknowledge the existence,
let alone the urgency, of the climate crisis, our changes in the USMCA
set a firm footing for progress when we have a President who brings us
back to the Paris accord.
And, by the way, when we were in Spain on this subject, our large
bicameral delegation's theme was ``we are still in'' when it came to
the Paris accord.
For lowering prescription drug costs, the White House draft contained
unacceptable giveaways for Big Pharma that would have locked in high
prescription drug prices.
Democrats have eliminated these unfair handouts to big corporations
and secured provisions to lower drug costs and improve access to life-
saving medicines.
The changes House Democrats have secured in the USMCA make this a
truly transformational trade agreement. As the AFL-CIO wrote in their
letter of support last week, we have secured an agreement that working
people can proudly support.
Working people are responsible for a deal that is a vast improvement
over the original NAFTA and the flawed proposal brought forward in
2017. For the first time, there truly will be enforceable labor
standards.
The USMCA also eliminates special carve-outs for corporations like
the big giveaway to Big Pharma in the administration's initial proposal
and loopholes designed to make it harder to prosecute labor violations.
The USMCA is far from perfect, but there is no denying that the trade
rules in America are fairer because of the hard work of so many people,
and our perseverance. Working people have created a new standard for
future trade negotiations.
Indeed, the strength of Democrats' USMCA is recognized by
endorsements from groups representing tens of millions of Americans
across industries and geographies: labor groups and trade
organizations; farmers, growers, and ranchers; groups representing
businesses around the country; social justice, and faith-based
organizations, such as NETWORK.
The list goes on and on, and it will be part of the statement that I
include in the Record.
This is a strong agreement that honors our promises For the People to
give us bigger paychecks and makes a difference for millions.
With all the respect in the world for our neighbors, our respect for
the greatness of Mexico as our neighbor, and the friendship that we
have and want to engender, and our neighbor to the north, Canada, with
respect to them, our responsibility is to have a trade agreement that
lifts all workers in our hemisphere. Our first responsibility is to
American workers.
I urge a bipartisan vote for the USMCA and urge Senator McConnell to
take the bill up quickly. We can send it right over, and he can take it
up anytime.
If the Senate Republicans care about workers, they will no doubt join
us to
[[Page H12252]]
send this bill to the President's desk in the House and in the Senate.
Madam Speaker, I commend our chairman, Richard Neal, for his
outstanding work. I know that you have a good rapport with Ranking
Member Brady. I thank all the Members who are responsible for bringing
this to the floor.
AFL-CIO,
December 10, 2019.
AFL-CIO Endorses USMCA After Successfully Negotiating Improvements
Labor Federation President Richard Trumka on the United States-Mexico-
Canada Agreement (USMCA), provided final text accurately reflects
changes:
Make no mistake, we demanded a trade deal that benefits
workers and fought every single day to negotiate that deal;
and now we have secured an agreement that working people can
proudly support.
I am grateful to House Speaker Nancy Pelosi and her allies
on the USMCA working group, along with Senate champions like
Sherrod Brown and Ron Wyden, for standing strong with us
throughout this process as we demanded a truly enforceable
agreement. I also commend Ambassador Robert Lighthizer for
being a straight shooter and an honest broker as we worked
toward a resolution.
Working people are responsible for a deal that is a vast
improvement over both the original NAFTA and the flawed
proposal brought forward in 2017. For the first time, there
truly will be enforceable labor standards-including a process
that allows for the inspections of factories and facilities
that are not living up to their obligations.
The USMCA also eliminates special carve outs for
corporations like the giveaway to Big Pharma in the
administration's initial proposal and loopholes designed to
make it harder to prosecute labor violations.
The USMCA is far from perfect. It alone is not a solution
for outsourcing, inequality or climate change. Successfully
tackling these issues requires a full-court press of economic
policies that empower workers, including the repeal of tax
cuts which reward companies for shipping our jobs overseas.
But there is no denying that the trade rules in America
will now be fairer because of our hard work and perseverance.
Working people have created a new standard for future trade
negotiations.
President Trump may have opened this deal. But working
people closed it. And for that, we should be very proud.
Mr. BRADY. Madam Speaker, I yield 2 minutes to the gentleman from
Ohio (Mr. Wenstrup), who is a key member of the Ways and Means
Committee and who hails from a huge trade State.
Mr. WENSTRUP. Madam Speaker, for over a year the administration and
Republicans in Congress have emphasized the urgency of passing the new
United States-Mexico-Canada Agreement, the USMCA.
With this bipartisan vote, and with the hard work from both sides of
the aisle, we finally have the opportunity to rebalance North American
trade. In spite of delays, this opportunity that exists for all
Americans is finally here today.
It has been 25 years since our North American Trade Agreement was
established, and it has not been updated to reflect the modern economy.
Under this new trade agreement, our farmers, manufacturers, and
workers will finally have a deal that modernizes North American trade,
boosts our economy, and strengthens our Nation's role in the global
trading market.
American farmers will now have increased access to the Canadian
market to sell products like dairy, poultry, eggs, and wheat, a vast
improvement over the status quo.
It improves intellectual property provisions that will protect
innovation, safeguard American trade secrets in Canada and Mexico,
though certain protections could be stronger.
USMCA also modernizes trade with Canada and Mexico by establishing a
new gold-standard digital trade chapter to continue the growth of our
digital economy. It includes a new chapter dedicated to helping small-
and medium-sized businesses, which make up 98 percent of our Nation's
exporters.
Our economy relies on trade with our North American neighbors, and
these additions will support American companies, farmers, and workers.
In fact, USMCA is predicted to create over $68 billion in new economic
activity and 176,000 new jobs here in America.
USMCA is a win for the United States and a win for North America. At
long last, Americans will have an updated trade agreement that works
for them. The stage is set for further agreements that help hardworking
Americans.
Madam Speaker, I want to thank the President, Ambassador Lighthizer,
and all of my colleagues for working so hard on this over the last
couple of years. I encourage Members to support this.
Mr. NEAL. Madam Speaker, I yield 1\1/2\ minutes to the gentleman from
New Jersey (Mr. Pascrell).
Mr. PASCRELL. Madam Speaker, I thank the chairman and Mr. Brady. I
thank Messrs. Blumenauer and Buchanan for the great job that they did.
I also thank Mr. Lighthizer. He is a different kind of guy, and I
really believe that he was essential to getting to this vote today.
In my entire political life, I have never had anyone say to me, as
was said today, that if you vote against this, you are voting for the
status quo.
I even have a Jerry Garcia tie on today. Me and the status quo don't
agree most of the time.
So there are some questions that do remain.
The ship of human rights has not been righted. The President never
once mentioned in any speech, during 2016 until now, about human rights
and about workers' rights in discussing NAFTA. Mexican workers are
still being treated like chattel, American jobs will still flow through
other countries, and sham protection unions will still own the day.
This bill has made many improvements, but it is not enough.
Some can say: Is there ever enough?
There are too many questions.
Will Mexico be held accountable to fully enforce their labor laws?
We don't know.
Mr. BRADY. Madam Speaker, I yield 2 minutes to the gentleman from
Kansas (Mr. Estes), who is an outstanding new member of the Ways and
Means Committee.
Mr. ESTES. Madam Speaker, I thank my colleague and friend from Texas
for yielding, and I am proud to rise today to support the United
States-Mexico-Canada Agreement.
Since President Trump announced the USMCA over 1 year ago, I have
urged my colleagues across the aisle to join us in supporting this
important trade agreement and getting it across the finish line. Today,
I am thrilled to speak on the floor and ask my colleagues to support it
one last time.
The journey to this day has been longer and harder than it should
have been. For too long USMCA has taken a backseat to some partisan
politics causing farmers, ranchers, and workers across the country to
miss out on economic growth and jobs in the meantime. However, today we
are taking a giant step forward in finally making that free and fair
trade deal a reality.
The U.S.-Mexico-Canada Agreement will create 176,000 new jobs in our
country and will boost the national GDP by $68 billion. It is important
for farmers and ranchers in my State. The USMCA opens up new markets
for American dairy, wheat, chicken, eggs, and turkey for the first
time. This deal also helps U.S. manufacturing jobs and increases wages.
NAFTA was created 25 years ago, and the USMCA will now be the first
trade agreement with a chapter dedicated to digital trade and sets new
standards for labor and the environment.
I want to thank President Trump and Ambassador Lighthizer for their
incredible leadership over the last couple of years to follow through
on another campaign pledge and negotiate this update to NAFTA. I also
want to thank Chairman Neal and Ranking Member Brady for their
leadership to ensure that our Ways and Means Committee and Congress
were involved in this process all along the way.
This is an important victory for President Trump and for millions of
farmers, ranchers, and workers across our country who will benefit from
the USMCA. As a strong advocate for free and fair trade, I proudly
support the USMCA and look forward to working with the Senate to send
this to the President's desk as soon as possible.
Mr. NEAL. Madam Speaker, I yield 1\1/2\ minutes to the gentleman from
Illinois (Mr. Danny K. Davis), who is a well-known champion of all
things Chicago and a great advocate of working men and women.
Mr. DANNY K. DAVIS of Illinois. Madam Speaker, I have always been
told, if there is righteousness in the heart, then there is beauty in
the character. I think what we have seen this week and what we are
seeing today is the righteousness of the Members of this House who take
the position that
[[Page H12253]]
neither side will get everything that it wants.
I certainly won't get everything that I want for the State of
Illinois, but I have got dairy farmers--not as many as Ron Kind may
have in Wisconsin--I have got corn growers in Illinois and soybean
growers--maybe not as many as there are in Iowa. But the
comprehensiveness of the communities that we represent demand that we
come together.
So I want to commend Chairman Neal, our ranking member, the working
group, and the Speaker of the House because it took all of them to make
this work.
So, Madam Speaker, I am going to vote for it. I admit that I feel a
great deal like Bill Pascrell, but I am going to vote for it because we
need to come together and do what we can for the American people.
Mr. BRADY. Madam Speaker, I yield 2 minutes to the gentlewoman from
Indiana (Mrs. Walorski), who is a happy Hoosier and a champion for low
tariffs and free trade.
Mrs. WALORSKI. Madam Speaker, I am indeed happy, and I am thrilled
today to actually be here and cast my vote for the U.S.-Mexico-Canada
Agreement, or the USMCA. I can't tell you enough of what it will do for
our districts in northern Indiana.
The hardworking Hoosiers in Indiana's Second District are builders
and growers. We manufacture most of the RVs you see on the road and a
large portion of boats and trailers that you see on many lakes. We
manufacture auto parts and musical instruments. Our farmers put food on
the table, including corn, soybeans, pork, duck, eggs, and dairy
products. Mexico and Canada are key export markets for all of them and
the workers they employ.
It has been 25 years since NAFTA has been in force. Technology,
transportation, and consumer habits have all evolved; NAFTA, however,
stayed the same. Politicians promised the sky when it came to trade
agreements, but President Trump promised to modernize NAFTA, and,
unlike anyone else, he kept that promise with USMCA.
USMCA dismantles trade barriers that stood in the way of American
exports for so long. For farmers in my district, this means more dairy,
more poultry, and more eggs are heading to Canada. For manufacturers,
this means fewer paperwork headaches that slow down shipments and
prevent them altogether. For businesses of all sizes, types, and
shapes, this means e-commerce standards that promote fair competition
and that will be used as a standard in future agreements. For workers,
this means more jobs staying in the United States.
Robust enforcement ensures that the potential of the USMCA does not
evaporate overnight. The promises made by all sides will be promises
kept by all sides.
Madam Speaker, this day is long overdue, but I am so happy it is
finally here. Our economy is booming thanks to tax cuts and regulatory
reforms, and now USMCA will keep that momentum going. It will put more
money in workers' pockets, and it will help small businesses thrive.
It is a big win for President Trump and Ambassador Lighthizer, and it
is a big win for America.
Madam Speaker, I urge my colleagues to support this agreement.
{time} 1145
Mr. NEAL. Madam Speaker, I yield 1 minute to the gentleman from
Buffalo, New York (Mr. Higgins).
Mr. HIGGINS of New York. Madam Speaker, I thank the gentleman for
yielding.
Madam Speaker, the economic future of Buffalo and western New York is
tied strategically to southern Ontario, which is one-third of the
entire population of the country of Canada.
I am pleased that this agreement strengthens the U.S.-Canadian
economic and life quality relations. I am concerned, however, that the
U.S.-Mexican economic relationship is more challenging.
The United States has lost 6 million manufacturing jobs in the past
20 years, and 53,000 manufacturing businesses have closed. NAFTA's
promise of wage convergence, bringing Mexican wages to Canadian and
U.S. standards, has failed. The Mexican wage is $5.10 a day, less than
$0.64 an hour.
We have good reason to be skeptical of Mexico's commitment to do
better. The USMCA, however, because of Chairman Richard Neal's
leadership and emphasis on rigorous enforcement, does have the
potential for improved Mexican compliance on wages, the environment,
and labor standards.
Mr. BRADY. Madam Speaker, I yield 2 minutes to the gentleman from
Texas (Mr. Marchant), a leader on free trade from the Dallas-Fort Worth
area.
Mr. MARCHANT. Madam Speaker, the United States-Mexico-Canada
Agreement is a revolutionary trade deal that will usher in a new era of
economic prosperity and growth for Americans across the country.
Texas, in particular, stands ready to thrive under this agreement.
Our State exports more to Mexico than any other and is second in
exports to Canada. Each year, over $135 billion worth of Texan goods
are sent to our two closest trading partners, supporting over 114,000
jobs in Texas.
The reforms in the USMCA will ensure that we continue to have free
and fair access to international marketplaces, keeping prices low for
Americans and business booming for business and workers.
Madam Speaker, I thank the chairman and the ranking member, my good
friend, for shepherding this through. Members on the other side of the
aisle, I have been in legislatures for a long time, and I always
believed that, on this bill, you were trying to get to ``yes'' on it. I
appreciate the hours that you met, and Texas will appreciate every vote
that is cast for this bill.
Mr. NEAL. Madam Speaker, I yield 1\1/2\ minutes to the gentlewoman
from Alabama (Ms. Sewell), who, again, was an invaluable member of the
Trade Working Group. Her advocacy for people in her constituency is
well known to all.
Ms. SEWELL of Alabama. Madam Speaker, I rise today in strong support
of this trade deal. I was honored that Speaker Pelosi asked me to join
the Democratic Trade Working Group.
We, the Gang of 8, along with you, Mr. Chairman, worked tirelessly
for 6 months, negotiating with Bob Lighthizer, the U.S. Ambassador on
trade. We took what was a very weak and unenforceable trade deal and
made it into a renegotiated trade agreement that will protect American
workers and businesses.
This bill we vote on today is a renegotiated USMCA. I am particularly
proud that the working group won two major concessions on enforcement.
First, we closed the panel-blocking loophole and created a strong
state-to-state mechanism for enforcement. Second, we created a first-
of-its-kind rapid response mechanism to improve labor enforcement in
Mexico.
This deal is a win for the Steelworkers and Teamsters in my Alabama
district. It is a win for the automobile manufacturers and steel
industry in the State of Alabama. It is a win for Alabama farmers and
agriculture producers.
This renegotiated trade agreement is a much-improved North American
Free Trade Agreement, and it is because of that that I ask my fellow
colleagues to support it.
Madam Speaker, I, again, thank Chairman Neal, Speaker of the House
Nancy Pelosi, my fellow Gang of 8 working group members, as well as Bob
Lighthizer, and our especially hardworking staff. I thank, especially,
Katherine Tai and my own staffer, Rob Nuttall, for all of their hard
work on getting us there.
I do believe that this is a win for everyone, and I urge my
colleagues to support this new, renegotiated USMCA.
Mr. BRADY. Madam Speaker, I yield 2 minutes to the gentleman from New
York (Mr. Reed), a champion in manufacturing and the Republican leader
of Subcommittee on Social Security.
Mr. REED. Madam Speaker, I thank the gentleman from Texas for
yielding.
Madam Speaker, I rise today because this is a good day. I don't want
to discuss yesterday. I don't want to discuss issues that divide us in
this Chamber.
I want to discuss, today, the United States-Mexico-Canada Agreement
because that has brought us together. When we come together, who wins
in that situation? Not us as Members of the House of Representatives,
not us here in Washington, D.C., but the American people.
I was reminded recently, this morning, that, about 2 years ago, we
delivered on tax cuts, and I stood exactly
[[Page H12254]]
right here, and I knew that was going to unleash the American economy.
We have an economy now at an all-time high, with 50-year lows for
unemployment and 1.4 million new jobs in America.
Today, we have come together for the American worker, the American
farmer. We have united as Democrats and Republicans to do something
good for our fellow citizens, and that is this updated United States-
Mexico-Canada Agreement.
As I stood here 2 years ago and had a discussion with my good friend
from New York, Mr. Crowley, who is no longer here, I declared in one
voice saying, hell, yes, I am going to vote for those tax cuts, and,
hell, yes, I am going to vote for this Mexico-Canada trade agreement,
because what we are doing here is, again, unleashing the power of
America. Standing together, it is amazing what we can accomplish.
Madam Speaker, I applaud Chairman Neal. I applaud the Democratic
Trade Working Group. I applaud the other side of the aisle for standing
with us today for the American workers and American farmers.
I also applaud President Trump for having the vision and the
leadership to take on this issue when everyone told him it cannot be
done.
Madam Speaker, I also applaud Kevin Brady, Vern Buchanan, and Devin
Nunes, and members of the Committee on Ways and Means who stood forward
and said: You know what we are going to do? We are going to make sure
we stand for a principle we believe in. That is the American
opportunity of a job in an economy that is growing and playing on a
field across the world where we have a fair and level playing field of
trade. Because, when we have fair, free trade, the American worker wins
each and every day.
Madam Speaker, I ask my colleagues to support this legislation.
Mr. NEAL. Madam Speaker, I yield 1\1/2\ minutes to the gentlewoman
from Washington (Ms. DelBene), whose well-acknowledged efforts on
behalf of the best and most important trade State in the country,
Washington, as well as being a knowledgeable forecaster of
international economics for all benefit all of us on the committee.
Ms. DelBENE. Madam Speaker, I thank the gentleman for yielding. I
rise in support of the United States-Mexico-Canada Agreement and the
implementing legislation.
Congressional Democrats worked hard to secure labor-specific
enforcement tools and robust environmental provisions that make this
agreement a substantial improvement over the original NAFTA.
Most importantly, this new agreement helps many of my constituents.
Now, our dairy farmers will have greater market access to Canada, and
our wineries will have an easier time selling their wine in British
Columbia.
When this new agreement is in place, it will be the first U.S. trade
agreement with a digital trade chapter. It includes provisions on data
localization, cross-border data flows, and other requirements that
preserve a free and open internet. That is important to all segments of
our economy.
My district is home to a vibrant technology industry that is
responsible for thousands of good-paying jobs and helps power America's
large trade surplus in digital services.
Madam Speaker, I hope my colleagues will join me in supporting this
agreement.
Mr. BRADY. Madam Speaker, I yield 2 minutes to the gentleman from
California (Mr. Nunes), Republican leader of the Health Subcommittee
and the outstanding leader of the Permanent Select Committee on
Intelligence.
Mr. NUNES. Madam Speaker, I thank the gentleman for those kind words,
and I am pleased that we have overcome numerous delays and are finally
passing a North American trade deal for the 21st century.
USMCA will create jobs, boost the economy, and strengthen our
relationship with our neighbors in Canada and Mexico. I want to express
my gratitude to Ambassador Robert Lighthizer and his team, and Gregg
Doud and his staff, for the hard work they have done on this agreement.
I also commend the President for delivering, yet again, for American
farmers and workers under USMCA. Under this agreement, ag products that
had zero tariffs under NAFTA will continue to be tariff-free. Our
farmers and ranchers will gain additional access to the remaining
protected sectors. Enforcement will be enhanced to ensure the agreement
is implemented correctly.
Updated dispute mechanisms will ensure the United States has prompt
access to a dispute settlement panel, when needed, to allow U.S.
businesses to compete on a level playing field.
This is a great bipartisan agreement that will bring huge benefits to
millions of Americans, and I urge my colleagues to support USMCA.
Finally, I thank Chairman Neal and Ranking Member Brady for all of
their great work on this. I know it was not easy, but you guys did a
really great work. I think the American people owe you a debt of
gratitude.
Mr. NEAL. Madam Speaker, I yield to the gentlewoman from California
(Ms. Judy Chu), another invaluable member of the Committee on Ways and
Means whose knowledge about southern California is very important to
all of us.
Ms. JUDY CHU of California. Madam Speaker, I rise today in support of
the improved USMCA. With the changes demanded by Democrats from the
original proposal, this agreement marks a historic step that will stop
the bleeding of American jobs to other countries.
Free trade agreements have often meant lost jobs or lower wages for
American workers, and the Trump administration's initial USMCA was no
different. But Democrats fought back to win new labor protections that
make this deal actually work for Americans.
I have seen firsthand why these protections are so important. Earlier
this year, I traveled on the Committee on Ways and Means' trip to
Mexico to investigate the labor challenges we are facing.
At a Goodyear plant, I spoke directly to workers whose starting pay
was only $2 an hour and even less after deductions. Then, when these
workers went on strike to demand better wages, nearly 50 labor leaders
were harassed, threatened with violence, and fired. This means that a
company that pays American workers $23 an hour and made $15.5 billion
in sales last year would rather fire Mexican workers than pay them a
fair wage.
It is one of the many examples that explains why companies outsource
jobs and exploit labor in other countries. And it is why Democrats
fought so hard for a USMCA deal with strong labor protections to ensure
a level playing field.
This trade deal isn't perfect, but it is an important step in the
right direction and protects American jobs.
Mr. BRADY. Madam Speaker, I yield 2 minutes to the gentleman from
Texas (Mr. Arrington), the food, fuel, and fiber capital of the world.
Mr. ARRINGTON. Madam Speaker, I couldn't have said that better
myself. I thank the ranking member, my dear friend from the great State
of Texas, for his leadership on this very important trade deal, our
largest and most important relationship of all of our trading
relationships.
I thank our chairman, Chairman Neal, for keeping this thing on track
and keeping people in the game so we could have a bipartisan consensus.
That is the only way this could work, so the chairman is to be
commended for his efforts.
But let's give credit where credit is due, for the one who led the
charge, who did the heavy lifting, our President, Donald J. Trump. I am
saying this because in 2016, he was already calling out some of these
trade deals as a rip-off of American workers and manufacturers.
While NAFTA was a great deal for farmers and ranchers, we saw a 400
percent increase in trade for ag products since the inception of NAFTA.
It hasn't been good all the way around. It hasn't been fair all the way
around. It hasn't been productive, in terms of keeping jobs here in the
United States.
{time} 1200
So kudos to our President for his dogged commitment to American-first
trade policies. That doesn't mean America only. It means that we
negotiate from strength, and we negotiate what is in the best interest
of American workers, manufacturers, and farmers.
[[Page H12255]]
That is what this does: $70 billion in economic growth, 170,000 jobs,
and billions in investment that will go into the auto manufacturing
sector.
Our producers, dairy producers and other farmers, are going to have
open access to new customers in Canada, so this is a huge win for
America.
I want to join all my colleagues, Republican and Democrat, and
champion this all the way through. So I urge my colleagues on both
sides of the aisle, vote ``yes'' for USMCA, and vote for an even
greater America and an even greater prospect for American prosperity.
God bless America.
Go west Texas.
Mr. NEAL. Madam Speaker, I yield 1\1/2\ minutes to the gentleman from
Pennsylvania (Mr. Evans), whose district I recently visited, a real
champion of the airport, a real champion of the seaport, and a real
champion of international economics.
Mr. EVANS. Madam Speaker, I would like to first thank the chairman
and the working group for working together.
Trade can be a poverty buster. It is a powerful tool in the toolbox
by increasing the earning power of our communities and creating well-
paying jobs.
Coming from the city of Philadelphia, which nearly has 25 percent
poverty, well-paying jobs are the difference between thriving and
surviving. Let me say that again: thriving and surviving. That is why
this is important.
Trade is especially beneficial to minority-owned businesses.
Minority-owned exporting businesses average three times more workers
and pay a wage premium of nearly $16,000 more.
That is why I thank the chairman and the staff in the working group,
because of their leadership. This really sends a message to the entire
world that we want free trade, but also fair trade.
It is especially important to understand that everybody doesn't get
everything they want. That is called negotiation.
Again, I stand here today, proudly, to say I am supporting this 100
percent.
Mr. BRADY. Madam Speaker, I yield 2 minutes to the gentleman from
Illinois (Mr. LaHood), an outstanding member of the Ways and Means
Committee.
Mr. LaHOOD. Madam Speaker, I thank the ranking member for yielding
the time.
I rise today in support of the USMCA.
And let's call this what it is: It is a win for America. It is a win
for our farmers. It is a win for our manufacturers. It is a win for our
workers.
For the past 2\1/2\ years, so many people have worked tirelessly to
ensure that this high-standard and modernized trade agreement got
completed.
I would especially thank Chairman Neal and Ranking Member Brady and
our Ways and Means staff for all the hard work and the commitment and
dedication to getting this done.
Also, to Bob Lighthizer. There is not a more capable trade ambassador
that we have had than Bob Lighthizer. He has been relentless in his
pursuit of getting this done.
Lastly, President Trump, it wouldn't have happened without him and
what he did working with the Canadians and the Mexicans to get this
trade agreement done.
This free and fair trade agreement benefits all of us, all sectors of
our economy. Moreover, it will further support the record-breaking
economic growth that this country has seen. We, arguably, have the best
economy we have had in 40 years, and this will help that.
It is true that this agreement is not perfect. There are a few things
that I would have liked to have seen done differently on sunset
provision and ISDS and rules of origin.
But, at the end of the day, when you look at these 24 chapters and
what it does to market access for agriculture, to digital trade
provisions, USMCA puts America on top, and it shows the world that,
with our two largest trading partners, Mexico and Canada, we can
negotiate an agreement that is solid.
Remember, we represent 4\1/2\ percent of the world's population. We
have to have markets around the world. This agreement sets the standard
for doing that.
In Congress, I am proud to represent the 18th District of Illinois.
It is the eighth largest district in terms of corn and soybean
production. When I think about what this does for market access,
breaking down barriers, this helps our farmers.
In Illinois, ag is the number one industry in our State. I think
about our manufacturers and what this means for jobs and opportunities
for them for products in Canada and Mexico.
The ability to sell our goods, products, and services around the
world is absolutely vital to economic success in Illinois and across
the country. Forty percent of the products we grow, produce, or
manufacture in Illinois go to Canada or Mexico. This helps with that.
In closing, I would just say this is a good agreement. I look forward
to supporting it, and I would ask my colleagues to do the same.
Mr. NEAL. Madam Speaker, I yield 1\1/2\ minutes to the gentleman from
Illinois (Mr. Schneider), a very knowledgeable member of the Ways and
Means Committee whose district I visited not that long ago.
Mr. SCHNEIDER. Madam Speaker, I want to associate myself with the
remarks of my colleague from Illinois.
This is a win for American workers, for their families, for their
communities, and for our Nation as a whole.
I want to thank Chairman Neal and Ranking Member Brady, the working
group, and, in particular, our staff, who worked so hard, tirelessly,
to bring this deal forward.
The USMCA legislation before us today is the result of many months of
hard-fought negotiations between Congress and the administration, and
it is a true victory for working people and our country.
Compared to the initial version of the agreement shared by the White
House last year, the improved trade agreement before us today includes
markedly stronger protections for American workers and crucially
serious enforcement mechanisms that ensure all parties will follow the
agreement.
While I believe the agreement includes higher standards to preserve
our environment, I do regret the administration was unwilling to make
any commitments to address the very real and pressing issues of climate
change.
Nevertheless, the USMCA is a major step forward for American workers
and businesses fighting to compete in an increasingly interconnected
world. It also puts to rest the President's threat to pull out of NAFTA
without the certainty of a replacement.
A testament to the hard-fought negotiations is the backing of this
agreement from stakeholders as diverse as the AFL-CIO and the United
States Chamber of Commerce.
I support the passage of the USMCA implementing language, and I urge
my colleagues to do the same.
Mr. BRADY. Madam Speaker, I yield 2 minutes to the gentleman from
South Carolina (Mr. Rice), an outstanding member of the Ways and Means
Committee.
Mr. RICE of South Carolina. Madam Speaker, this is a great day for
American workers.
The nameplate on my desk says, ``Jobs, Jobs, Jobs,'' and that is
exactly what this new trade agreement will bring.
You see, for too long, America was willing to accept trade agreements
that were tilted against American workers because we were so far ahead
of the rest of the world, but we are not so far ahead anymore.
Ross Perot was right all those years ago when he said the old NAFTA
would bring a giant sucking sound of American jobs going to Mexico, and
that is precisely what happened in my district.
Unfair trade agreements are one of the primary reasons that the
American middle class has stagnated for decades--until the election of
Donald Trump.
The new USMCA corrects much of this imbalance:
It will prevent the departure of many more Americans jobs;
It will bring hundreds of thousands of new jobs to America;
It will raise the wages of workers throughout North America; and
It will accelerate the growth of our American economy.
I am thankful for the talent and effort of Ambassador Lighthizer in
successfully reaching this incredibly complicated trilateral agreement.
[[Page H12256]]
I am also thankful that we finally have a President with the backbone
and determination to do what is necessary to bring our trading partners
to the table, many of whom have taken advantage of us for far too long,
and despite the criticism of many here in our own country. Our
President is doing what is right and fair for America and American
workers.
Finally, Madam Speaker, I am thankful that Speaker Pelosi has finally
found a moment of sufficient political expedience that she would allow
this vote to lift American workers.
Mr. NEAL. Madam Speaker, I yield 1\1/2\ minutes to the gentleman from
California (Mr. Panetta), a very invaluable member of the Ways and
Means Committee, advocate of the ``Salad Bowl of the World,'' and a
good friend.
Mr. PANETTA. Madam Speaker, I rise today in support of USMCA.
That is right. The chairman is absolutely correct. I represent the
central coast of California, and I fondly call it the ``Salad Bowl of
the World.''
With agriculture being our number one industry, trade with Canada and
Mexico and, thus, the USMCA is very, very important. This deal will
provide our farmers and ranchers with continued, yet improved, access
to those important markets.
It will also strengthen those sanitary and phytosanitary standards
and make sure that sound science is used when it comes to our food
safety, and it helps California wine get into those Canadian markets.
When this administration first presented USMCA to Congress, I have to
say, it was unacceptable. However, thanks to Speaker Pelosi, Chairman
Neal, the Trade Working Group and, you bet, Ambassador Lighthizer, we
were able to come up with one of the strongest, most progressive deals
in the United States' history.
The USMCA now has some of the most stringent labor standards, some of
the most robust funding for enforceability, and some of the strongest
requirements for the environment ever.
The USMCA frames a new floor for future trade agreements. It creates
new confidence in our most important trading partners, and it provides
protection for the future of our fresh produce on our farms, for the
dignity of our workers, for the sanctity of our environment, and, yes,
for the success of our economy and our hemisphere.
Mr. BRADY. Madam Speaker, I include in the Record a series of
statements in support of USMCA, including from the U.S. Chamber of
Commerce, the Information Technology Industry Council, the Business
Roundtable, the National Association of Manufacturers, the American
Farm Bureau, who join a host of business, agriculture, technology,
manufacturing, and small business organizations across America that
have been instrumental in getting USMCA across the finish line.
U.S. Chamber of Commerce,
Congressional & Public Affairs,
Washington, DC, December 18, 2019.
To the Members of the U.S. House of Representatives: The
U.S. Chamber of Commerce strongly supports H.R. 5430, the
``United States-Mexico-Canada Agreement (USMCA)
Implementation Act,'' which would strengthen trade ties that
support millions of American jobs. The Chamber will include
votes on this bill in our annual How They Voted scorecard.
The case for approval of this legislation is strong. First,
it would strengthen U.S. trade ties with Canada and Mexico,
which are by far our most important export markets. More than
12 million American jobs--in sectors from agriculture and
manufacturing to services and technology--depend on trade
with our two North American neighbors. They are also the top
two export destinations for U.S. small and medium-size
businesses, more than 120,000 of which sell their goods and
services to Canada and Mexico. The new pact would guarantee
that virtually all U.S. exports enter these markets tariff-
free.
Second, USMCA would modernize North American trade rules.
When the North American Free Trade Agreement was negotiated a
quarter of a century ago, there was no e-commerce, to give
one example; consequently, the agreement did not address this
sector. While USMCA falls short in several areas--including
in intellectual property, which should not be considered a
template for future agreements--its updated rules on digital
trade, non-tariff barriers, services, and other areas promise
substantial benefits.
Third, USMCA would restore certainty to these vital trade
relationships. Tariffs and the threat of tariffs--applied to
steel and aluminum, autos and auto parts, or applied to
pursue non-trade objectives--have imposed real costs on the
U.S. economy and dampened investment. Enactment of this new
trade agreement would turn the page on this chapter and
afford the business community the confidence it needs to
invest and hire.
Implementation of USMCA would be a boon to U.S. companies
and the workers they employ as they compete in our top two
export markets. We urge the House to approve USMCA
expeditiously.
Sincerely,
Suzanne P. Clark,
President,
U.S. Chamber of Commerce.
____
Dear Speaker Pelosi, Minority Leader McCarthy, Majority
Leader McConnell and Minority Leader Schumer: The undersigned
Texas based business leaders and organizations urge your
swift action and support of the United States-Mexico-Canada
Agreement (USMCA). Ratification of USMCA is critically needed
to provide certainty for the many business sectors in Texas
that rely on trade with Canada and Mexico, while in turn
contributing to the U.S. economy.
Texas exports more than any other state to Mexico and is
second only behind Michigan for exports to Canada. More than
950,000 Texas jobs are supported by trade with Mexico and
Canada. In 2018, Texas exported more than $137 billion worth
of products to our North American partners, accounting for 43
percent of Texas' total exports to the world. These are
staggering numbers that will only grow with the
implementation of USMCA.
According to a recent independent International Trade
Commission (ITC) report, USMCA will create more than 176,000
additional jobs and raise annual U.S. gross domestic product
by $68.2 billion. It will increase U.S. exports to Canada by
$19.1 billion and to Mexico by $14.2 billion. It is obvious
USMCA will greatly benefit the Texas economy by spurring job
growth and opening more trade access.
The manufacturing community in Texas heavily relies on
passage of USMCA. In fact, Mexico and Canada purchase half of
Texas' total global manufacturing exports. The Lone Star
State's top exports to Mexico and Canada are petroleum and
coal products, computer equipment, chemicals, motor vehicle
parts, electrical equipment, semiconductors and electric
components, fabricated metal products, plastics, engine,
turbine and power transmission equipment and food and
beverages. These exports totaled more than $120 billion in
2018 and are responsible for more than 114,000 Texas jobs.
Passage of USMCA will help Texas manufacturers be more
competitive and create many more jobs in Texas and the U.S.
USMCA would also create much needed certainty for Texas
farm and ranch families who contribute to the economy and
feed and clothe millions worldwide. Over 60,400 Texas jobs
are supported by exporting agricultural products to Mexico
and Canada. The annual value of Texas' agricultural exports
to our North American neighbors totals more than $7.2
billion. USMCA would only build on these achievements by
breaking down existing trade barriers and opening more market
access for products like beef, dairy, corn, wheat and pork.
USMCA provides Texas with greater access to Canada's dairy,
poultry and egg markets. It would enhance standards for
biotechnology, reduce trade distorting policies, establish
modern sanitary and phytosanitary standards and more.
Combined with other agricultural provisions in USMCA, the ITC
report estimates U.S. agricultural exports to Canada and the
rest of the world would increase by $2.2 billion.
Through updated automotive rules of origin, USMCA
encourages manufacturing and economic growth by requiring
that 75 percent of auto content be produced in North America.
USMCA also drives higher wages by mandating 40-45 percent of
auto content be made by workers earning at least $16 per
hour. These improvements will incentivize billions of dollars
in additional U.S. vehicle and auto parts production while
directly benefiting the Texas automotive industry.
USMCA also includes new provisions to strengthen and fully
enforce environmental and labor obligations. The agreement
requires parties to adopt and maintain in law and practice
labor rights as recognized by the International Labor
Organization. It requires worker representation in collective
bargaining in Mexico, new provisions to take measures to
prohibit the importation of goods produced by forced labor
and to address violence against workers exercising their
labor rights. These provisions make strides in leveling the
playing field for Texas and U.S. workers and businesses.
USMCA also provides a strong framework to support North
American energy trade. It will bolster North American
competitiveness and help lower our reliance on energy imports
from outside the region. It also maintains the free flow of
energy across borders in North America through the continued
zero-tariff treatment of U.S. energy exports to Mexico and
Canada.
In addition, the new agreement will enable U.S. chemical
manufacturers to create a North American model for chemical
regulation while leveraging the highly-integrated, North
American supply chain to reduce costs, boost U.S. exports and
inject new growth and job creation throughout Texas and the
U.S.
Further, Texas pharmaceutical and technology innovators
will enjoy the strongest
[[Page H12257]]
protections for trade secrets contained in any U.S. trade
agreement. USMCA also contains a new digital trade chapter
that will facilitate the cross-border transfer of data and
minimize limitations on where data must be stored.
As you can tell, passage of USMCA is vital to Texas and our
country. We respectfully request that you quickly bring USMCA
up for a vote in Congress and support its final passage.
Hardworking Americans are counting on your leadership on this
important issue.
Sincerely,
Texas Farm Bureau; Texas Association of Business; Accord
Irrigation Technologies LLC; AgTexas Farm Credit Services;
Allen/Fairview Chamber of Commerce; Apartment Association of
Greater Dallas; Association of Texas Soil and Water
Conservation Districts; Baytown Chamber of Commerce; Bryan/
College Station Chamber of Commerce.
Cedar Park Chamber of Commerce; Cen-Tex Hispanic Chamber of
Commerce; City of Coppell; DanHil Containers; Dallas Regional
Chamber; Del Rio Chamber of Commerce; Denton Chamber of
Commerce; DFW Minority Supplier Development Council, Inc.;
Dumas Chamber of Commerce.
Earth Moving Contractors Association of Texas; El Paso
Chamber of Commerce; El Paso Hispanic Chamber of Commerce;
Exotic Wildlife Association; Farm Credit Bank of Texas; Fort
Worth Chamber of Commerce; Freese & Nichols, Inc.; Frisco
Chamber of Commerce; Global Tooling Specialties, Inc.;
Granbury Chamber of Commerce.
Grand Prairie Chamber of Commerce; Grapevine Chamber of
Commerce; Greater Arlington Chamber of Commerce; Greater
Austin Chamber of Commerce; Greater Austin Hispanic Chamber
of Commerce; Greater Dallas Asian American Chamber of
Commerce; Greater Houston Partnership; Greater Irving-Las
Colinas Chamber of Commerce; Greater Killeen Chamber of
Commerce.
Greater Port Arthur Chamber of Commerce; Houston Hispanic
Chamber of Commerce; Imperative Information Group;
Independent Cattlemen's Association of Texas; Ingleside
Chamber of Commerce; Intelligent Compensation, LLC;
International Bank of Commerce; Lamesa Area Chamber of
Commerce; Longview Chamber of Commerce; Lubbock Chamber of
Commerce.
McAllen Chamber of Commerce; McKinney Chamber of Commerce;
Nacogdoches County Chamber of Commerce; North American
Strategy for Competitiveness; North Dallas Chamber of
Commerce; North San Antonio Chamber of Commerce; North Texas
Commission; Onshore Resources; Plains Cotton Cooperative
Association.
Plains Cotton Growers, Inc.; Plains Land Bank; Plano
Chamber of Commerce; Richardson Chamber of Commerce; Rio
Grande Valley Hispanic Chamber of Commerce; Rio Grande Valley
Partnership; Rolling Plains Cotton Growers, Inc.; San Antonio
Chamber of Commerce; San Antonio Hispanic Chamber of
Commerce.
Select Milk Producers, Inc.; Sherman Chamber of Commerce;
South Texas Cotton & Grain Association; South Texans'
Property Rights Association; Southern Rolling Plains Cotton
Growers Association; Southwest Council of Agribusiness; State
Tax Group, LLC; Texas Ag Industries.
Texas Agricultural Cooperative Council; Texas Agricultural
Irrigation Association; Texas Allied Poultry Association;
Texas Association of Dairymen; Texas Association of Mexican
American Chambers of Commerce; Texas Border Council; Texas
Broiler Council; Texas Business Leadership Council.
Texas Cattle Feeders Association; Texas Corn Producers
Association; Texas Cotton Ginners' Association; Texas Egg
Council; Texas Forestry Association; Texas Grain and Feed
Association; Texas Grain Sorghum Association; Texas
Independent Ginners Association; Texas Instruments; Texas
International Produce Association.
Texas Logging Council; Texas Nursery and Landscape
Association; Texas Pork Producers Association; Texas Poultry
Federation; Texas Poultry Improvement Association; Texas
REALTORS' Texas Rice Council; Texas Rice Producers
Legislative Group; Texas Seed Trade Association; Texas Sheep
and Goat Raisers Association.
Texas and Southwestern Cattle Raisers Association; Texas
Soybean Association; Texas Turkey Federation; Texas Wheat
Producers Association; The Borderplex Alliance; Texas Border
Coalition; United Parcel Service of America, Inc.; United
Corpus Christi Chamber of Commerce; U.S. Chamber of Commerce;
United States Rice Producers Association.
United States-Mexico Chamber of Commerce; United States-
Mexico Chamber of Commerce Houston Chapter; United States-
Mexico Chamber of Commerce Southwest Chapter; Visit Fort
Worth; Vocational Agriculture Teachers Association of Texas;
Western Equipment Dealers Association; Western Peanut Growers
Association.
____
December 18, 2019.
Dear Member of Congress: On behalf of the CEO members of
Business Roundtable, I urge you to vote in favor of H.R.
5430, the United States-Mexico-Canada Agreement
Implementation Act. Over 12 million American jobs depend on
the $1.4 trillion in trade with Canada and Mexico. Passing
USMCA will modernize a 25-year old agreement with our
neighbors and preserve and strengthen the North American
economy.
USMCA includes many gold-standard provisions, further opens
markets and sets standards that will benefit workers,
businesses and farmers across broad industry sectors. USMCA,
once in effect, will promote the digital economy and trade,
remove key barriers to goods and services trade, promote the
free flow of data for all sectors, enhance trade facilitation
and e-commerce, and support small businesses by cutting red
tape.
No trade agreement is perfect, and we do not support every
individual provision in USMCA. Future agreements should
include stronger intellectual property protections for life-
saving innovations and technologies. Nevertheless, we
strongly believe that USMCA, in its totality, will support
U.S. economic growth, jobs, and innovation.
Business Roundtable appreciates the bipartisan efforts in
Congress to ensure that all USMCA commitments will be fully
enforceable, and we will work with Congress and the
Administration through USMCA implementation to boost North
American competitiveness.
Passing USMCA with broad bipartisan support will also
deepen support for trade policies that help Americans compete
at home and abroad. We urge you to vote Yes on USMCA.
Sincerely,
Tom Linebarger,
Chairman and Chief Executive Office, Cummins Inc. Chair,
Trade and International Committee Business Roundtable.
____
ITI,
Promoting Innovation Worldwide,
Washington, DC, December 18, 2019.
Hon. Nancy Pelosi,
Speaker of the House,
House of Representatives, Washington, DC.
Hon. Kevin McCarthy,
Republican Leader,
House of Representatives, Washington, DC.
Dear Speaker Pelosi and Leader McCarthy: On behalf of the
members of the Information Technology Industry Council (ITI),
I write to express our strong support for legislation
implementing the U.S.-Mexico-Canada Agreement (H.R. 5430).
Given the importance of this agreement to the technology
sector, we will consider scoring votes in support of final
passage in our 116th Congressional Voting Guide.
The U.S.-Mexico-Canada Agreement (USMCA) represents a
landmark improvement in our relationships with some of our
most important trading partners from the perspective of the
tech sector, and a key step forward for U.S. leadership in
innovation and digital trade. Notably, the U.S.-Mexico-Canada
Agreement contains first-of-its-kind, cutting-edge digital
trade provisions that recognize the reality of the 21st
century economy and would boost the U.S. economy and its
competitiveness around the world.
American companies of all sizes and across all industries
leverage technology, and can expect to benefit from the
USMCA's digital trade and other tech-focused provisions.
These provisions will promote the seamless flow of data
across borders, allow companies to store data where it makes
the most sense from the perspective of their business and
customers, prevent costly tariffs and taxes on technology
products and services, safeguard source code and algorithms
by prohibiting requirements that companies divulge them as a
condition of doing business, promote acceptance of U.S.-
developed international standards, and create consistency in
testing and certification procedures for tech goods.
We applaud the work and leadership that has gone into
securing the opportunity to move forward with ratification of
the USMCA, and urge you and your colleagues to support the
implementing legislation for the agreement when it comes to
the House floor.
Sincerely,
Jason D. Oxman,
President and CEO.
Mr. BRADY. Madam Speaker, I yield 1 minute to the gentleman from
Kentucky (Mr. Comer).
Mr. COMER. Madam Speaker, ever since President Trump struck a new,
pro-American trade agreement with Canada and Mexico over a year ago, he
has worked tirelessly with Members of both parties to get to the point
of passing the USMCA through Congress.
Make no mistake about it: The President's leadership on this issue
has put us on the brink of this tremendous accomplishment. Today, we
will pass a new trade deal that will create jobs, grow our economy, and
help our farmers.
Having strongly advocated for the passage of this deal, I am proud to
express my strong support for USMCA and all the opportunities it will
provide.
Kentucky will strongly benefit from USMCA. Estimates show that our
State, alone, will see over $260 million more in agriculture exports to
Canada and Mexico. New trade markets, more stability for our farmers
and manufacturers, and more accountability from our trading partners
will help our people and grow our entire economy.
As a farmer and Kentucky's former commissioner of agriculture, I know
firsthand the need for our country to establish new markets for our
farmers. I am proud to be a strong voice for the agriculture community
and represent their interests in Washington.
[[Page H12258]]
This is a great day for our farmers, for Kentucky, and for all of
America.
Mr. NEAL. Madam Speaker, this is really a happy moment for me to
acknowledge the work that the gentleman from California (Mr. Gomez) did
on behalf of labor rights. He stood up in the working group on behalf
of the working people, and I think that he considerably shifted this
argument in their direction.
Madam Speaker, I yield 1\1/2\ minutes to the gentleman from
California (Mr. Gomez).
(Mr. GOMEZ asked and was given permission to revise and extend his
remarks.)
Mr. GOMEZ. Madam Speaker, I include in the Record a letter to the
United States Trade Representative.
House of Representatives,
Committee on the Judiciary,
September 17, 2019.
Hon. Robert E. Lighthizer,
U.S. Trade Representative,
Washington, DC.
Dear Ambassador Lighthizer: We write to express our concern
regarding the inclusion of Article 20.89 in the United
States-Mexico-Canada Agreement (USMCA). This provision,
entitled ``Legal Remedies and Safe Harbors,'' mirrors Section
512 of Title 17, originally enacted by the Digital Millennium
Copyright Act of 1998 (DMCA). In certain circumstances,
Section 512 frees online platforms from liability for
infringing content posted by third parties.
The effects of Section 512 and the appropriate role of a
copyright safe harbor have become the subject of much
attention in recent year. Some have called on Congress to
update these very provisions, enacted in the days of a dial-
up Internet. The U.S. Copyright Office is expected to produce
a report on Section 512 around the end of this year, the
result of a multi-year process that started in 2015.
Moreover, the European Union has recently issued a copyright
directive that includes reforms to its analogous safe harbor
for online platforms, which may have an impact on the U.S.
domestic policy debate.
Without taking a position on that debate in this letter, we
find it problematic for the United States to export language
mirroring this provision while such serious policy
discussions are ongoing. For that reason, we do not believe a
provision requiring parties to adopt a Section 512-style safe
harbor system of the type mandated by Article 20.89 should
continue to be included in future trade agreements. Given
that the Judiciary Committee closely oversees Section 512
through its jurisdiction over intellectual property laws, we
also hope that the Office of the United States Trade
Representative will work closely with our Committee in
advance of negotiating copyright issues going forward.
Thank you for your attention to this important matter. We
would be pleased to discuss this issue with you at your
convenience.
Sincerely,
Jerrold Nadler,
Chairman.
Doug Collins,
Ranking Member.
Mr. GOMEZ. Madam Speaker, the original NAFTA was a failure for
working families, and the NAFTA 2.0 deal that President Trump signed in
2018 was not much better. House Democrats recognized that, and we
rejected it, and we worked until we got an enforceable deal.
As a result, the final revised USMCA is much better than NAFTA 1.0,
and it is even better than NAFTA 2.0. And, I would say, you can't even
call it ``NAFTA Lite'' anymore.
Despite our work, even with the improvements that we have made, I
know that this won't bring back all the jobs that we have lost here in
the United States; but, over time, I hope the new labor standards and
the enhanced enforcement mechanisms we negotiated will help raise wages
in Mexico, reducing U.S. corporations' incentive to outsource jobs.
No trade agreement or legislation is perfect, and I do not endorse
every single provision of USMCA, but I know that it is always easier to
talk about a problem than to fix a problem.
When we proceed on this issue, future trade agreements must recognize
that trade and globalization have pushed wages down and weakened the
negotiation power of workers. This is where our focus must be.
One provision I am proud of is in labor, and that is, specifically, a
new rapid-response mechanism to enforce labor standards.
This has never been written into an American trade agreement. By
ensuring Mexican workers' rights are protected, we prevent a race to
the bottom. For the first time ever, we have an enforceable labor
standard in a trade agreement.
I thank everybody who worked on this and made sure that we are moving
in the right direction.
Madam Speaker, I rise to thank Speaker Pelosi for appointing me to
the Working Group tasked with renegotiating USMCA on behalf of the
Democratic Caucus.
I also thank my colleagues on the Working Group, Representatives
Richard Neal, Earl Blumenauer, Jan Schakowsky, Mike Thompson, Suzanne
Bonamici, John Larson, Terri Sewell, and Rosa Delauro.
Additionally, I wish to recognize the efforts of the Ways and Means
trade staff and personal office staff who contributed. Their names are
Laura Thrift, Osaremen Okolo, Syd Terry, Jack Spasiano, Robert Nuttall,
Allison Smith, Scott Stephanou, Jennifer Goedke, Samuel Negatu, Keigan
Mull, Julia Friedman, Katherine White, Katherine Linton, Alexandra
Whittaker, John Catalfamo, Katherine Monge and Katherine Tai.
Finally, I wish to thank Ambassador Robert Lighthizer, Ambassador
C.J. Mahoney, and the rest of the professional staff at the Office of
the U.S. Trade Representative for their faithful engagement with House
Democrats.
{time} 1215
Mr. BRADY. Madam Speaker, I yield 1 minute to the gentlewoman from
Missouri (Mrs. Wagner).
Mrs. WAGNER. Madam Speaker, I thank the gentleman from Texas for
yielding. I rise today to urge my colleagues to vote ``yes'' on the
USMCA trade agreement.
For months, partisan politics and the Democrats' impeachment charade
have prevented us from finalizing this agreement, but it is clear to
Members on both sides of the aisle that the President has negotiated a
deal that will strengthen our economy and benefit all Missourians and
Americans.
One of every three rows of crops is grown for export in the great
State of Missouri, and this deal expands market access in Canada and
Mexico for our farmers.
It is the first time that a U.S. trade agreement is specifically
addressing biotech, and the St. Louis region is the Silicon Valley for
ag-tech.
USMCA also includes the Wagner language on human trafficking. I
worked with Ambassador Lighthizer to guarantee that the USMCA holds my
Fight Online Sex Trafficking Act, FOSTA, to help stop online sex
trafficking here at home and now throughout North America.
A ``yes'' on the USMCA is a yes for victims, a yes for jobs, a yes
for farmers, and a yes for the prosperity of all Americans.
Madam Speaker, I rise today to urge my colleagues to vote YES on the
USMCA trade agreement. For months, partisan politics and the Democrats'
impeachment charade have prevented us from finalizing this agreement.
But it is clear to members on both sides of the aisle that the
President has negotiated a deal that will strengthen our economy and
benefit all Missourians.
One of every three rows of crops is grown for exports in the great
state of Missouri, and this deal expands market access in Canada and
Mexico for our farmers.
The USMCA also includes the ``Wagner Language'' on human trafficking.
I worked with Ambassador Lighthizer to guarantee that the USMCA upholds
my Fight Online Sex Trafficking Act (FOSTA) to help stop online sex
trafficking here at home and now throughout North America.
A YES on the USMCA is a yes for victims, a yes for jobs, a yes for
farmers, and a yes for the prosperity of all Americans. Thank you. I
yield back.
This agreement also benefits Missouri's thriving ag tech community by
addressing agricultural biotechnology, including new technologies such
as gene editing.
This is the first time U.S. trade agreement is specifically
addressing biotech, and the St. Louis region is the Silicon Valley for
ag tech. The USMCA will help protect our intellectual property, and I
hope it will be a standard for future trade agreements as well.
The Wagner Language allows our trading partners to enact domestic
laws that enable victims to sue the websites that facilitate the sex
trade and empower law enforcement to enforce criminal laws against the
websites that sell women and children.
=========================== NOTE ===========================
December 19, 2019, on page H12258, ``*ERR08*'' inadvertently
appeared at four places.
The online version has been corrected to delete the inadvertent
text.
========================= END NOTE =========================
Mr. NEAL. Madam Speaker, I yield 1\1/2\ minutes to the gentlewoman
from Oregon (Ms. Bonamici), an important advocate of environmental
issues as a member of the Trade Working Group.
Ms. BONAMICI. Madam Speaker, I rise in support of the updated United
States-Mexico-Canada trade agreement.
In the years that followed NAFTA'S enactment in 1994, American jobs
were outsourced to Mexico, and the wages and working conditions were
not improved for Mexican workers. This
[[Page H12259]]
agreement, while not perfect, is an important opportunity to fix the
damage from NAFTA and to create a new baseline for future trade
agreements.
The renegotiated USMCA strengthens labor rules so that it will be
easier to prove violations. It includes robust monitoring systems and
strong enforcement tools, including people on the ground in Mexico to
monitor compliance.
Importantly, the updated USMCA no longer includes harmful provisions
that would have locked in high drug prices and made it more difficult
for patients to access affordable generic drugs.
This final agreement also makes important advancements to protect our
environment. It improves environmental rules, puts them in the text of
the agreement, provides a path to reducing hydrofluorocarbon emissions,
protects against overfishing, makes it easier to prove environmental
violations, and secures more than $600 million to implement the
environmental provisions and address pollution and marine debris.
Throughout the negotiation process, I fought hard for the inclusion
of strong climate provisions. I am disappointed that the Trump
administration rejected our efforts. We did, however, include a clause
that creates a path for adding additional environmental and
conservation agreements in the future. I will continue to do all I can
to pass and implement bold policies to combat climate change.
The USMCA is significantly better than the agreement that the Trump
administration brought to us. It is a major improvement over the NAFTA
rules that are currently in place. It will bring more certainty to
workers, to Oregonians, and for the environment.
I thank Speaker Pelosi for appointing me to the working group and the
hardworking staff that got us to today.
Mr. BRADY. Madam Speaker, I yield 1 minute to the gentleman from
Texas (Mr. Conaway), who has been a longtime leader in agriculture, on
the farm bill, and frankly, we couldn't have gotten this agreement done
without him.
Mr. CONAWAY. Madam Speaker, I appreciate my colleague from Texas for
yielding. I am certainly glad this day has finally arrived and to stand
with American farmers by passing the USMCA.
For the last year, Democrats obsessed over a partisan impeachment
process while President Trump remained focused on securing the wins
that American farmers were counting on.
For our farm families, passing USMCA means an annual increase of $2.2
billion in agriculture exports. It also means we gain about 176,000
quality jobs for Americans. The USMCA resets our trading relationships
with Mexico and Canada, improves our farmers' market access to these
two important trading partners, and strips away nontariff barriers that
prevent free and fair trade.
I commend President Trump, Ambassador Lighthizer, and Ambassador Doud
for their tireless work on this agreement, in all its stages. Our
farmers and ranchers were counting on them, and they delivered.
The near-universal support in the agricultural community for USMCA
speaks volumes about the importance of this trade deal. I urge my
colleagues to join me in supporting America's farmers and ranchers by
voting to pass the USMCA.
Mr. NEAL. Madam Speaker, I yield 1\1/2\ minutes to the gentlewoman
from Illinois (Ms. Schakowsky), a formidable negotiator and a very
important member of the Trade Working Group.
Ms. SCHAKOWSKY. Madam Speaker, I rise in support of the U.S.-Mexico-
Canada trade agreement, the first trade agreement I have ever voted for
in my more than 20 years in Congress.
I am proud to be on the working group that helped negotiate this
agreement, and I thank the chairman of that group, Richie Neal.
It is far better than the original NAFTA, and it is far better than
the deeply flawed trade agreement that President Trump handed to us.
For example, he tried to tuck into it a huge gift to Big Pharma that
would have raised the cost of medicine throughout our hemisphere. But
from day one, I insisted that that provision be removed. Today, it is
gone.
Without the work of the working group, without the help of the
Speaker of the House, without Rich Trumka, the president of the AFL-
CIO, we would not be voting on this today.
Is it a perfect thing? No, it is not. For example, there is a big
gift to Big Tech provided in this called section 230, which gives a
liability shield for all the companies and the platforms, for all the
content that they have on those platforms.
Madam Speaker, I include in the Record a letter to Ambassador
Lighthizer.
House of Representatives,
Committee on Energy and Commerce,
Washington, DC, August 6, 2019.
Hon. Robert E. Lighthizer,
U.S. Trade Representative,
Washington, DC.
Dear Ambassador Lighthizer: We write to express our concern
regarding the inclusion of Article 19.17 in the United
States-Mexico-Canada Agreement (USMCA).
In many respects, the language of Article 19.17 mirrors
that of Section 230 of the Communications Decency Act.
Section 230 shields online platforms from some of the
liability associated with third-party content posted on those
platforms.
As you may know, the effects of Section 230 and the
appropriate role of such a liability shield have become the
subject of much debate in recent years. While we take no view
on that debate in this letter, we find it inappropriate for
the United States to export language mirroring Section 230
while such serious policy discussions are ongoing. For that
reason, we do not believe any provision regarding
intermediary liability protections of the type created by
Article 19.17 are ripe for inclusion in any trade deal going
forward. Given that our Committee closely oversees Section
230 and all portions of the Telecommunications Act of 1996,
we also hope in the future the Office of the United States
Trade Representative will consult our committee in advance of
negotiating on these issues.
Thank you for your attention to this important matter.
Sincerely,
Frank Pallone,
Chairman.
Greg Walden,
Ranking Member.
Ms. SCHAKOWSKY. Madam Speaker, I urge everyone to vote for the trade
agreement.
Mr. BRADY. Madam Speaker, I yield 1 minute to the gentleman from Ohio
(Mr. Balderson).
Mr. BALDERSON. Madam Speaker, I thank Mr. Brady for yielding. I rise
this afternoon with enthusiasm for a bipartisan agreement, the United
States-Mexico-Canada Agreement, or USMCA.
This trade deal between our country and our top two trading partners
will be a major win for the Buckeye State. Ohio farmers and
manufacturers already export nearly $28 billion worth of goods to
Canada and Mexico every year. The USMCA opens up Canada's market to
American poultry and dairy so that Ohio farmers can now trade these
products across international lines.
In this digital era, many people's shopping is increasingly done
online. People can shop small businesses and larger companies alike,
especially during the holiday gifting season. USMCA brings an outdated
trade agreement into the 21st century with a previously nonexistent
section on digital trade.
USMCA is what our country needs now, and I am thrilled to support
this bipartisan agreement's passage. I thank Chairman Neal and Ranking
Member Brady.
Mr. NEAL. Madam Speaker, I yield 1\1/2\ minutes to the gentlewoman
from Connecticut (Ms. DeLauro), a formidable negotiator, a great
friend, and, I must say, an invaluable member of the working group that
helped assemble this document.
Ms. DeLAURO. Madam Speaker, I was honored to be appointed to the
Speaker's working group charged with renegotiating the deeply flawed
NAFTA agreement that the President signed in 2018. It enshrined the
failed status quo that had hurt American workers while extending
monopoly protections for pharmaceutical companies that would lock in
high medicine prices.
I was focused on crafting effective and meaningful standards to
protect labor rights, constructing an enforcement mechanism for the
U.S. and Mexico, strengthening and protecting environmental standards,
and protecting access to affordable medicines.
I was pleased the principles we presented to and, in many instances,
forced on the USTR are reflected in the final agreement. Our gains
include a labor-specific enforcement mechanism
[[Page H12260]]
for new labor standards, a review body to ensure Mexico is meeting its
obligations, penalties for goods and services not produced in
compliance, and robust resources for monitoring and enforcement.
Despite the President's rhetoric, this agreement will not bring back
U.S. manufacturing jobs or undo the damage of outsourcing provisions in
the Republican tax law. Despite our best efforts, it lacks more robust
climate standards, labor and environmental terms, and protections for
food and product safety. So, it is not the model for the future.
Wage stagnation in America is not the inevitable result of
globalization and technology. Special interests have shaped government
policies that have held down wages and increased inequality.
Nobel-winning economist Joseph Stiglitz said: ``Inequality is not
inevitable. It is a choice we make.''
We made progress on this agreement. It is a framework to build on. I
support the agreement and pledge to continue our work addressing
globalization and trade policy.
Mr. BRADY. Madam Speaker, I yield 1 minute to the gentleman from
Pennsylvania (Mr. Thompson).
Mr. THOMPSON of Pennsylvania. Madam Speaker, after nearly 400 days
since President Trump signed the agreement, we are finally voting on
USMCA to deliver real results for the people who make up the backbone
of the American economy. This includes our farmers, ranchers,
manufacturers, and each and every American family who depends on these
industries.
USMCA will bring more than $68 billion in new economic activity,
176,000 new jobs here at home, and an increase of $2 billion a year
annually in agricultural exports. These numbers don't lie, and that is
only the beginning. Passing USMCA is a big win for the American
economy.
Lastly, I can't talk about USMCA without mentioning how big of a win
it is for American agriculture, particularly our dairy farmers. Under
this agreement, our dairy producers will no longer be subject to
Canada's class 6 and class 7 milk pricing programs, policies that have
unfairly limited our export potential for years.
Madam Speaker, USMCA is a good agreement. It is a fair agreement, and
it is a bipartisan agreement. I am pleased that we are finally voting
on this crucial piece of policy and that we can deliver on this
promise. I urge my colleagues to vote ``yes.''
Mr. NEAL. Madam Speaker, I yield 1 minute to the gentleman from Texas
(Mr. Cuellar), a real champion of this agreement.
Mr. CUELLAR. Madam Speaker, I support the USMCA, NAFTA 2.1, because
we are doing this in a bipartisan way.
I thank Speaker Pelosi and the working group and Chairman Neal and
his staff for working so hard; my Texas colleague Kevin Brady and his
staff for working so hard; Ambassador Lighthizer and our friends to the
south, the Mexicans, for working together.
My district is the epicenter of trade between the U.S. and Mexico. My
city of Laredo handles 14,000 to 16,000 trailers every single day. The
Laredo customs district handles 60 percent of all the trade between the
U.S. and Mexico.
That means more than $1.7 billion of goods flow between the U.S. and
Mexico every day. That is over $1 million every single minute. Trade is
good. It means jobs, jobs, jobs.
I thank the committee for adding the signature environmental
safeguard, the North American Development Bank. That is total, with the
EPA, over $500 million for drinking water and for waste treatment
plants.
Members, pass USMCA. It means one thing: jobs, jobs, jobs.
Mr. BRADY. Madam Speaker, I yield 1 minute to the gentleman from
Tennessee (Mr. Kustoff), the State that helped win Texas' independence.
Mr. KUSTOFF of Tennessee. Madam Speaker, I thank Ranking Member Brady
for yielding. I thank Ranking Member Brady and Chairman Neal for their
hard work on this agreement.
We know that the U.S.-Mexico-Canada Agreement is vital to our
Nation's economy and my home State of Tennessee. Over 200,000 jobs in
Tennessee depend on the passage of USMCA, and that includes about
35,000 manufacturing jobs and 10,000 west Tennessee farm operations.
Madam Speaker, the Volunteer State produces almost $14 billion in
exports to Canada and Mexico. More importantly, the USMCA updates the
25-year-old trade agreement that we know as NAFTA and modernizes the
economic partnership of North America. Frankly, the USMCA will allow
Tennessee and our Nation as a whole to achieve greater prosperity.
I thank President Trump for delivering on his promises and creating a
better trade agreement for the American people.
{time} 1230
Madam Speaker, I look forward to voting ``yes'' on the USMCA, and I
urge all my colleagues to do so as well.
Mr. NEAL. Madam Speaker, I yield 1 minute to the gentlewoman from
Oklahoma (Ms. Kendra S. Horn), a real champion of agriculture and small
business.
Ms. KENDRA S. HORN of Oklahoma. Madam Speaker, I thank Chairman Neal
for yielding.
Madam Speaker, I rise today in strong support of the passage of the
United States-Mexico-Canada trade agreement.
I am proud to support this bipartisan agreement that strengthens
trade and is good for both economic growth opportunities and for our
workers.
A stronger trading relationship with Mexico and Canada is good for a
stronger economy for Oklahoma. These two countries are already the
Sooner State's largest trading partners, accounting for $2.4 billion in
Oklahoma exports in the last year alone.
This newly-agreed-to USMCA is a monumental step in strengthening this
trading relationship. This agreement not only ensures fair trade for
Oklahoma businesses and workers--who continue to create world-class
products--by guaranteeing that exports that enter Canada and Mexico are
all tariff-free, but it also gives Congress the necessary tools of
enforcement to combat the high cost of prescription drugs and is good
for our workers.
This strongly improves labor standards, as well as allowing workers
to compete on a level playing field.
Madam Speaker, I urge my colleagues to support this USMCA and other
bipartisan solutions.
Mr. BRADY. Madam Speaker, I yield 1 minute to the gentleman from
Michigan (Mr. Mitchell), a gentleman who was pro trade and pro USMCA
the moment that he hit Congress.
Mr. MITCHELL. Madam Speaker, I thank Mr. Brady for being such a
leader on this.
I saw the impact of NAFTA on my State of Michigan, on my community,
and my family. Jobs disappeared at an astounding rate, including my
dad's job working an assembly line at an auto plant. I saw the unfair
treatment of farmers trying to export their products.
I live in a district with a major border crossing to Canada, the Blue
Water Bridge. So I also saw the importance of trade with our neighbors.
But trade must be fair, balanced, and not disadvantage hardworking
American families.
NAFTA failed miserably at that.
USMCA is a massive improvement over NAFTA in more ways than time
allows me to detail.
America needs the USMCA. We need it now. So let's finish this drawn-
out process, pass the bill, and urge the Senate to proceed with speed.
Mr. NEAL. Madam Speaker, I yield 1 minute to the gentleman from
Arizona (Mr. Stanton).
Mr. STANTON. Madam Speaker, I thank the gentleman for yielding.
Passing the U.S.-Mexico-Canada Agreement is essential to creating new
jobs and strengthening the economy of my home State of Arizona.
Those of us in border States understand the value of trading with our
neighbors, and I can tell you, growing trade relationships with Mexico
and Canada is essential to Arizona. This new agreement will offer a big
lift to our local companies.
Already in Arizona, nearly 230,000 jobs rely on across-the-border
commerce. That means 230,000 paychecks buying holiday gifts, 230,000
paychecks putting food on the table for their families, and 230,000
paychecks contributing to our State's economy.
[[Page H12261]]
Today we have a real opportunity for job creators, from multi-
national companies, to mid-size and small businesses, from tech workers
to farmworkers. There is no doubt that the new USMCA is a win for all
Arizonans.
This is a bipartisan agreement. It sets a new standard for creating
trade rules that are enforceable, good for American workers, and
effectively consider how business is done in the 21st century.
Importantly, it reasserts Congress' role in trade policy.
Madam Speaker, I thank Chairman Neal and the trade working group for
their hard work in getting this deal done.
Mr. BRADY. Madam Speaker, I yield 1 minute to the gentleman from
Texas (Mr. Hurd), whose district has a long border with Mexico and who
was deeply engaged in the negotiating rounds with Mexico, Canada, and
the U.S., my friend from San Antonio.
Mr. HURD of Texas. Madam Speaker, why should all Americans care about
free trade with Mexico and Canada?
We should care about the USMCA because just about every aspect of our
lives, the food on our table, the clothes on our backs, the fuel in our
cars, depends on free trade with Mexico and Canada.
We should care about USMCA because 14 million jobs across the Nation,
including the jobs of over half of my constituents in south Texas,
depend on free trade with Mexico and Canada.
We should care about USMCA because we live in a world where U.S.
military and economic dominance is no longer guaranteed, and a strong
North America is essential for us to remain competitive as China tries
to replace America as the most important economy in the world.
So let's get the USMCA to the President's desk so we can start
talking about increasing North American competitiveness in the rest of
the world.
I support this bill.
Mr. NEAL. Madam Speaker, I yield 1 minute to the gentlewoman from
Virginia (Ms. Spanberger), a courageous congresswoman.
Ms. SPANBERGER. Madam Speaker, I thank Chairman Neal for yielding.
Madam Speaker, I rise today in support of H.R. 5430.
Last year, Virginia exported $4.3 billion worth of goods to Canada
and Mexico. One out of six Virginia manufacturers exports to these two
countries, and of these firms, 64 percent are small- or medium-sized
businesses.
These businesses are the backbone of our economy, and today they are
looking to Congress to take this vital step towards securing long-term
trade stability.
Earlier this month, I made that point clear at a meeting with the
vice president. During our discussion, I underscored the USMCA's
potential to stimulate growth across the Seventh District of Virginia.
For central Virginia businesses, today's vote is a welcome step
forward towards modernizing NAFTA and staying competitive in the 21st
century.
For Virginia's crop and livestock producers, today's vote means
protecting and expanding relationships with critical buyers in Canada
and Mexico.
And for central Virginia's workers, today's vote carries with it a
commitment from our trading partners to live up to their labor
commitments.
I know that central Virginia's economy and the hardworking men and
women who spur it forward have waited patiently for this day to arrive.
Madam Speaker, I thank everyone for their work on this: Mr. Chairman,
Mr. Ranking Member, Ambassador Lighthizer, and my colleagues on the
working group.
Madam Speaker, I urge my colleagues to support USMCA.
Mr. BRADY. Madam Speaker, I yield 1\1/2\ minutes to the gentlewoman
from Missouri (Mrs. Hartzler).
Mrs. HARTZLER. Madam Speaker, this week represented the best of times
and the worst of times.
Yesterday displayed the worst of times by impeaching the President
for political reasons and reversing the will of 63 million Americans.
Today, however, represents the best of times by finally voting to
approve the USMCA.
This historic agreement, which has been held up by Speaker Pelosi for
over a year, will bring 176,000 new jobs and spur $68 billion in new
economic activity. It removes trade barriers for our ag products,
creating new markets for our farmers and helping rural America as a
result.
Encouragingly, the auto industry will benefit as well. Just last
week, General Motors announced that it would be investing over $1
billion in a truck plant in my home State of Missouri due to the USMCA.
This agreement moves our relationship with Mexico and Canada into the
21st century, and will benefit the American farmer, the American
worker, and the American consumer.
I applaud President Trump for delivering on this historic trade
agreement.
I look forward to voting ``yes'' on the USMCA and bringing more jobs
to our great country.
Mr. NEAL. Madam Speaker, I yield 1 minute to the gentleman from Texas
(Mr. Gonzalez).
Mr. GONZALEZ of Texas. Madam Speaker, I rise today to express my
support for the United States-Mexico-Canada Agreement and also to sound
the alarm of an issue that should concern us all: violence.
To put things in perspective, since 2006, Mexico has lost as many
people to homicide as the United States has lost in every war since
Korea.
Just in the last 3 years, the number of homicides exceeded the number
of soldiers lost in Korea and Vietnam combined, all while we act as if
nothing is happening in our own backyard.
Negotiators worked tirelessly to get us here to today's vote, but
they failed to acknowledge the single greatest threat to North American
trade and prosperity: violence.
I rise today to say that we have missed an opportunity, and I cannot
be silent and will not let this go.
Mexican President Lopez Obrador ran on a promise to achieve peace,
end the war on drugs, and create a new civilian national guard to
tackle organized crime by fighting poverty.
While I have no doubt of his good intentions, he has failed
miserably. Mexico's crime rate continues to rise; the endemic mass
murders, disappearances, extortions, and assaults in Mexico show no
signs of slowing.
Madam Speaker, by accepting this as the status quo and staying
silent, we risk standing in the way of our own economic success.
Mr. BRADY. Madam Speaker, I yield 1 minute to the gentleman from Iowa
(Mr. King), a champion of agriculture.
Mr. KING of Iowa. Madam Speaker, I thank the gentleman from Texas
(Mr. Brady), the ranking member of the Ways and Means Committee, and
perhaps one of the most successful in modern time.
I am looking at this USMCA trade agreement. I said from the beginning
that I would not have opened up NAFTA; it was good for Iowa
agriculture, it was good for Iowa manufacturing, it was good for
America in many areas. But the President promised that he would open it
up and that he would prevail in his negotiations.
He has followed through and he has kept his word.
For a year and a half I have been having discussions with every
entity that I can find that has been affected by this trade agreement.
They all say, We are better off. They might say, We are marginally
better off, but they say, We are better off, until you get to dairy,
where we are a lot, lot better off than we were in the past.
This is a terrific trade agreement.
Whatever the nuances were afterwards where there were some changes
that didn't affect, I don't think, the district that I represent, what
this amounts to is this: It is a huge victory for the President of the
United States, for Americans everywhere, for Iowans in the Fourth
Congressional District, which is the number one agriculture producing
district in all of America.
We are happy. We are delighted. We are thankful to have this
Christmas present coming to us.
We say, Merry Christmas, Mr. President; Merry Christmas, America.
Mr. NEAL. Madam Speaker, I yield 1 minute to the gentleman from Texas
(Mr. Allred), a courageous congressman.
Mr. ALLRED. Madam Speaker, I rise to applaud the work of my
colleagues in both parties on reaching a bipartisan consensus on a
trade agreement between the U.S., Mexico, and Canada.
I know that this was no easy task, and today we are poised to pass
this historic agreement.
[[Page H12262]]
This was a priority for me, and I worked tirelessly to ensure that
the administration, my colleagues, and House leaders knew how important
this was for Texas.
For Texans, trade with Mexico and Canada isn't just a textbook
exercise or abstract policy issue; it is real jobs for more than 36,000
Texans in my district.
Businesses across north Texas rely on supply chains between our three
nations to manufacture, distribute, and sell goods and services. We
must give them certainty and stability.
Madam Speaker, I urge my colleagues to vote ``yes.'' This job-
creating agreement will shift the trade paradigm and create a new
standard for trade that will protect workers and the environment both
here at home and across the North American continent.
Madam Speaker, I thank Chairman Neal and the working group and
Ambassador Lighthizer for their work on getting this across the line.
Mr. BRADY. Madam Speaker, I yield 1 minute to the gentleman from
Michigan (Mr. Huizenga), a leader of ag and autos.
Mr. HUIZENGA. Madam Speaker, I rise in strong support of the United
States-Mexico-Canada trade agreement negotiated by President Trump and
his team, as well as the strong leadership here in the House.
For more than a year, I have called on Speaker Pelosi to have this
vote on this trade agreement. I am glad the day has arrived.
The stakes for Michigan are extremely high. One estimate is 38.9
percent of Michigan's total GDP depends on trade, the highest in the
Nation. A staggering 65 percent of the State's exports are bound for
Canada and Mexico.
Trade with our Nation's neighbors support more than 338,000 Michigan
jobs.
Ratifying the USMCA will lead to more than $30 billion in investment
in new automotive manufacturing in the U.S. and create more than 75,000
jobs for American auto workers.
Passing the USMCA is also vitally important to our agricultural
community. Michigan's food and agricultural exports total approximately
$1.98 billion annually and support roughly 805,000 food and
agricultural jobs.
This agreement will level the playing field for our farmers, growers,
and producers, and expand market access for commodities such as dairy
goods, poultry, and eggs.
This is a win for Michigan workers, farmers, and job creators, and I
support this bill.
Mr. NEAL. Madam Speaker, I yield 1 minute to the gentlewoman from
Minnesota (Ms. Craig), who I can assure everybody was an assertive
advocate for this agreement.
{time} 1245
Ms. CRAIG. Madam Speaker, I rise today in support of USMCA.
This trade agreement is a win for Minnesota's family farmers and
small business owners. It protects American workers and creates
certainty and new opportunity moving forward with our largest trading
partners.
I have walked on farms across my district with the families who feed,
clothe, and fuel this country. One thing is clear: Years of tough
prices, severe weather, and trade issues have taken their toll. They
need this trade agreement now.
I am proud to have worked to eliminate the handouts to Big Pharma
from the original draft. My commitment is to work with this
administration when it benefits our community and stand up to them when
it doesn't.
This is a good deal for American farmers, workers, and businesses. I
urge my colleagues to vote in favor of this important trade agreement.
Mr. BRADY. Madam Speaker, I am pleased to yield 1 minute to the
gentleman from Tennessee (Mr. DesJarlais).
Mr. DesJARLAIS. Madam Speaker, I rise today to support the United
States-Mexico-Canada Agreement that will replace the outdated North
American Free Trade Agreement.
USMCA opens new markets for American agriculture in Canada, returns
manufacturing jobs outsourced to Mexico to our own country, and is the
first U.S. trade deal to focus on cross-border commerce for small
businesses, easing rules and regulations to level the playing field for
startups and entrepreneurs.
Our economy is already strong. Jobs and income are growing,
especially for working and middle-class Americans. My home State of
Tennessee is a manufacturing and transportation hub, and small business
jobs and wage growth there lead the Nation. The USMCA will further
strengthen our economy.
However, the President's opposition, who just yesterday voted to
impeach him, have for years obstructed the agenda my constituents, as
well as Democrats and Republicans around the country, supported in
2016.
We have succeeded, despite unrelenting resistance. Donald Trump has
shown courage and determination that has resulted in a pending trade
deal with China. Combined with tax cuts, reduced regulations, and
American energy independence, these trade deals and others the
President has produced will continue our remarkable economic progress,
as well as strengthen national security.
I am proud to support the USMCA for Tennessee farmers, manufacturers,
and small businesses.
Mr. NEAL. Madam Speaker, I yield 1 minute to the gentlewoman from
Michigan (Ms. Stevens), a ferocious advocate.
Ms. STEVENS. Madam Speaker, today, we rise to pass a trade deal for
the middle class. Today, we rise to strengthen the protections for the
workers. Today is a great day, for today, we are standing up for our
manufacturers and our manufacturing economy.
To all the suppliers in my district who advocated, who reached out,
who asked for the certainty for their workforce, for the investment,
today, we are getting something done for you. We do not say Republican
or Democrat, but we say manufacturing. We say hoorah for the middle
class, for the growth and the expansion for our middle class.
We came here to champion our manufacturing economy. We came here to
get something done, to reach a compromise, to shed the awful effects of
the original NAFTA, and to deliver yet again for people. That is what
we are here for in our majority.
Mr. BRADY. Madam Speaker, I am proud to yield 1 minute to the
gentleman from Washington (Mr. Newhouse).
Mr. NEWHOUSE. Madam Speaker, today has been a long time coming for
President Trump, the American people, and the American farmers and
ranchers.
Our vote today ensures that we deliver on our promise to bring fair
and equitable trade with our closest trading partners, Mexico and
Canada.
In my home State of Washington, exports to Canada and Mexico totaled
$11.3 billion in 2018, and trade-related jobs amount to nearly 40
percent of all jobs in the State.
I have heard from farmers, ranchers, and manufacturers in every
county of central Washington. They all agree that today's vote to pass
USMCA is exactly what we need.
Most importantly, USMCA maintains duty-free access for U.S.
agriculture products, including the iconic Washington State apple,
which accounts for nearly $450 million in exports annually.
The USMCA goes even further to advance access for the U.S. dairy and
wine industries, two substantial drivers for Washington's economy.
Madam Speaker, I am proud today that we are delivering USMCA for my
constituents.
Mr. NEAL. Madam Speaker, I yield 1 minute to the very capable
gentlewoman from New Mexico (Ms. Torres Small), who once even followed
me into the coffee shop to advocate on behalf of this agreement.
Ms. TORRES SMALL of New Mexico. Madam Speaker, I thank President
Trump, congressional leadership, Chairman Neal, Ranking Member Brady,
and members of the USMCA working group for fighting to make significant
improvements to the out-of-date NAFTA agreement.
This is a win for New Mexico's workers, small businesses,
agricultural producers, and our economy as a whole.
In my conversations with constituents from across southern New
Mexico, I have seen just why NAFTA is out of date and why USMCA will be
a better deal.
Dairy producers in Belen and Roswell have talked with me about how,
even when New Mexican dairies aren't selling directly to Canada,
increased market access and new pricing will raise commodity prices
across the country.
[[Page H12263]]
USMCA makes significant progress in protecting American workers by
evening the playing field with meaningful enforcement mechanisms that
will protect hard-won improvements.
Other New Mexicans, like our world-famous New Mexico chili and pecan
growers, now have the certainty of a trade deal.
New Mexico stands to gain real benefits after we pass USMCA today.
Like any deal, it isn't perfect. Environment and enforcement
standards can always be improved. But the USMCA is entirely necessary
for New Mexico's producers, workers, and consumers.
This deal will deliver for New Mexico. It shows that compromise can
be made, that we can put politics aside.
Madam Speaker, I urge my colleagues to vote in favor of USMCA.
Mr. BRADY. Madam Speaker, I am proud to yield 1 minute to the
gentleman from Arizona (Mr. Gosar).
Mr. GOSAR. Madam Speaker, I rise in support of the USMCA but also to
raise a concern about the inclusion of section 230 language of the
Communications Decency Act.
This act gives broad legal immunity to Big Tech, which, in turn, uses
it as a shield from accountability. It is important that this provision
is not--I state ``not''--included in future trade agreements.
The behavior of Big Tech has been the subject of substantial
scrutiny. Much of this scrutiny revolves around the appropriateness of
maintaining this immunity clause.
On a daily basis, new concerns are raised about section 230,
including illegal drug sales, child exploitation, terrorist
recruitment, political bias, revenge porn, deepfakes, and many more.
Section 230 has played a significant role.
When Speaker Pelosi and I agree on an issue, there is some there
there.
I encourage my colleagues to support the USMCA but again raise the
issue about section 230. Its continued merit on how it would apply to
both trade agreements and everyday application demand modification due
to its lack of accountability.
Mr. NEAL. Madam Speaker, I yield 1 minute to the gentlewoman from
Iowa (Mrs. Axne). I can assure the people of Iowa that she advocated on
behalf of this agreement.
Mrs. AXNE. Madam Speaker, today, a lot of hard work is paying off
with the passage of USMCA.
I thank my colleagues who crafted this agreement that gives market
stability to farmers, protects Iowa workers from having their wages
undercut, and helps reduce the high cost of biologic drugs. It even has
important environmental protections.
I know my farmers, producers, and agriculture workers are celebrating
the passage of USMCA today.
Everywhere I go, the message has been clear: We need USMCA because of
uncertainty in our markets.
We now have that deal.
The House has done a great job, but the Senate already said they
won't take up this agreement anytime soon.
It will pass today with bipartisan support. Whenever the Senate
chooses to bring it up, it will pass with bipartisan support then, as
well. The same Senators who have blamed the House for not moving this
forward quickly enough are now stopping the USMCA from becoming law.
Iowans and Americans are asking for help, and we must get this deal
done.
I am proud to have fought for a better trade agreement that works for
Iowa, and I encourage those of us to vote for it in the House and for
the Senate to take it up for a vote to make life better for people
across the country.
Mr. BRADY. Madam Speaker, I am proud to yield 1 minute to the
gentleman from Pennsylvania (Mr. Keller).
Mr. KELLER. Madam Speaker, I rise today in support of the United
States-Mexico-Canada trade agreement. While I am glad we are here
today, this moment is long overdue.
While Democrats have been focusing on impeaching President Trump,
manufacturers and family farmers in Pennsylvania's 12th Congressional
District have been waiting for the trade deal to be ratified. That is
because this trade deal means a lot to the hardworking people and
farmers of Pennsylvania's 12th Congressional District.
Just take the positive effect the USMCA will have on Pennsylvania's
12th Congressional District farmers. Pennsylvania's 12th Congressional
District is home to more than 10,500 farms, 98 percent of which are
family farms. Moreover, our district is responsible for 18 percent of
Pennsylvania's agriculture products.
The provisions in this deal eliminating Canada's class 7 milk pricing
program, increasing corn and soybean exports, and many other
improvements will make a huge difference for those family farms.
More important is the leverage that gives the United States when
negotiating additional trade deals.
It is no surprise that when Speaker Pelosi agreed to the USMCA, China
agreed to the Phase One trade deal that President Trump had been
negotiating for the benefit of our country.
Again, USMCA is long overdue, but I am glad we are finally here to be
able to support America in this trade deal.
Mr. NEAL. Madam Speaker, I am glad to yield 1 minute to the gentleman
from California (Mr. Costa), who is an assertive advocate of USMCA.
Mr. COSTA. Madam Speaker, I rise to recognize all the hard work it
took to reach this agreement for the United States-Mexico-Canada
Agreement: Chairman Neal, Chairman Brady, Chairman Blumenauer, the good
work of Ambassador Lighthizer, the working groups the Speaker put
together, and the Speaker's desire to see this get across the finish
line.
It is important to update NAFTA for the sake of the American workers
and our agricultural economy.
This agreement will improve opportunities for good-paying jobs in
America by updating labor protections and standards in Mexico that can
be enforced.
The agreement goes a long way to improve environmental standards and
clean up cross-border pollution between California and Mexico and other
border
With nearly half of California's agricultural products destined for
foreign markets, the certainty this deal brings to relations between
our two largest trading partners, Canada and Mexico, cannot be
overstated.
I was glad to be a part of this bipartisan effort to bring people
together for today's vote.
I congratulate the President. The fact of the matter is, this is good
for America, good for working people, and good for agriculture.
Madam Speaker, I look forward to supporting USMCA, and I urge my
colleagues to do the same.
Mr. BRADY. Madam Speaker, I am pleased to yield 1 minute to the
gentleman from Minnesota (Mr. Hagedorn).
Mr. HAGEDORN. Madam Speaker, after advocating for USMCA this past
year, I am excited to vote for it today.
Not only will this deal expand trade with Mexico and Canada, but it
is going to help us build momentum for deals with other nations, like
China, Vietnam, and so forth. It is going to be great for our country.
One quick example of how this helps the American people, particularly
farm families: Over the summer, Farmers for Free Trade rallied in our
southern Minnesota district for USMCA. We were at the Hoffman Dairy
Farm, about 15 miles south of New Ulm. The Hoffmans are sixth-
generation dairy farms. They said that it has been 5 or 6 years of
tough commodity prices--low prices, high input cost. They needed a win.
Our market for dairy has been shut out of Canada, virtually, with 300
percent tariffs. USMCA is going to knock down those tariffs, allow more
exports, create more demand, help families like the Hoffmans, and help
our country. I urge everyone to vote for the agreement.
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========================= END NOTE =========================
Madam Speaker, as the first member of Minnesota's congressional
delegation to support the USMCA, I am thrilled to finally have the
opportunity to vote for the implementation of this agreement.
The USMCA is a long overdue, much needed and well-deserved bipartisan
win for the American people. The agreement is a win for our workers,
businesses, farmers and families in Minnesota's First District and
throughout the nation.
It will open new markets, expand economic opportunity and create new
high-wage jobs,
[[Page H12264]]
build momentum for trade deals with China and other nations, and help
protect and promote our rural way of life in southern Minnesota.
We are already seeing evidence of this momentum with the United
States and China announcing a ``Phase One'' trade agreement just days
after the bipartisan agreement on USMCA was reached.
I am personally hearing from the farmers back home that they are
relieved to finally have some market certainty after six years of low
commodity prices. Especially our dairy farmers, who for the first time
will have access to the Canadian market.
USMCA is also a boon to manufacturers who will continue to have duty-
free access to Canada and Mexico, the industry's largest export
markets--creating tens of thousands of new jobs and adding nearly $70
billion to the U.S. economy as a whole.
I will vote ``yes'' on this agreement, I urge my colleagues on both
sides of the aisle to do the same, and I hope the Senate will move
quickly to ratify the deal and send it to President Trump's desk so
that the agreement can be implemented as quickly as possible for the
American people.
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appeared at one place.
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========================= END NOTE =========================
Mr. NEAL. Madam Speaker, I yield such time as he may consume to the
gentleman from South Carolina (Mr. Cunningham), and I want to recognize
the critical role that he played in getting us to this bipartisan
negotiation of USMCA.
Mr. CUNNINGHAM. Madam Speaker, today, I am proud to rise in support
of USMCA.
As the Representative of South Carolina's Lowcountry, which is home
to the Port of Charleston, Volvo, Bosch, JW Aluminum, Becton Dickinson,
and countless other manufacturers, I know just how important market
stability and trade certainty is to my constituents.
I promised the people of the Lowcountry I would come to Washington to
work with Democrats and Republicans in Congress, the White House, and
anyone else necessary to find bipartisan, commonsense solutions to
issues impacting our district. Passage of USMCA is a major step in that
direction.
{time} 1300
Nearly 30,000 jobs in our district are supported by trade with Mexico
and Canada. This agreement is absolutely critical to maintaining good-
paying jobs and economic growth in the Lowcountry.
I urge all of my colleagues on both sides of the aisle to support
passage of the USMCA to bolster America's economy, support workers, and
protect the environment.
Mr. BRADY. Madam Speaker, I yield 1 minute to the gentleman from
Arkansas (Mr. Hill), my friend, a leader of trade policy in the George
H.W. Bush administration.
Mr. HILL of Arkansas. Madam Speaker, I rise today in support of the
USMCA, and I want to congratulate my friends, Mr. Brady from Texas and
Mr. Neal, for their leadership in the House Ways and Means Committee.
It is a great victory for their hard work and perseverance.
As a member of the USMCA Republican House Whip Team, I was proud to
advocate on behalf of this much-needed update to NAFTA.
Twenty-seven years ago, I worked for President Bush 41 and worked on
supporting his goal of North America becoming the world's premier
economic market. How pleased he would be to be here today and see this
bipartisan support to update the North American trade market for a new
generation.
Impressive, indeed. We will take converts to free trade every day,
even if some of them are overnight converts.
The Senate must act expeditiously now to convert this dream to a
reality and benefit the 100,000 Arkansans who live and die by trade
with Canada and Mexico.
Congratulations to President Trump and Ambassador Lighthizer on this
historic victory, and Happy New Year to the economic region in North
America.
Mr. NEAL. Madam Speaker, I yield 1 minute to the gentlewoman from
Illinois (Mrs. Bustos), a well-regarded Congresswoman whose district I
have visited.
Mrs. BUSTOS. Madam Speaker, I appreciate Chairman Neal for yielding
me the time.
In my congressional district, I represent more than 9,600 family
farms and 90,000 labor households. I have toured my district many times
and was fortunate enough to bring the Speaker of the House into the
State of Illinois over the summer to meet with our family farmers.
Trade is one of the top issues people back home bring up to me, and
the message that they deliver is loud and clear: We need a strong trade
deal with broad-based support to help both America's farmers and our
labor communities.
I have worked to help bring parties to the table and reach a deal
that works for everyone. I am proud to say that the United States-
Mexico-Canada trade agreement is that deal.
The USMCA outlines protections for labor that will make America
better prepared to expand opportunities for our workforce. It builds on
trade relationships critical to our agriculture markets, and it
represents the strongest trade enforcement mechanisms our country has
ever seen.
I am proud to cast my vote to support this step forward and to help
build the foundation for future trade agreements.
Mr. BRADY. Madam Speaker, I yield 1 minute to the gentleman from
South Dakota (Mr. Johnson), an agriculture leader from the Mount
Rushmore State.
Mr. JOHNSON of South Dakota. Madam Speaker, so often in this
political environment, victories bring with them a winner, but many
more losers. Today is different. Today is a celebration. Today brings
with it a bounty of benefits to a multitude of winners.
If you are a dairy family, today you are a winner.
If you are a middle-class family, today you are a winner.
If you grow wheat, if you write code, if you process cheese, you are
a winner today.
So often in this Chamber we lament deals that could have been, but
today is a deal we are celebrating, with $2 billion of new agriculture
exports, with 176,000 new jobs, with $68 billion of real growth in this
economy.
Madam Speaker, today, 300 million Americans are winners.
Mr. NEAL. Madam Speaker, I yield 1 minute to the gentlewoman from
Ohio (Ms. Kaptur), a very good friend of mine.
Ms. KAPTUR. Madam Speaker, I thank the chairman for yielding me the
time.
I rise in opposition to NAFTA 2, which has been rebranded the USMCA.
First of all, it is being rushed through at the last moments of this
session without the majority of Members even able to read it or
participate in hearings on it.
Number two, it will not stem the continental outsourcing of U.S.
jobs, and, sadly, and most importantly, it will not achieve the real
enforcement by the Governments of Mexico or the United States.
For over 10 years, I have been trying to get the Government of Mexico
to arrest and prosecute the brutal murderers of Santiago Cruz, a
Mexican national fighting against the huge continental labor
trafficking of his countrymen. He was educating his fellow farmworkers
that they did not have to pay a bounty of $8,000 to come to this
country to work in our fields as they became indentured workers.
Despite my over 10 years of efforts to bring justice to his brutal
killers, Mexico behaves as if this crime never occurred. Why should I
believe Mexico will enforce anything?
Furthermore, about a month ago, we saw the President of Mexico not
able to keep control of his own streets, and he released the son of El
Chapo, the drug lord. What makes you think this administration or the
one in Mexico will do anything to enforce the laws that USMCA purports
to support?
I urge all of my colleagues to vote ``no.''
Mr. BRADY. Madam Speaker, I yield 1 minute to the gentleman from
Indiana (Mr. Baird).
Mr. BAIRD. Madam Speaker, for several months now, I have been very
vocal about the importance of passing the USMCA for Indiana. I have
heard from constituents about their desire to get this deal done. I
have also encouraged my colleagues to push for a vote.
So I applaud the leadership to get this historic deal accomplished.
Today's passage of USMCA will give businesses and farmers across our
district increased opportunity to grow.
In 2018, our State exported more than $18 billion to Mexico and
Canada. Under USMCA, that number will rise.
[[Page H12265]]
This trade deal is a big win for our automotive industry and
agricultural community and for the protection of our intellectual
property. With this improved trade agreement, we will see better market
access and job growth here at home.
I am proud to support the passage of USMCA and look forward to
supporting more victories for the U.S. economy.
Mr. NEAL. Madam Speaker, I yield 1 minute to the gentleman from New
York (Mr. Brindisi), a very accomplished gentleman.
Mr. BRINDISI. Madam Speaker, I want to thank the chairman for
yielding and thank him for his work and the work of the Trade Working
Group for their tireless effort to get this deal done.
I rise today in strong support of this legislation and for swift
approval of USMCA.
We need to make sure that New York's workers, farmers, and small
businesses have a fair shot at success. That is why I worked hard with
Members on both sides of the aisle and the administration to get this
deal to the finish line.
There are many reasons to support this agreement, such as stronger
labor and environmental standards, but I will use my brief time to
highlight the impact this will have on upstate New York's dairy
farmers.
I have heard from dairy farmers across upstate New York about the
need to get more milk to market, boost milk prices, and crack down on
unfair Canadian price supports, which USMCA will do.
USMCA will help family farms, help manufacturers, and protect
workers, and I urge swift passage of this agreement.
Mr. BRADY. Madam Speaker, I am proud to yield 1 minute to the
gentleman from Ohio (Mr. Davidson), a manufacturing champion.
Mr. DAVIDSON of Ohio. Madam Speaker, I thank the chairman for
yielding.
It is an honor to stand in support of the U.S.-Mexico-Canada trade
agreement.
Trade is a vital part of our economy. It has made America the world's
land of opportunity. We have been a vital part of the world's economy.
Certainty is needed in trade right now. This deal certainly isn't
perfect, but far too often here in Congress we let perfect become the
enemy of good.
Frankly, we have a choice between no NAFTA, NAFTA, or an improved
NAFTA, so it is not a hard multiple choice test. It is an improvement,
and I look forward to continuing to work to advance the cause of
capitalism and free trade in the United States of America.
Opportunities are going to make things better for Ohio's Eighth
District, from manufacturing to agriculture, to financial services, and
I thank everyone who has had a hand in making this come to fruition.
Mr. NEAL. Mr. Speaker, I yield 1 minute to the gentlewoman from
California (Mrs. Davis), a very capable Congresswoman.
Mrs. DAVIS of California. Mr. Speaker, I thank Chairman Neal for
yielding.
Trade negotiations are not for the faint of heart. Few votes have
generated more passion in this Chamber than votes on trade agreements.
That is why I am so glad that we finally have an agreement that Members
from both sides of the aisle can support.
It is no secret why that is. This is an agreement that sets up, for
the first time, facility-level inspections to make sure that workers'
rights are being honored, and it removes the onerous IP provisions that
have made their way into far too many trade agreements in recent years.
Finally, as a Member from the San Diego region, it is important to
have an agreement like this that both preserves and improves the
binational partnership that defines the larger community.
This agreement lays the groundwork for the Federal Government to
finally address the longstanding pollution flowing from the Tijuana
River into San Diego Bay, which impacts both the health of our
community and our military.
Mr. BRADY. Mr. Speaker, I reserve the balance of my time.
Mr. NEAL. Mr. Speaker, I yield 1 minute to the gentlewoman from
Michigan (Mrs. Dingell), a very capable Member of the House.
Mrs. DINGELL. Mr. Speaker, I thank the chairman for all of his hard
work on getting us here today.
We have to be honest: This trade deal won't undo the deep damage
NAFTA 1.0 has done to our American workers, American manufacturing, and
our environment. Today, factories sit empty in Michigan and across my
district, while workers are unable to compete with subpar nonunion
workers in other countries.
A new trade agreement is not just going to uproot those factories
from overseas and bring them back home, but we fought hard to improve
the original deal because what the Trump administration first proposed
wasn't enough. Democrats fought for stronger labor and environmental
standards and tougher enforcement mechanisms.
This agreement has earned my vote because of the significant
improvements made over the last year in NAFTA 1.0, but our work is
still there to strengthen American manufacturing, protect our
environment, invest in our workers, and make sure we keep America at
the forefront of innovation and technology.
Mr. BRADY. Mr. Speaker, I reserve the balance of my time.
Mr. NEAL. Mr. Speaker, I yield 1 minute to the gentleman from New
York (Mr. Delgado), a very capable Congressman and my neighbor.
Mr. DELGADO. Mr. Speaker, I thank the chairman for yielding.
My district, New York's 19th Congressional District, is home to
nearly 5,000 farms. These are not large or corporate operations. They
are small family farms passed down from one generation to the next.
These family farmers across my district--dairy, organic, vegetable,
and diversified farmers--are being squeezed by market consolidation,
lower prices, and unfavorable conditions during this downturn in the
farm economy.
Today, the House has an opportunity to provide a long-overdue tool
for their success--in a word, stability. The USMCA will maintain and,
in some cases, increase, for our farmers, access to critical markets in
Canada and Mexico.
I will cast my vote to ratify this important agreement with strength
and protections for American workers and organized labor, as well as
facility-specific enforcement mechanisms for these new terms.
I will close with a reminder.
This is not a panacea. Our small farmers are facing significant
headwinds, and it is our duty, as a body, to support this time-honored
tradition in upstate New York and across our country.
Mr. BRADY. Mr. Speaker, I reserve the balance of my time.
Mr. NEAL. Mr. Speaker, I yield 30 seconds to the gentleman from
Michigan (Mr. Levin), my friend.
Mr. LEVIN of Michigan. Mr. Speaker, I thank my colleague for
yielding.
The threshold question for any NAFTA replacement must be whether it
will finally stop the outflow of American jobs and raise the standard
of living for Mexican, Canadian, and, of course, American workers.
My Democratic colleagues have worked tirelessly to ensure NAFTA's
replacement leads to positive change, and I thank them for their
efforts which have improved the deal President Trump originally
negotiated.
But these improvements will not be enough to overhaul the entrenched
system in Mexico that denies workers their rights, keeps wages
unconscionably low, and, consequently, incentivizes companies to ship
jobs to Mexico.
The SPEAKER pro tempore (Mr. Brindisi). The time of the gentleman has
expired.
Mr. NEAL. Mr. Speaker, I yield the gentleman from Michigan an
additional 30 seconds.
Mr. LEVIN of Michigan. It incentivizes companies to ship jobs to
Mexico and out of our communities like mine in southeast Michigan.
Mexico has not demonstrated the will, meaningfully, to reform its
labor system, and the weakness of USMCA's enforcement mechanisms mean
that we will not be able to hold Mexico's feet to the fire when
promised reforms do not occur.
I genuinely hope I am wrong about this, but I fear we can expect the
USMCA will perpetuate the harms of
[[Page H12266]]
NAFTA for Mexican and American workers alike; therefore, I oppose this
legislation.
{time} 1315
Mr. BRADY. Mr. Speaker, I reserve the balance of my time.
Mr. NEAL. Mr. Speaker, I yield 1 minute to the gentlewoman from Texas
(Mrs. Fletcher), who is very capable.
Mrs. FLETCHER. Mr. Speaker, I rise today in support of this USMCA
agreement. In my home State of Texas, trade with Mexico and Canada
accounts for billions of dollars and millions of jobs, many of them at
the Port of Houston and in the greater Houston area.
The USMCA modernizes the framework for our trade, strengthening
enforcement, labor, and environmental provisions in an updated
agreement that does not adversely impact our businesses, our workers,
or our environment.
It is also critical for our energy future, codifying a new zero-
tariff policy and further encouraging U.S. energy exports across North
America for years to come.
The agreement represents a true bipartisan accomplishment that will
set the standard for future trade agreements.
Mr. Speaker, I want to thank Chairman Neal, the working group,
Ranking Member Brady, and Ambassador Lighthizer for their work. As
cochair of the New Democrat Coalition Trade Task Force, I have been
actively working with them to advance this agreement all year. I am so
glad to see it come to the floor of the House. I encourage my
colleagues to vote ``yes''.
Mr. BRADY. Mr. Speaker, I reserve the balance of my time.
Mr. NEAL. Mr. Speaker, I am prepared to close.
Mr. BRADY. Mr. Speaker, I yield myself the balance of my time.
Mr. Speaker, Texas is made for trade. No State ships or sells more
around the world than the Lone Star State, and especially in my home
region in the Houston area of the Eighth Congressional District of
Texas.
So many of our jobs depend on free and fair trade, almost 1 million
in our State alone. The new USMCA is incredibly vital and incredibly
important for us because our two largest trading partners are our
friend and neighbor, Mexico, and Canada as well.
I want to thank President Trump for bringing this trade agreement to
reality. Like other Presidential candidates, he pledged to renegotiate
NAFTA. Unlike any others, he delivered. He was convinced that we could
rebuild bipartisan trade here in America by insisting on a fair and
level playing field for American workers, and he was exactly right.
Earlier, when he championed tax reform, he did that because every
expert and every other Presidential candidate, including Democrats,
said: manufacturing in America is dead, just give up, it won't come
back.
He believed otherwise, and so did Republicans; and because of our GOP
tax cuts and his balanced regulations, we have created over a half a
million new manufacturing jobs right here in America over the last 2
years.
I want to thank Ambassador Robert Lighthizer for being the architect
of this trade agreement. I will tell you, Mr. Speaker, I was a skeptic
when he said that we can rebuild bipartisan trade and we can fulfill
many of the Democrats' labor and environmental wishes that no other
President had ever delivered. So he proved me wrong.
Working closely with Chairman Neal and others, he, in the original
trade agreement of the USMCA a year ago, produced the most pro-labor
and pro-environmental trade agreement in American history. In the last
few months he has worked closely with Democrats to fine-tune that
agreement so that these issues are enforceable. Republicans support
that enforcement.
I also appreciate the leadership of Chairman Neal, without whom we
would not be here today. And I want to especially thank my trade staff
led by the remarkable Angela Ellard, Josh Snead, David Giordano, and
someone whose last day is with us here, Blake Harden as well.
During my time on the Ways and Means Committee, I have been proud to
help lead the passage of 12 of the trade agreements America has in
place today and two updates of the Trade Promotion Authority that lays
out the trade rules for the White House and Congress to follow. So for
me this is number 13.
I believe in the freedom to trade, and I truly believe it is the
greatest economic freedom we possess. It lays at the heart of our free
enterprise system. As Thomas Jefferson wrote: ``Commerce with other
nations is not only necessary and beneficial to all parties, it is a
right and a duty.''
It is the freedom to buy, sell, and compete anywhere in the world
with as little government interference as possible. It is a freedom
that if we build a better mousetrap, then we can sell it anywhere in
the world; and when someone else builds a better mousetrap, then we
have the freedom to buy it for our family and for our business. That
economic freedom has lifted millions out of poverty and provided
opportunity, prosperity, and peace, not just for ourselves but for the
world.
That is why it was so disappointing the Democrats held up moving
forward on this agreement for so long because every day of delay helped
China, helped Europe, and helped other countries. This was long
overdue.
But the truth of the matter is, we are here today and we have pulled
together in a historic vote. America is made for trade, and with our
new, strong economy--the most competitive economy today in the world--
we need more customers all around the world. That is what this trade
agreement does. It delivers on new customers and delivers on new
prosperity.
I will close with this, Mr. Speaker. On the Ways and Means Committee
I hold a seat formerly held by President George H. W. Bush and former
Chairman Bill Archer. When President Bush signed this agreement in San
Antonio, he said this so many years ago:
This agreement is an achievement of three strong and proud
nations and expresses our confidence in economic freedom and
personal freedom in our people's energy and enterprise.
It is an honor to vote today in support of the States U.S.-Mexico-
Canada agreement that embraces and enhances economic and personal
freedom. Members of Congress should take pride in this work that they
have put in to make today's debate on today's trade agreement a
reality.
Mr. Speaker, I yield back the balance of my time.
Mr. NEAL. Mr. Speaker, I yield myself the balance of my time.
So on this occasion, Mr. Speaker, we conclude after 14 months of
negotiating a hemispheric trade agreement--no small matter and no small
accomplishment. It included a visit with the delegation to Mexico to
meet with the President of Mexico, President Lopez Obrador. It included
a delegation that visited Prime Minister Trudeau in Canada and intense
negotiations in both countries, and I think it is fair to say that the
conversations in both countries were indeed very spirited.
But before I go to more of the specifics, we would not have gotten
here without some very important and critical moments of focused and
diligent work by Members of the House and the staff that got us to
where we are today.
First, an acknowledgment to Speaker Pelosi, who from day one said
that the game plan is to get to yes. Her leadership to get the deal
across the line, I think, was matched almost by her top trade adviser,
Katherine Monge.
Let me thank the working group members, Trade Subcommittee Chairman
Blumenauer and his staff Laura Thrift and David Skillman;
Representative Thompson and his staff, Jennifer Goedke; Representative
Larson and his staff, Scott Stephanou; Representative Terri Sewell and
her staff, Rob Nuttall; Representative Jim Gomez and his staff, Sam
Negatu; Representative Rosa DeLauro and her staff, Jack Spasiano;
Representative Schakowsky and her staff, Syd Terry and Osaremen Okolo;
and Representative Suzanne Bonamici and her staff, Allison Smith.
I want to thank the House Legislative Counsel, Mark Synnes and
Kalyani Parthasarathy for their expertise, creativity, and many hours
of hard and good work with our staff to prepare this legislation that
is more than 200 pages long. They represent the very best of this
institution's professionalism.
For the support of colleagues and staff that I received from the
diplomatic corps in Mexico City and Ottawa, we should express our
gratitude as well to Ms. Elizabeth Hoffman at
[[Page H12267]]
our Embassy in Mexico City for her extraordinary talents and efforts to
support our attempts as we got to yes.
I have great confidence and belief in the staff members at the Ways
and Means Committee, and, yes, on both sides. So I want to thank my
committee staff who have worked tirelessly on this agreement: Chief
Trade Counsel and staff director of the Trade Subcommittee, Katherine
Tai, who led us through the process along with her staff, Keigan Mull,
Julia Friedman, Katie White, Alexandra Whittaker, John Catalfamo, and
Kate Connor Linton. They were supported by a cast of very bright
fellows and interns, Brishailah Brown, Chenoa Lee, and Tiffany
Venmahavong.
I also want to thank our colleagues across the aisle. Especially I
want to acknowledge today the role that Ambassador Robert Lighthizer
played in this. There is something to be said for the experience of
Capitol Hill and having been a former staff member. Time and again we
thought we weren't going to get to where we wanted to be. And there
were some moments, I would say, of incendiary commentary back and
forth. Though there were many threats to leave the negotiation, it
never materialized because a long walk through this Capitol can solve a
lot of challenges.
Mr. Brady was invaluable as well, and his committee staff, Angela
Ellard, Josh Snead, Blake Harden, and David Giordano all played a very
important role here.
This really is a bipartisan agreement, and I hope and expect that the
challenges to USMCA will allow H.R. 5430 to enjoy broad, bipartisan
support.
I certainly am urging support for this because of the following: it
bolsters workers' rights; it corrects earlier Trump administration
backsliding on environmental obligations to get us to this trade
agreement; it eliminated many big giveaways to companies that would
have locked in high medicine prices, and it preserves Congress' freedom
to legislate to bring those prices down; and it incorporates the
strongest enforcement mechanisms, including specifically enhanced
mechanisms for enforcing labor rights in any U.S. trade agreement.
There are three titles that are devoted to the United States
Government and our role: monitoring and enforcement of USMCA partners'
obligations, monitoring and enforcement of USMCA partners'
environmental obligations, and more than $843 million over 4 years that
will be dedicated to monitoring and enforcement of labor and
environmental obligations, including funds for education and training
of workers and inspectors.
We would not have gotten here today, however, without the important
considerations of organized labor and the honorable men and women of
the AFL/CIO and the Teamsters. We had broad support by including them
in the negotiation and the discussions. This agreement is much the
better for it, but it also is the signature accomplishment for all of
us who had a chance to participate in it.
Every once in a while, Mr. Speaker, you get to participate in these
it-will-never-happen moments, and I believe that this indeed is one of
them. So we also thank the NETWORK Lobby for Catholic Social Justice,
American Chemistry Council, Association for Accessible Medicines,
Coalition of Services Industries, Farmers for Free Trade, Information
Technology Industry, the National Association of Manufacturers, the
National Council of Textiles Organizations, The Software Alliance, and,
indeed, many others.
I hope that this will serve as a template going forward for the two
sides to reach a combination on many of the priorities that expire this
year that we will include next year. But, also, I think it is an
example of when men and women in this institution of goodwill--not just
in the season--but men and women of goodwill can find common occurrence
and common ground on an issue, in the end, that is really important to
all members of the American family.
Mr. Speaker, I yield back the balance of my time.
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Mr. DeFAZIO. Mr. Speaker, twenty-five years ago, I strongly opposed
and helped lead the opposition against the North American Free Trade
Agreement (NAFTA). While our efforts narrowly failed in the House, I
was proud to vote against it.
Then-President Clinton said that the North American Free Trade
Agreement (NAFTA) would create thousands of good-paying U.S. jobs and
would result in trade surpluses between $9-$12 billion. The reality,
however, couldn't be further from the truth, and NAFTA has been an
absolute disaster.
After railing against NAFTA and promising to deliver a dramatically
improved deal or withdraw from the agreement altogether, President
Trump and his administration delivered the United States-Mexico-Canada
Agreement (USMCA). By all accounts, the USMCA was nothing more than a
continuation of NAFTA's same failed policies.
After months of extensive negotiations between House Democrats and
the U.S. Trade Representative (USTR), important improvements have been
made to the USMCA on a number of issues, including improvements I have
long fought for and helped secure.
After extensive work with USTR, I am proud to have secured provisions
in the USMCA that will better enable the U.S. to safeguard our roads.
The deal includes language that allows the United States to restrict
domestic long-haul services by Mexican trucks in the event of material
harm to U.S. trucking suppliers, operators, and drivers. I am pleased
that this restriction provides teeth to protect the U.S. trucking
industry from unfair trade practices by Mexican motor carriers, and
provides for consideration of impacts on driver wages and working
conditions, to avoid a race to the bottom in trucking.
I am also pleased that damaging provisions that would have kept
prescription drug costs high have been removed. House Democrats were
able to successfully negotiate the removal of provisions that would
have kept cheaper, generic drugs off the market longer.
Working Americans have been waiting for more than two decades for the
opportunity to fix NAFTA's failed policies. Throughout my career I have
fought for a truly transformative replacement that supports American
workers while safeguarding the environment and protecting consumers.
While it is an improvement from NAFTA, I do not believe that the USMCA
is that transformative deal, and, as a result, I will be voting against
it today.
The fact of the matter is that there is a deeply entrenched system of
wage and rights suppression in Mexico. Hundreds of thousands of U.S.
jobs were lost to Mexico as a result of this system, and these jobs
aren't coming back to our country. Without upending this entrenched
system altogether, we will not be able to raise wages and standards for
Mexican workers, which means we will continue to struggle to prevent
the hemorrhaging of American jobs that are being outsourced to low wage
jobs in Mexico. I do not believe Mexico has devoted the funding or the
staffing necessary for these changes, nor do I believe this agreement
goes far enough in ensuring that workers and the U.S. have the remedies
needed to prevent abuses from continuing to occur moving forward.
Democratic and Republican administrations have shirked their
responsibilities to fight for higher labor standards and fair trade
policies, and I do not believe this agreement does enough to prevent
those kind of abuses moving forward.
Further, the Republican tax bill enacted in 2017 actually promotes
outsourcing by allowing multinational corporations to cut their tax
rate in half if they shut a factory in the U.S. and move it to Mexico.
I will reintroduce legislation next year to eliminate this incentive.
Beyond this, the USMCA is at its core a deal that will continue to
promote pro-polluter, climate-denying policies. There are no
substantive provisions to seriously curb air and water pollution, the
deal completely ignores climate change, and its environmental
enforcement mechanism is not nearly strong enough. We need to do much
more to take bold steps to address climate change and to curb corporate
polluting.
I am also disappointed that the administration abandoned its original
position to eliminate chapter 19. I have long called for the
elimination of this unconstitutional chapter which allows foreign
tribunals to overrule U.S. trade protections against heavily subsidized
foreign imports, and I am disappointed that the administration
acquiesced to Canada.
While I don't believe this agreement sets forward a bold vision for a
21st century trade agreement, the reality is that this agreement will
become law, and that means the real work of monitoring and enforcing
the new provisions will begin. I will push for robust oversight and
enforcement of the labor and environmental standards and work to ensure
that any and all flaws are appropriately addressed when the USMCA's
sunset provisions kick-in six years from now.
I have spent my entire career fighting on behalf of the American
worker, including voting against every so-called free trade deal
proposed to Congress that undermines our workforce and enables the
destruction of our environment. I will continue to fight for truly
transformative deals that create a new standard for how trade
agreements should support the U.S. and its people.
[[Page H12268]]
Mr. Speaker, despite President Trump's promises to fix NAFTA and make
a perfect trade agreement that will bring jobs back to the United
States, the NAFTA 2.0 agreement signed last year prioritized
corporations over American workers. Democratic lawmakers negotiated
vigorously to improve the shoddy 2018 agreement, and they should be
applauded for their work on the U.S. Mexico Canada Agreement (USMCA).
The USMCA marks a significant improvement over the NAFTA 2.0 agreement
on issues related to labor standards. The USMCA establishes labor
specific enforcement mechanisms, removes NAFTA's Investor-State Dispute
Settlement (ISDS) regime, and eliminates huge giveaways to the
pharmaceutical industry. While significant strides were made, the
agreement ultimately falls short of the critical labor and
environmental needs that face our country today. Although I regretfully
had to miss today's vote due to a family emergency, I would have voted
no on the USMCA.
The USMCA does take long-overdue steps to improve conditions for
Mexican workers and remove incentives for companies to move American
jobs to Mexico. To be clear, this agreement will do nothing to bring
back hundreds of thousands of manufacturing jobs to the U.S., and the
Republican's tax bill signed into law last year still contains major
incentives for corporations to outsource and offshore jobs. Mexico's
promise to provide new labor protections, and the new rules included in
this agreement, will help many workers in Mexico. However, the USMCA's
enforcement mechanisms simply will not do enough to ensure these new
rules are followed and could make it impossible for the U.S. to hold
Mexico responsible if these promised reforms do not take effect.
Unfortunately, USMCA fails to address our climate crisis and
adequately protect our environment. The agreement does not include
enforcement of the Paris Climate Agreement or even the phrase ``climate
change.'' It leaves intact NAFTA's incentives for corporations to dodge
clean energy policies in the U.S. and leaves enforcement to a NAFTA-
style interagency committee with little authority beyond writing
reports. The agreement would not address documented pollution dumping
and sets no limits on air, water, or land pollution. The deregulatory
standards would also make it even harder for the U.S. to set new
environmental regulations in the future. It was impossible for me to
support this agreement without significantly more robust and binding
environmental standards.
I respect and appreciate the hard work and dedication of my
Democratic colleagues in transforming President Trump's terrible NAFTA
2.0 agreement into a more robust and fair USMCA. However, because of
the weak environmental standards and the lack of robust enforcement of
labor rights, I cannot support it.
Mr. MEEKS. Mr. Speaker, I rise in strong support of the US-Mexico-
Canada Agreement Implementing Act. Updating NAFTA is crucial to
America's workforce and our economy. Our vote today is not just about a
trade bill. For our nation, trade has never been singularly about the
exchange of goods and services across borders. This bill is about
making monumental progress in the fundamental framework of trade
negotiations. It is about America's competitive edge, the rights of our
workers, the stewardship of our environment, and so much more.
Millions of American jobs depend on trade with Canada and Mexico.
NAFTA is a 25-year-old agreement that has long needed an upgrade to
meet the demands of our times. American workers and American businesses
deserve the best possible update that we can negotiate, I believe that
is precisely what we have here.
As a member of the New Democrat Coalition, and a strong supporter of
international trade, I have for years fought for the advancement of key
New Dem priorities to be included in trade bills. With USMCA I am
pleased that under Speaker Pelosi's leadership Democrats negotiated for
many of these priorities and they are in this agreement.
I am proud that we fought for and secured stronger labor and
environmental provisions and the elimination of language in the
implementing bill that would have allowed the administration to
unilaterally lower the U.S. de minimis threshold.
The great state of New York shares a border with Canada. New York's
connection with its top trading partner, Canada, is strengthened in
this agreement. With USMCA, New York's sixteen billion dollars in
exports to Canada can increase, jobs are secured, and we lay the
groundwork for deeper economic ties while making progress in the best
interest of citizens throughout North America.
America's strength has always been undergirded by our prowess in
trade. New York has a special place in American history in that regard.
With USMCA we safeguard our nation's ability to compete, while being
caretakers of our environment and upholding the rights of our workers.
After 14 months of negotiations, I am proud to support this bipartisan
agreement, and push forward the framework for trade agreements in the
years to come. I urge my colleagues to join me in supporting H.R.
5430--The United States-Mexico-Canada Agreement Implementation Act.
Mr. VISCLOSKY. Mr. Speaker, I rise today to oppose the United States-
Mexico-Canada Agreement (USMCA).
Throughout my entire career, I have heard the promises of free trade
agreements, yet have seen the subsequent challenges faced by
steelworkers and the American manufacturing industry.
Specifically, the North American Free Trade Agreement (NAFTA) was
rationalized on the promise of creating good-paying American jobs.
Instead, this agreement contributed to the loss of over 700,000
American jobs through outsourcing and suppressed American wages. NAFTA
has also led to the degradation of our environment through the lack of
strong environmental protections and the consequent increase of
greenhouse gas emissions in North America.
While I recognize that the USMCA appears to be an improvement over
NAFTA, I remain deeply skeptical that it does enough.
For example, the USMCA includes a provision for enforcing labor
standards. However, there is a lack of clarity on timelines for certain
steps throughout the investigation process, which could delay enforcing
penalties on violators of the agreement. I also remain leery that our
trading partners have not demonstrated the commitment, fortitude, or
track record to faithfully execute the labor protections detailed in
this agreement.
Additionally, the USMCA includes a provision to require 40 to 45
percent of the vehicles made in the United States, Mexico, and Canada
to be made by workers who earn--on average--at least $16 per hour.
However, the calculation requirements for the average wage allows for
the inclusion of wages related to research, development, and
information technology employees, which could cause the continued
suppression of wages for American manufacturing employees.
Further, in regard to environmental protections, the USMCA includes a
provision that recognizes pollution as a threat to public health.
However, it does not create binding standards and omits essential
limits on air, water, and land pollution, which could create more
challenges for future generations.
Finally, I would emphasize that advancing the USMCA to the full House
for a vote within a week of receiving the text circumvents Congress'
responsibility to the American people to thoroughly examine this
agreement, which will have profound implications for our workers, our
economy, and our environment. I am especially disappointed that this
process has not afforded all Members of Congress a real opportunity to
debate, amend, or improve this text before final passage.
If we have learned anything from the negative impacts of NAFTA and
other free trade agreements, let it be that all Americans and all
American workers deserve thoughtful, secure, and truly enforceable
trade agreements.
Ms. JOHNSON of Texas. Mr. Speaker, I rise in strong support of H.R.
5430, the United States-Mexico-Canada Agreement Implementation Act.
This legislation ratifies the USMCA, an update to the North American
Free Trade Agreement agreed to by the governments of the United States,
Canada and Mexico last year.
Over the past year, House Democrats have made the USMCA a better deal
for the American people. New provisions in this trade agreement improve
the original language by strengthening provisions related to labor and
the environment. Most importantly, House Democrats fought hard to
ensure Congress kept its authority to address the rising costs of
prescription drugs by stripping out a giveaway to the pharmaceutical
industry that would have locked in high prices for biologics across
North America.
As the dean of the Texas Congressional Delegation, I know how
important trade is to my state. This is an issue that unites Democrats
and Republicans across Texas. Whenever trade is brought up, everyone
pays attention because it's one of the drivers of our economy. In North
Texas, Canada is one of our largest trading partners, and many goods
that are transferred between the three countries in this agreement make
their way through North Texas either on our highways, through the DFW
International Airport, or through the Union Pacific Dallas
International Terminal Inland Port in my district. While the energy
sector created jobs and built the economy in North Texas, NAFTA and
other trade agreements have only made our economy stronger.
Last year, I invited Ambassador Lighthizer to speak to the Texas
Congressional Delegation about the USMCA and the profound impact it
would have on our state. Ambassador Lighthizer and his staff at the
office of the United States Trade Representative held similar meetings
with other congressional delegations and working groups so that they
could
[[Page H12269]]
understand all points of view on this agreement. Their willingness to
work tirelessly alongside House Democrats to make this agreement a
better deal for the American people deserves recognition.
Mr. Speaker, trade policy shouldn't be an issue that divides the
members of this chamber on partisan or regional lines. We see here
today what can be done when both sides come together to advance the
causes of American workers, farmers and consumers. I strongly urge my
colleagues to vote for this bill.
Mr. HOLDING. Mr. Speaker, it has been over a year since President
Trump successfully negotiated the United States-Mexico-Canada
Agreement.
This is a good deal that will benefit every corner of the country.
USMCA will empower businesses of all sizes to grow and create jobs, and
it is a substantial improvement over NAFTA.
Mr. Speaker, as it turns out this week is the 116th Anniversary of
the Wright Brothers making the first flight in a powered aircraft. As
we all know, the Wright Brothers were innovators and they traveled to
North Carolina for this historic achievement.
To this day, North Carolina continues to attract the world's most
creative and innovative workforce. One prime example is the enormous
amount of pharmaceutical research that takes place. Lifesaving drugs
are being made in my back yard and the world is better off for it.
This Administration was successful in getting Mexico and Canada to
raise their exclusivity protections for cutting-edge biologic drugs.
This was a monumental achievement. It is incredibly disappointing that
Democrats sought to weaken these standards and actively worked against
American innovators. These standards would have protected the hard work
that is done by our health care industry as they work to come up with
new cures and save more lives.
By striping these protections from the final agreement--Congressional
Democrats have effectively kneecapped the dedicated scientists, doctors
and manufacturers working around the clock to develop new cures.
I have a tough time understanding why American lawmakers would
actively advocate against the interest of American companies trying to
do business abroad.
Ensuring that American innovators' rights are protected in Mexico and
Canada would have had no impact on drug pricing. The Ways and Means
Committee has been over that topic before, and to insinuate that there
is a correlation between protecting our inventions in Mexico and higher
drug prices in the U.S. is disingenuous.
While I support the USMCA, the absence of these protections is a
missed opportunity and we should do better.
Miss GONZALEZ-COLON of Puerto Rico. Mr. Speaker, trade with Canada
and Mexico is a crucial component of our economy. Last year, the U.S.
exported just over $565 billion in goods to these two nations. It is
estimated that approximately 12 million American jobs rely on North
American trade.
Our Nation's trade partnership with Canada and Mexico is particularly
important for our state and local economies. In Puerto Rico, for
example, exports to these two countries totaled $1.38 billion in 2018.
This represents an increase of 161 percent from pre-NAFTA levels in
1993, when exports from the Island to Canada and Mexico totaled just
$528.8 million.
Our economy clearly requires that we preserve and strengthen U.S.
trade ties with Canada and Mexico. To achieve this, we must pass the
U.S.-Mexico-Canada Agreement, or USMCA.
USMCA would not only ensure that U.S. manufacturers, farmers, and
service providers can continue to access the Canadian and Mexican
markets, but it would also rebalance and modernize NAFTA--our outdated
trade agreement--into a 21st century, high-standard trade deal.
For instance, USMCA creates a new digital trade chapter and includes
provisions to strengthen intellectual property (IP) protections
critical to driving innovation. This is particularly important for
jurisdictions like Puerto Rico, which is the top U.S. exporter of
pharmaceutical and medicine products.
USMCA similarly seeks to level the playing field for workers by
including enforceable labor standards. It is also the first trade
agreement with a chapter focusing specifically on small and medium-
sized businesses to help them grow and reach new markets.
The U.S. International Trade Commission estimates that USMCA would
boost GDP by $68.2 billion and would add roughly 176,000 jobs.
USMCA is a clear win for our Nation.
Mr. RESCHENTHALER. Mr. Speaker, I rise in support of the United
States-Mexico-Canada Agreement (USMCA) negotiated by President Trump
which will generate new economic opportunities for Pennsylvania workers
and families.
Thanks to President Trump's economic policies, earlier this year,
Pennsylvania's unemployment hit an all-time low of 3.8 percent. In his
first two years in office, the president fostered job and wage growth
by enacting the largest tax reform in 31 years and cutting burdensome
regulations that handcuffed Pennsylvania employers. But it's the USMCA,
his rewrite of the North American Free Trade Agreement, that promises
to be an even greater boon for my state's economy and the nation.
Pennsylvania is uniquely positioned to benefit from the USMCA given
our strong ties with Canada and Mexico. In 2017 alone, Pennsylvania
exported over $10 billion worth of goods to Canada and over $4 billion
worth of goods to Mexico. Nearly 500,000 jobs across the state are
supported by U.S. trade with our North American neighbors. By removing
the red tape required to trade, we can empower job creators to grow
their businesses and hire even more workers.
Importantly, the USMCA improves access to international markets for
many of the industries that drive our state's economy. Pennsylvania
farmers currently export over $1 billion in goods each year to Canada
and Mexico. This agreement creates even more export opportunities by
eliminating Canada's protectionist dairy program and opening access for
chicken and egg exports.
U.S. manufacturing is another key sector that will enjoy new
protections under the USMCA. The deal includes stronger rules of
origin, meaning more goods and materials, including Pennsylvania steel,
will be manufactured in the U.S. Further, the agreement puts in place
new enforceable labor standards to level the playing field for American
workers and includes new commitments to address non-tariff barriers
that currently hinder trade.
The USMCA also includes, for the first time ever, a chapter dedicated
to digital trade. I applaud the administration's work to promote
digital trade and protect the intellectual property of American
innovators. In my district alone, nearly 1,000 people are employed by
the movie and television industry and rely on this work to pay their
bills and feed their families. It is critical that we build upon the
strengths and accomplishments of the USMCA and ensure future trade
deals leave adequate space for Congress to work together with the
president and American creators to reform and update current copyright
laws, including Section 512 of the Digital Millennium Copyright Act,
which was written in 1998 and has not kept up with the times. Future
trade deals should exclude this provision so that Congress can work in
a bipartisan manner to ensure U.S. law better protects the creative
professionals living in my district and across the nation.
Mr. Speaker, President Trump has already fostered an economic
resurgence through his pro-growth policies, and the USMCA will further
that progress. I am proud to support USMCA today.
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The SPEAKER pro tempore. All time for debate has expired.
Pursuant to the order of the House of December 16, 2019, the previous
question is ordered.
The question is on the engrossment and third reading of the bill.
The bill was ordered to be engrossed and read a third time, and was
read the third time.
The SPEAKER pro tempore. The question is on passage of the bill.
The question was taken; and the Speaker pro tempore announced that
the ayes appeared to have it.
Mr. NEAL. Mr Speaker, on that I demand the yeas and nays.
The yeas and nays were ordered.
The SPEAKER pro tempore. Pursuant to clause 8 of rule XX, further
proceedings on this question will be postponed.
____________________