US Codex
Pub. L.
Notes

Title VI — Additional Enforcement Provisions

114th Congress · Approved Feb 24, 2016 · 130 Stat. 122

TITLE VI Additional Enforcement Provisions

SEC. 601. Trade Enforcement Priorities.

(a)
In General.— Section 310 of the Trade Act of 1974 (19 U.S.C. 2420) is amended to read as follows:

“SEC. 310. TRADE ENFORCEMENT PRIORITIES.

“(a) Trade Enforcement Priorities, Consultations, and Report.—

“(1) Trade enforcement priorities consultations.—Not later than May 31 of each calendar year that begins after the date of the enactment of the Trade Facilitation and Trade Enforcement Act of 2015, the United States Trade Representative (in this section referred to as the ‘Trade Representative’) shall consult with the Committee on Finance of the Senate and the Committee on Ways and Means of the House of Representatives with respect to the prioritization of acts, policies, or practices of foreign governments that raise concerns with respect to obligations under the WTO Agreements or any other trade agreement to which the United States is a party, or otherwise create or maintain barriers to United States goods, services, or investment.

“(2) Identification of trade enforcement priorities.—In identifying acts, policies, or practices of foreign governments as trade enforcement priorities under this subsection, the Trade Representative shall focus on those acts, policies, and practices the elimination of which is likely to have the most significant potential to increase United States economic growth, and take into account all relevant factors, including—

“(A) the economic significance of any potential inconsistency between an obligation assumed by a foreign government pursuant to a trade agreement to which both the foreign government and the United States are parties and the acts, policies, or practices of that government;

“(B) the impact of the acts, policies, or practices of a foreign government on maintaining and creating United States jobs and productive capacity;

“(C) the major barriers and trade distorting practices described in the most recent National Trade Estimate required under section 181(b);

“(D) the major barriers and trade distorting practices described in other relevant reports addressing international trade and investment barriers prepared by a Federal agency or congressional commission during the 12 months preceding the date of the most recent report under paragraph (3);

“(E) a foreign government’s compliance with its obligations under any trade agreements to which both the foreign government and the United States are parties;

“(F) the implications of a foreign government’s procurement plans and policies; and

“(G) the international competitive position and export potential of United States products and services.

“(3) Report on trade enforcement priorities and actions taken to address.—

“(A) In general.—Not later than July 31 of each calendar year that begins after the date of the enactment of the Trade Facilitation and Trade Enforcement Act of 2015, the Trade Representative shall report to the Committee on Finance of the Senate and the Committee on Ways and Means of the House of Representatives on acts, policies, or practices of foreign governments identified as trade enforcement priorities based on the consultations under paragraph (1) and the criteria set forth in paragraph (2).

“(B) Report in subsequent years.—The Trade Representative shall include, when reporting under subparagraph (A) in any calendar year after the calendar year that begins after the date of the enactment of the Trade Facilitation and Trade Enforcement Act of 2015, a description of actions taken to address any acts, policies, or practices of foreign governments identified as trade enforcement priorities under this subsection in the calendar year preceding that report and, as relevant, any calendar year before that calendar year.

“(b) Semiannual Enforcement Consultations.—

“(1) In general.—At the same time as the reporting under subsection (a)(3), and not later than January 31 of each following year, the Trade Representative shall consult with the Committee on Finance of the Senate and the Committee on Ways and Means of the House of Representatives with respect to the identification, prioritization, investigation, and resolution of acts, policies, or practices of foreign governments of concern with respect to obligations under the WTO Agreements or any other trade agreement to which the United States is a party, or that otherwise create or maintain trade barriers.

“(2) Acts, policies, or practices of concern.—The semiannual enforcement consultations required by paragraph (1) shall address acts, policies, or practices of foreign governments that raise concerns with respect to obligations under the WTO Agreements or any other trade agreement to which the United States is a party, or otherwise create or maintain trade barriers, including—

“(A) engagement with relevant trading partners;

“(B) strategies for addressing such concerns;

“(C) availability and deployment of resources to be used in the investigation or resolution of such concerns;

“(D) the merits of any potential dispute resolution proceeding under the WTO Agreements or any other trade agreement to which the United States is a party relating to such concerns; and

“(E) any other aspects of such concerns.

“(3) Active investigations.—The semiannual enforcement consultations required by paragraph (1) shall address acts, policies, or practices that the Trade Representative is actively investigating with respect to obligations under the WTO Agreements or any other trade agreement to which the United States is a party, including—

“(A) strategies for addressing concerns raised by such acts, policies, or practices;

“(B) any relevant timeline with respect to investigation of such acts, policies, or practices;

“(C) the merits of any potential dispute resolution proceeding under the WTO Agreements or any other trade agreement to which the United States is a party with respect to such acts, policies, or practices;

“(D) barriers to the advancement of the investigation of such acts, policies, or practices; and

“(E) any other matters relating to the investigation of such acts, policies, or practices.

“(4) Ongoing enforcement actions.—The semiannual enforcement consultations required by paragraph (1) shall address all ongoing enforcement actions taken by or against the United States with respect to obligations under the WTO Agreements or any other trade agreement to which the United States is a party, including—

“(A) any relevant timeline with respect to such actions;

“(B) the merits of such actions;

“(C) any prospective implementation actions;

“(D) potential implications for any law or regulation of the United States;

“(E) potential implications for United States stakeholders, domestic competitors, and exporters; and

“(F) other issues relating to such actions.

“(5) Enforcement resources.—The semiannual enforcement consultations required by paragraph (1) shall address the availability and deployment of enforcement resources, resource constraints on monitoring and enforcement activities, and strategies to address those constraints, including the use of available resources of other Federal agencies to enhance monitoring and enforcement capabilities.

“(c) Investigation and Resolution.—In the case of any acts, policies, or practices of a foreign government identified as a trade enforcement priority under subsection (a), the Trade Representative shall, not later than the date of the first semiannual enforcement consultations held under subsection (b) after the identification of the priority, take appropriate action to address that priority, including—

“(1) engagement with the foreign government to resolve concerns raised by such acts, policies, or practices;

“(2) initiation of an investigation under section 302(b)(1) with respect to such acts, policies, or practices;

“(3) initiation of negotiations for a bilateral agreement that provides for resolution of concerns raised by such acts, policies, or practices; or

“(4) initiation of dispute settlement proceedings under the WTO Agreements or any other trade agreement to which the United States is a party with respect to such acts, policies, or practices.

“(d) Enforcement Notifications and Consultation.—

“(1) Initiation of enforcement action.—The Trade Representative shall notify and consult with the Committee on Finance of the Senate and the Committee on Ways and Means of the House of Representatives in advance of the initiation of any formal trade dispute by or against the United States taken in regard to an obligation under the WTO Agreements or any other trade agreement to which the United States is a party. With respect to a formal trade dispute against the United States, if advance notification and consultation are not possible, the Trade Representative shall notify and consult at the earliest practicable opportunity after initiation of the dispute.

“(2) Circulation of reports.—The Trade Representative shall notify and consult with the Committee on Finance of the Senate and the Committee on Ways and Means of the House of Representatives in advance of the announced or anticipated circulation of any report of a dispute settlement panel or the Appellate Body of the World Trade Organization or of a dispute settlement panel under any other trade agreement to which the United States is a party with respect to a formal trade dispute by or against the United States.

“(e) Definitions.—In this section:

“(1) WTO.—The term ‘WTO’ means the World Trade Organization.

“(2) WTO agreement.—The term ‘WTO Agreement’ has the meaning given that term in section 2(9) of the Uruguay Round Agreements Act (19 U.S.C. 3501(9)).

“(3) WTO agreements.—The term ‘WTO Agreements’ means the WTO Agreement and agreements annexed to that Agreement.”

(b)
Clerical Amendment.— The table of contents for the Trade Act of 1974 is amended by striking the item relating to section 310 and inserting the following:

“Sec. 310. Trade enforcement priorities.”.

SEC. 602. Exercise of Wto Authorization to Suspend Concessions or Other Obligations under Trade Agreements.

(a)
In General.— Section 306 of the Trade Act of 1974 (19 U.S.C. 2416) is amended—
(1)
by redesignating subsection (c) as subsection (d); and
(2)
by inserting after subsection (b) the following:

“(c) Exercise of WTO Authorization to Suspend Concessions or Other Obligations.—If—

“(1) action has terminated pursuant to section 307(c),

“(2) the petitioner or any representative of the domestic industry that would benefit from reinstatement of action has submitted to the Trade Representative a written request for reinstatement of action, and

“(3) the Trade Representatives has completed the requirements of subsection (d) and section 307(c)(3),

(b)
Conforming Amendments.— Chapter 1 of title III of the Trade Act of 1974 (19 U.S.C. 2411 et seq.) is amended—
(1)
in section 301(c)(1) (19 U.S.C. 2411(c)(1)), in the matter preceding subparagraph (A), by inserting “ or section 306(c)” after “ subsection (a) or (b)”;
(2)
in section 306(b) (19 U.S.C. 2416(b)), in the subsection heading, by striking “ Further Action” and inserting “ Action on the Basis of Monitoring”;
(3)
in section 306(d) (19 U.S.C. 2416(d)), as redesignated by subsection (a)(1), by inserting “ or (c)” after “ subsection (b)”; and
(4)
in section 307(c)(3) (19 U.S.C. 2417(c)(3)), by inserting “ or if a request is submitted to the Trade Representative under section 306(c)(2) to reinstate action,” after “ under section 301,”.

SEC. 603. Trade Monitoring.

(a)
In General.— Chapter 1 of title II of the Trade Act of 1974 (19 U.S.C. 2251 et seq.) is amended by adding at the end the following:

“SEC. 205. TRADE MONITORING.

“(a) Monitoring Tool for Imports.—

“(1) In general.—Not later than 180 days after the date of the enactment of the Trade Facilitation and Trade Enforcement Act of 2015, the Commission shall make available on a website of the Commission an import monitoring tool to allow the public access to data on the volume and value of goods imported to the United States for the purpose of assessing whether such data has changed with respect to such goods over a period of time.

“(2) Data described.—For purposes of the monitoring tool under paragraph (1), the Commission shall use data compiled by the Department of Commerce and such other government data as the Commission considers appropriate.

“(3) Periods of time.—The Commission shall ensure that data accessed through the monitoring tool under paragraph (1) includes data for the most recent quarter for which such data are available and previous quarters as the Commission considers practicable.

“(b) Monitoring Reports.—

“(1) In general.—Not later than 270 days after the date of the enactment of the Trade Facilitation and Trade Enforcement Act of 2015, and not less frequently than quarterly thereafter, the Secretary of Commerce shall publish on a website of the Department of Commerce, and notify the Committee on Finance of the Senate and the Committee on Ways and Means of the House of Representatives of the availability of, a monitoring report on changes in the volume and value of trade with respect to imports and exports of goods categorized based on the 6-digit subheading number of the goods under the Harmonized Tariff Schedule of the United States during the most recent quarter for which such data are available and previous quarters as the Secretary considers practicable.

“(2) Requests for comment.—Not later than one year after the date of the enactment of the Trade Facilitation and Trade Enforcement Act of 2015, the Secretary of Commerce shall solicit through the Federal Register public comment on the monitoring reports described in paragraph (1).

“(c) Sunset.—The requirements under this section terminate on the date that is seven years after the date of the enactment of the Trade Facilitation and Trade Enforcement Act of 2015.”

(b)
Clerical Amendment.— The table of contents for the Trade Act of 1974 (19 U.S.C. 2101 et seq.) is amended by inserting after the item relating to section 204 the following:

“Sec. 205. Trade monitoring.”.

SEC. 604. Establishment of Interagency Center on Trade Implementation, Monitoring, and Enforcement.

(a)
In General.— Section 141 of the Trade Act of 1974 (19 U.S.C. 2171) is amended by adding at the end the following:

“(h) Interagency Center on Trade Implementation, Monitoring, and Enforcement.—

“(1) Establishment of center.—There is established in the Office of the United States Trade Representative an Interagency Center on Trade Implementation, Monitoring, and Enforcement (in this section referred to as the ‘Center’).

“(2) Functions of center.—The Center shall support the activities of the United States Trade Representative in—

“(A) investigating potential disputes under the auspices of the World Trade Organization;

“(B) investigating potential disputes pursuant to bilateral and regional trade agreements to which the United States is a party;

“(C) carrying out the functions of the United States Trade Representative under this section with respect to the monitoring and enforcement of trade agreements to which the United States is a party; and

“(D) monitoring measures taken by parties to implement provisions of trade agreements to which the United States is a party.

“(3) Personnel.—

“(A) Director.—The head of the Center shall be a Director, who shall be appointed by the United States Trade Representative.

“(B) Additional employees.—A Federal agency may, in consultation with and with the approval of the United States Trade Representative, detail or assign one or more employees to the Center without any reimbursement from the Center to support the functions of the Center.”

(b)
Interagency Resources.— Section 141(d)(1)(A) of the Trade Act of 1974 (19 U.S.C. 2171(d)(1)(A)) is amended by inserting “ , including resources of the Interagency Center on Trade Implementation, Monitoring, and Enforcement established under subsection (h),” after “ interagency resources”.
(c)
Reports.— Section 163 of the Trade Act of 1974 (19 U.S.C. 2213) is amended—
(1)
in subsection (a)(2)—
(A)
in subparagraph (J), by striking “ and” at the end;
(B)
in subparagraph (K), by striking the period at the end and inserting “ ; and”; and
(C)
by adding at the end the following:

“(L) the operation of the Interagency Center on Trade Implementation, Monitoring, and Enforcement established under section 141(h), including—

“(i) information relating to the personnel of the Center, including a description of any employees detailed or assigned to the Center by a Federal agency under paragraph (3)(B) of such section;

“(ii) information relating to the functions of the Center; and

“(iii) an assessment of the operating costs of the Center.”

; and

(2)
by adding at the end the following:

“(d) Quadrennial Plan and Report.—

“(1) Quadrennial plan.—Pursuant to the goals and objectives of the strategic plan of the Office of the United States Trade Representative as required under section 306 of title 5, United States Code, the Trade Representative shall, every 4 years, develop a plan—

“(A) to analyze internal quality controls and record management of the Office;

“(B) to identify existing staff of the Office and new staff that will be necessary to support the trade negotiation and enforcement functions and powers of the Office (including those functions and powers of the Trade Policy Staff Committee) as described in section 141 and section 301;

“(C) to identify existing staff of the Office and staff in other Federal agencies who will be required to be detailed or assigned to support interagency programs led by the Trade Representative, including any associated expenses;

“(D) to provide an outline of budget justifications, including salaries and expenses as well as nonpersonnel administrative expenses, for the fiscal years required under the strategic plan; and

“(E) to provide an outline of budget justifications, including salaries and expenses as well as nonpersonnel administrative expenses, for interagency programs led by the Trade Representative for the fiscal years required under the strategic plan.

“(2) Report.—

“(A) In general.—The Trade Representative shall submit to the appropriate congressional committees a report that contains the plan required under paragraph (1). Except as provided in subparagraph (B), the report required under this subparagraph shall be submitted in conjunction with the strategic plan of the Office as required under section 306 of title 5, United States Code.

“(B) Exception.—The Trade Representative shall submit to the appropriate congressional committees an initial report that contains the plan required under paragraph (1) not later than June 1, 2016.

“(C) Appropriate congressional committees defined.—In this paragraph, the term ‘appropriate congressional committees’ means—

“(i) the Committee on Finance and the Committee on Appropriations of the Senate; and

“(ii) the Committee on Ways and Means and the Committee on Appropriations of the House of Representatives.”

SEC. 605. Inclusion of Interest in Certain Distributions of Antidumping Duties and Countervailing Duties.

(a)
In General.— The Secretary of Homeland Security shall deposit all interest described in subsection (c) into the special account established under section 754(e) of the Tariff Act of 1930 (19 U.S.C. 1675c(e)) (repealed by subtitle F of title VII of the Deficit Reduction Act of 2005 (Public Law 109–171; 120 Stat. 154)) for inclusion in distributions described in subsection (b) made on or after the date of the enactment of this Act.
(b)
Distributions Described.— Distributions described in this subsection are distributions of antidumping duties and countervailing duties assessed on or after October 1, 2000, that are made under section 754 of the Tariff Act of 1930 (19 U.S.C. 1675c) (repealed by subtitle F of title VII of the Deficit Reduction Act of 2005 (Public Law 109–171; 120 Stat. 154)), with respect to entries of merchandise that—
(1)
were made on or before September 30, 2007; and
(2)
were, in accordance with section 822 of the Claims Resolution Act of 2010 (19 U.S.C. 1675c note), unliquidated, not in litigation, and not under an order of liquidation from the Department of Commerce on December 8, 2010.
(c)
Interest Described.—
(1)
Interest realized.— Interest described in this subsection is interest earned on antidumping duties or countervailing duties described in subsection (b) that is realized through application of a payment received on or after October 1, 2014, by U.S. Customs and Border Protection under, or in connection with—
(A)
a customs bond pursuant to a court order or judgment; or
(B)
a settlement with respect to a customs bond, including any payment made to U.S. Customs and Border Protection with respect to that bond by a surety.
(2)
Types of interest.— Interest described in paragraph (1) includes the following:
(A)
Interest accrued under section 778 of the Tariff Act of 1930 (19 U.S.C. 1677g).
(B)
Interest accrued under section 505(d) of the Tariff Act of 1930 (19 U.S.C. 1505(d)).
(C)
Equitable interest under common law and interest under section 963 of the Revised Statutes (19 U.S.C. 580) awarded by a court against a surety under its bond for late payment of antidumping duties, countervailing duties, or interest described in subparagraph (A) or (B).
(d)
Definitions.— In this section:
(1)
Antidumping duties.— The term “antidumping duties” means antidumping duties imposed under section 731 of the Tariff Act of 1930 (19 U.S.C. 1673) or under the Antidumping Act, 1921 (title II of the Act of May 27, 1921; 42 Stat. 11, chapter 14).
(2)
Countervailing duties.— The term “countervailing duties” means countervailing duties imposed under section 701 of the Tariff Act of 1930 (19 U.S.C. 1671).

SEC. 606. Illicitly Imported, Exported, or Trafficked Cultural Property, Archaeological or Ethnological Materials, and Fish, Wildlife, and Plants.

(a)
In General.— The Commissioner and the Director of U.S. Immigration and Customs Enforcement shall ensure that appropriate personnel of U.S. Customs and Border Protection and U.S. Immigration and Customs Enforcement, as the case may be, are trained in the detection, identification, detention, seizure, and forfeiture of cultural property, archaeological or ethnological materials, and fish, wildlife, and plants, the importation, exportation, or trafficking of which violates the laws of the United States.
(b)
Training.— The Commissioner and the Director are authorized to accept training and other support services from experts outside of the Federal Government with respect to the detection, identification, detention, seizure, and forfeiture of cultural property, archaeological or ethnological materials, or fish, wildlife, and plants described in subsection (a).

SEC. 607. Enforcement under Title Iii of the Trade Act of 1974 with Respect to Certain Acts, Policies, and Practices.

Section 301(d)(3)(B) of the Trade Act of 1974 (19 U.S.C. 2411(d)(3)(B)) is amended—
(1)
in clause (ii), by striking “ or” at the end;
(2)
in clause (iii)(V), by striking the period at the end and inserting “ , or”; and
(3)
by adding at the end the following:

“(iv) constitutes a persistent pattern of conduct by the government of a foreign country under which that government fails to effectively enforce commitments under agreements to which the foreign country and the United States are parties, including with respect to trade in goods, trade in services, trade in agriculture, foreign investment, intellectual property, digital trade in goods and services and cross-border data flows, regulatory practices, state-owned and state-controlled enterprises, localization barriers to trade, labor and the environment, anticorruption, trade remedy laws, textiles, and commercial partnerships.”

SEC. 608. Honey Transshipment.

(a)
In General.— The Commissioner shall direct appropriate personnel and the use of resources of U.S. Customs and Border Protection to address concerns that honey is being imported into the United States in violation of the customs and trade laws of the United States.
(b)
Country of Origin.—
(1)
In general.— The Commissioner shall compile a database of the individual characteristics of honey produced in foreign countries to facilitate the verification of country of origin markings of imported honey.
(2)
Engagement with foreign governments.— The Commissioner shall seek to engage the customs agencies of foreign governments for assistance in compiling the database described in paragraph (1).
(3)
Consultation with industry.— In compiling the database described in paragraph (1), the Commissioner shall consult with entities in the honey industry regarding the development of industry standards for honey identification.
(4)
Consultation with food and drug administration.— In compiling the database described in paragraph (1), the Commissioner shall consult with the Commissioner of Food and Drugs.
(c)
Report Required.— Not later than 180 days after the date of the enactment of this Act, the Commissioner shall submit to Congress a report that—
(1)
describes and assesses the limitations in the existing analysis capabilities of laboratories with respect to determining the country of origin of honey samples or the percentage of honey contained in a sample; and
(2)
includes any recommendations of the Commissioner for improving such capabilities.
(d)
Sense of Congress.— It is the sense of Congress that the Commissioner of Food and Drugs should promptly establish a national standard of identity for honey for the Commissioner of U.S. Customs and Border Protection to use to ensure that imports of honey are—
(1)
classified accurately for purposes of assessing duties; and
(2)
denied entry into the United States if such imports pose a threat to the health or safety of consumers in the United States.

SEC. 609. Establishment of Chief Innovation and Intellectual Property Negotiator.

(a)
In General.— Section 141 of the Trade Act of 1974 (19 U.S.C. 2171) is amended—
(1)
in subsection (b)(2)—
(A)
by striking “ and one Chief Agricultural Negotiator” and inserting “ , one Chief Agricultural Negotiator, and one Chief Innovation and Intellectual Property Negotiator,”;
(B)
by striking “ or the Chief Agricultural Negotiator” and inserting “ , the Chief Agricultural Negotiator, or the Chief Innovation and Intellectual Property Negotiator”; and
(C)
by striking “ and the Chief Agricultural Negotiator” and inserting “ , the Chief Agricultural Negotiator, and the Chief Innovation and Intellectual Property Negotiator”; and
(2)
in subsection (c)—
(A)
by moving paragraph (5) 2 ems to the left; and
(B)
by adding at the end the following:

“(6) The principal functions of the Chief Innovation and Intellectual Property Negotiator shall be to conduct trade negotiations and to enforce trade agreements relating to United States intellectual property and to take appropriate actions to address acts, policies, and practices of foreign governments that have a significant adverse impact on the value of United States innovation. The Chief Innovation and Intellectual Property Negotiator shall be a vigorous advocate on behalf of United States innovation and intellectual property interests. The Chief Innovation and Intellectual Property Negotiator shall perform such other functions as the United States Trade Representative may direct.”

(b)
Compensation.— Section 5314 of title 5, United States Code is amended by striking “ Chief Agricultural Negotiator.” and inserting the following: “Chief Agricultural Negotiator, Office of the United States Trade Representative. “Chief Innovation and Intellectual Property Negotiator, Office of the United States Trade Representative.”.
(c)
Report Required.— Not later than one year after the appointment of the first Chief Innovation and Intellectual Property Negotiator pursuant to paragraph (2) of section 141(b) of the Trade Act of 1974, as amended by subsection (a), and annually thereafter, the United States 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 describing in detail—
(1)
enforcement actions taken by the Trade Representative during the one-year period preceding the submission of the report to ensure the protection of United States innovation and intellectual property interests; and
(2)
other actions taken by the Trade Representative to advance United States innovation and intellectual property interests.

SEC. 610. Measures Relating to Countries That Deny Adequate Protection for Intellectual Property Rights.

(a)
Inclusion of Countries That Deny Adequate Protection of Trade Secrets.— Section 182(d)(2) of the Trade Act of 1974 (19 U.S.C. 2242(d)(2)) is amended by inserting “ , trade secrets,” after “ copyrights”.
(b)
Special Rules for Countries on the Priority Watch List of the United States Trade Representative.—
(1)
In general.— Section 182 of the Trade Act of 1974 (19 U.S.C. 2242) is amended by striking subsection (g) and inserting the following:

“(g) Special Rules for Foreign Countries on the Priority Watch List.—

“(1) Action plans.—

“(A) In general.—Not later than 90 days after the date on which the Trade Representative submits the National Trade Estimate under section 181(b), the Trade Representative shall develop an action plan described in subparagraph (C) with respect to each foreign country described in subparagraph (B).

“(B) Foreign country described.—The Trade Representative shall develop an action plan under subparagraph (A) with respect to each foreign country that—

“(i) the Trade Representative has identified for placement on the priority watch list; and

“(ii) has remained on such list for at least one year.

“(C) Action plan described.—An action plan developed under subparagraph (A) shall contain the benchmarks described in subparagraph (D) and be designed to assist the foreign country—

“(i) to achieve—

“(I) adequate and effective protection of intellectual property rights; and

“(II) fair and equitable market access for United States persons that rely upon intellectual property protection; or

“(ii) to make significant progress toward achieving the goals described in clause (i).

“(D) Benchmarks described.—The benchmarks contained in an action plan developed pursuant to subparagraph (A) are such legislative, institutional, enforcement, or other actions as the Trade Representative determines to be necessary for the foreign country to achieve the goals described in clause (i) or (ii) of subparagraph (C).

“(2) Failure to meet action plan benchmarks.—If, as of one year after the date on which an action plan is developed under paragraph (1)(A), the President, in consultation with the Trade Representative, determines that the foreign country to which the action plan applies has not substantially complied with the benchmarks described in paragraph (1)(D), the President may take appropriate action with respect to the foreign country.

“(3) Priority watch list defined.—In this subsection, the term ‘priority watch list’ means the priority watch list established by the Trade Representative pursuant to subsection (a).

“(h) Annual Report.—Not later than 30 days after the date on which the Trade Representative submits the National Trade Estimate under section 181(b), the Trade Representative shall submit to the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate a report on actions taken under this section during the 12 months preceding such report, and the reasons for such actions, including—

“(1) a list of any foreign countries identified under subsection (a);

“(2) a description of progress made in achieving improved intellectual property protection and market access for persons relying on intellectual property rights; and

“(3) a description of the action plans developed under subsection (g) and any actions taken by foreign countries under such plans.”

(2)
Funding.—
(A)
In general.— Amounts from the Trade Enforcement Trust Fund established under section 611 may be expended by the United States Trade Representative, only as provided by appropriations Acts, to provide assistance to any developing country to which an action plan applies under section 182(g) of the Trade Act of 1974, as amended by paragraph (1), to facilitate the efforts of the developing country to comply with the benchmarks contained in the action plan. Such assistance may include capacity building, activities designed to increase awareness of intellectual property rights, and training for officials responsible for enforcing intellectual property rights in the developing country.
(B)
Developing country defined.— In this paragraph, the term “developing country” means a country classified by the World Bank as having a low-income or lower-middle-income economy.
(3)
Rule of construction.— Nothing in this subsection or the amendment made by this subsection shall be construed as limiting the authority of the President or the United States Trade Representative to develop action plans other than action plans described in section 182(g) of the Trade Act of 1974, as amended by paragraph (1), or to take any action otherwise authorized by law in response to the failure of a foreign country to provide adequate and effective protection and enforcement of intellectual property rights.

SEC. 611. Trade Enforcement Trust Fund.

(a)
Establishment.— There is established in the Treasury of the United States a trust fund to be known as the Trade Enforcement Trust Fund (in this section referred to as the “Trust Fund”), consisting of amounts transferred to the Trust Fund under subsection (b) and any amounts that may be credited to the Trust Fund under subsection (c).
(b)
Transfer of Amounts.—
(1)
In general.— The Secretary of the Treasury shall transfer to the Trust Fund, from the general fund of the Treasury, for each fiscal year that begins on or after the date of the enactment of this Act through fiscal year 2026, an amount equal to $15,000,000 (or a lesser amount as required pursuant to paragraph (2)).
(2)
Limitation.— The total amount in the Trust Fund at any time may not exceed $30,000,000.
(3)
Frequency of transfers.— The Secretary shall transfer amounts required to be transferred to the Trust Fund under paragraph (1) not less frequently than quarterly from the general fund of the Treasury to the Trust Fund in a manner that ensures that the total amount in the Trust Fund at the end of the quarter does not exceed the limitation established under paragraph (2).
(c)
Investment of Amounts.—
(1)
Investment of amounts.— The Secretary shall invest such portion of the Trust Fund as is not required to meet current withdrawals in interest-bearing obligations of the United States or in obligations guaranteed as to both principal and interest by the United States.
(2)
Interest and proceeds.— The interest on, and the proceeds from the sale or redemption of, any obligations held in the Trust Fund shall be credited to and form a part of the Trust Fund.
(d)
Availability of Amounts From Trust Fund.—
(1)
In general.— The United States Trade Representative shall, on the basis of the advice of the Trade Policy Committee and relevant subordinate bodies of the TPC, use or transfer for the use by Federal agencies represented on the TPC amounts in the Trust Fund, only as provided by appropriations Acts, for making expenditures for any of the following:
(A)
To seek to enforce the provisions of and commitments and obligations under the WTO Agreements and free trade agreements to which the United States is a party and resolve any actions by foreign countries that are inconsistent with those provisions, commitments, and obligations.
(B)
To monitor and ensure the full implementation by foreign countries of the provisions of and commitments and obligations under free trade agreements to which the United States is a party for purposes of systematically assessing, identifying, investigating, or initiating steps to address inconsistencies with those provisions, commitments, and obligations.
(C)
To thoroughly investigate and respond to petitions under section 302 of the Trade Act of 1974 (19 U.S.C. 2412) requesting that action be taken under section 301 of such Act (19 U.S.C. 2411).
(D)
To support capacity-building efforts undertaken by the United States pursuant to any free trade agreement to which the United States is a party and to prioritize and give special attention to the timely, consistent, and robust implementation of the commitments and obligations of a party to that free trade agreement, including commitments and obligations related to trade in goods, trade in services, trade in agriculture, foreign investment, intellectual property, digital trade in goods and services and cross-border data flows, regulatory practices, state-owned and state-controlled enterprises, localization barriers to trade, labor and the environment, currency, foreign currency manipulation, anticorruption, trade remedy laws, textiles, and commercial partnerships.
(E)
To support capacity-building efforts undertaken by the United States pursuant to any such free trade agreement and to include performance indicators against which the progress and obstacles for the implementation of commitments and obligations can be identified and assessed within a meaningful time frame.
(2)
Limitation.— Amounts made available in the Trust Fund may not be used to offset costs of conducting negotiations for any free trade agreement to be entered into on or after the date of the enactment of this Act, but may be used to support implementation and capacity building prior to entry into force of a free trade agreement.
(e)
Report.— Not later than 18 months after the entry into force of any free trade agreement entered into after the date of the enactment of this Act, the United States Trade Representative, in consultation with the Federal agencies represented on the TPC, shall submit to Congress a report on the actions taken under subsection (d) in connection with that agreement.
(f)
Comptroller General Study.—
(1)
In general.— The Comptroller General of the United States shall conduct a study that includes the following:
(A)
A comprehensive analysis of the trade enforcement expenditures of each Federal agency with responsibilities relating to trade that specifies, with respect to each such Federal agency—
(i)
the amounts appropriated for trade enforcement; and
(ii)
the number of full-time employees carrying out activities relating to trade enforcement.
(B)
Recommendations on the additional employees and resources that each such Federal agency may need to effectively enforce the free trade agreements to which the United States is a party.
(2)
Report.— Not later than one year after the date of the enactment of this Act, the Comptroller General shall submit to Congress a report on the results of the study conducted under paragraph (1).
(g)
Definitions.— In this section:
(1)
Trade policy committee; tpc.— The terms “Trade Policy Committee” and “TPC” mean the interagency organization established under section 242 of the Trade Expansion Act of 1962 (19 U.S.C. 1872).
(2)
WTO.— The term “WTO” means the World Trade Organization.
(3)
WTO agreement.— The term “WTO Agreement” has the meaning given that term in section 2(9) of the Uruguay Round Agreements Act (19 U.S.C. 3501(9)).
(4)
WTO agreements.— The term “WTO Agreements” means the WTO Agreement and agreements annexed to that Agreement.