---
kind: "section"
citation: "7 U.S.C. § 5677"
title: "7"
title_heading: "Agriculture"
number: "5677"
heading: "Trade compensation and assistance programs"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/7/5677"
units:
  - "Chapter 87 — Export Promotion"
  - "Subchapter IV — General Provisions"
  - "Part B — Miscellaneous Provisions"
---

# §5677. Trade compensation and assistance programs

- (a) **In general—** Except as provided in [subsection (f)](#f), notwithstanding any other provision of law, if, after April 4, 1996, the President or any other member of the executive branch causes exports from the [United States](/usc/7/5602.md?p=6) to any country to be unilaterally suspended for reasons of national [security](/usc/7/24.md?p=b) or foreign policy, and if within 90 days after the date on which the suspension is imposed on [United States](/usc/7/5602.md?p=6) exports no other country with an agricultural economic interest agrees to participate in the suspension, the [Secretary](/usc/7/5602.md?p=3) shall carry out a trade compensation assistance program in accordance with this section (referred to in this section as a “program”).
- (b) **Compensation or provision of funds—** Under a program, the [Secretary](/usc/7/5602.md?p=3) shall, based on an evaluation by the [Secretary](/usc/7/5602.md?p=3) of the method most likely to produce the greatest compensatory benefit for producers of the commodity involved in the suspension—
  - (1) compensate producers of the commodity by making payments available to producers, as provided by [subsection (c)(1)](#c-1); or
  - (2) make available an amount of funds calculated under [subsection (c)(2)](#c-2), to promote agricultural exports or provide [agricultural commodities](/usc/7/5602.md?p=1) to [developing countries](/usc/7/5602.md?p=2) under any authorities available to the [Secretary](/usc/7/5602.md?p=3).
- (c) **Determination of amount of compensation or funds—**
  - (1) **Compensation—** If the [Secretary](/usc/7/5602.md?p=3) makes payments available to producers under [subsection (b)(1)](#b-1), the amount of the payment shall be determined by the [Secretary](/usc/7/5602.md?p=3) based on the [Secretary](/usc/7/5602.md?p=3)’s estimate of the loss suffered by producers of the commodity involved due to any decrease in the price of the commodity as a result of the suspension.
  - (2) **Determination of amount of funds—** For each fiscal year of a program, the amount of funds made available under [subsection (b)(2)](#b-2) shall be equal to 90 percent of the average annual value of [United States](/usc/7/5602.md?p=6) agricultural exports to the country with respect to which exports are suspended during the most recent 3 years prior to the suspension for which data are available.
- (d) **Duration of program—** For each suspension of exports for which a program is implemented under this section, funds shall be made available under [subsection (b)](#b) for each fiscal year or part of a fiscal year for which the suspension is in effect, but not to exceed 3 fiscal years.
- (e) **Commodity Credit Corporation—** The [Secretary](/usc/7/5602.md?p=3) shall use funds of the Commodity Credit Corporation to carry out this section.
- (f) **Exception to carrying out program—** This section shall not apply to any suspension of trade due to a war or armed hostility.
- (g) **Partial year embargoes—** If the [Secretary](/usc/7/5602.md?p=3) makes funds available under [subsection (b)(2)](#b-2), regardless of whether an embargo is in effect for only part of a fiscal year, the full amount of funds as calculated under [subsection (c)(2)](#c-2) shall be made available under a program for the fiscal year. If the [Secretary](/usc/7/5602.md?p=3) determines that making the required amount of funds available in a partial fiscal year is impracticable, the [Secretary](/usc/7/5602.md?p=3) may make all or part of the funds required to be made available in the following fiscal year (in addition to any funds otherwise required under a program to be made available in the following fiscal year).
- (h) **Short supply embargoes—** If the President or any other member of the executive branch causes exports to be suspended based on a determination of short supply, the [Secretary](/usc/7/5602.md?p=3) shall carry out [section 1310 of this title](/usc/7/1310.md).

## Source credit

(Pub. L. 95–501, title IV, § 417, as added Pub. L. 104–127, title II, § 249, Apr. 4, 1996, 110 Stat. 969.)
