(II) an amount (expressed in gallons) equal to 7 percent of the United States domestic market for ethyl alcohol, as determined by the United States International Trade Commission, during the 12-month period ending on the preceding September 30; that is first entered during that calendar year.

(ii) The term "local feedstock" means hydrous ethyl alcohol which is wholly produced or manufactured in any insular possession or beneficiary country.

(iii) The term “local feedstock requirement" means the minimum percent, by volume, of local feedstock that must be included in dehydrated alcohol and mixtures.

(4) The term "beneficiary country" has the meaning given to such term under section 212 of the Caribbean Basin Economic Recovery Act [19 U.S.C. 2702]. (5) The term "United States person" has the meaning given to such term by section 7701(a)(3) of the Internal Revenue Code of 1986.

(6) The term "entered" means entered, or withdrawn from warehouse, for consumption in the customs territory of the United States.

(d) AMENDMENT TO APPENDIX TO SCHEDULES.-[Former item 901.50 of the Appendix to the Tariff Schedules of the United States is currently heading 9901.00.50 of the HTS, which reads as follows: "Ethyl alcohol (provided for in subheadings 2207.10.60 and 2207.20) or any mixture containing such ethyl alcohol (provided for in heading 2710 or 3824) if such ethyl alcohol or mixture is to be used as a fuel or in producing a mixture of gasoline and alcohol, a mixture of a special fuel and alcohol, or any other mixture to be used as fuel (including motor fuel provided for in subheading 2710.11.15, 2710.19.15 or 2710.19.21), or is suitable for any such uses.]

(e) DRAWBACKS.

(1) For purposes of subsections (b) and (j)(2) of section 313 of the Tariff Act of 1930 [19 U.S.C. 1313], as amended by section 1888(2) of this Act, any ethyl alcohol [currently provided for in subheadings 2207.10.60 and 2207.20 of the HTS] or mixture containing such ethyl alcohol [currently provided for in heading 2710 or 3824 of the HTS] which is subject to the additional duty imposed by [heading 9901.00.50 of the HTS] may be treated as being fungible with, or of being of the same kind and quality as, any other imported ethyl alcohol [currently provided for in subheadings 2207.10.60 and 2207.20 of the HTS] or mixture containing such ethyl alcohol [heading 2710 or 3824 of the HTS] only if such other imported ethyl alcohol or mixture thereof is also subject to such additional duty.

(2) Paragraph (1) shall not apply with respect to ethyl alcohol [currently provided for in subheadings 2207.10.60 and 2207.20 of the HTS] or mixture containing such ethyl alcohol [currently provided for in heading 2710 or 3824 of the HTS] that is exempt from the additional duty imposed by [heading 9901.00.50 of the HTS] by reason of—

(A) subsection (b), or

(B) any agreement entered into under section 102(b) of the Trade Act of 1974.

(f) CONFORMING AMENDMENTS. [Omitted]

(g) EFFECTIVE PERIOD.—

(1) The provisions of, and the amendments made by, this section (other than subsection (e)) shall apply to articles entered

(A) after December 31, 1986, and

(B) before the expiration of the effective period of [heading 9901.00.50 of the HTS; currently 10/01/2007].

(2) The provisions of subsection (e) shall take effect on the date of the enactment of this Act.

General Note 7(a) of the Harmonized Tariff Schedule

Products of Countries Designated as Beneficiary Countries for Purposes of the Caribbean Basin Economic Recovery Act (CBERA).

(a) The following countries and territories or successor political entities are designated beneficiary countries for the purposes of the CBERA, pursuant to section 212 of that Act (19 U.S.C. 2702):

Antigua and Barbuda

Aruba

Bahamas, The

Barbados

Belize

Costa Rica

Dominica

Dominican Republic

El Salvador

Grenada

Guatemala

Guyana

Haiti

Honduras

Jamaica

Montserrat

Netherlands Antilles

Nicaragua

Panama

Saint Kitts and Nevis

Saint Lucia

Saint Vincent and the Grenadines

Trinidad and Tobago

Virgin Islands, British

General note 17(a) of the Harmonized Tariff Schedule

Products of Countries Designated as Beneficiary Countries under the United States-Caribbean Basin Trade Partnership Act (CBTPA).

(a) The Caribbean Basin countries that will be enumerated in this note in a Federal Register notice by the United States Trade Representative, having previously been designated by the President pursuant to section 211 of the CBTPA, shall be treated as beneficiary countries for purposes of this note on and after the effective date announced in such notice. The following countries have been determined by the USTR to have satisfied the customs requirements of the CBTPA and, therefore, to be afforded the tariff treatment provided for in this note:

Barbados

Belize

Costa Rica

Dominican Republic

El Salvador

Guatemala

Guyana

Haiti

Honduras

Jamaica

Nicaragua

Panama

Saint Lucia

Trinidad and Tobago

E. ANDEAN INITIATIVE

Andean Trade Preference Act, as amended

[19 U.S.C. 3201-3202; Public Law 102-182, title II, as amended by Public Law 102-583, Public Law 103-465, and Public Law 104-188, and Public Law 106-200, and Public Law 107-210, and Public Law 108-429]

SEC. 201. SHORT TITLE.

This title may be cited as the "Andean Trade Preference Act".

SEC. 202. AUTHORITY TO GRANT DUTY-FREE TREATMENT.

The President may proclaim duty-free treatment (or other preferential treatment) for all eligible articles from any beneficiary country in accordance with the provisions of this title.

SEC. 203. BENEFICIARY COUNTRY.

(a) DEFINITIONS.-For purposes of this title

(1) The term "beneficiary country" means any country listed in subsection (b)(1) with respect to which there is in effect a proclamation by the President designating such country as a beneficiary country for purposes of this title. (2) The term "entered" means entered, or withdrawn from warehouse for consumption, in the customs territory of the United States.

(3) The term "HTS" means Harmonized Tariff Schedule of the United States. (b) COUNTRIES Eligible for DESIGNATION; CONGRESSIONAL NOTIFICATION.— (1) In designating countries as beneficiary countries under this title, the President shall consider only the following countries or successor political entities:

Bolivia
Ecuador
Colombia
Peru.

(2) Before the President designates any country as a beneficiary country for purposes of this title, he shall notify the House of Representatives and the Senate of his intention to make such designation, together with the considerations entering into such decision.

(c) LIMITATIONS ON DESIGNATION.-The President shall not designate any country a beneficiary country under this title

(1) if such country is a Communist country;

(2) if such country

(A) has nationalized, expropriated or otherwise seized ownership or control of property owned by a U.S. citizen or by a corporation, partnership, or association which is 50 percent or more beneficially owned by U.S. citizens,

(B) has taken steps to repudiate or nullify—

(i) any existing contract or agreement with, or

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

a U.S. citizen or a corporation, partnership, or association, which is 50 percent or more beneficially owned by U.S. citizens, the effect of which is to nationalize, expropriate, or otherwise seize ownership or control of property so owned, or

(C) has imposed or enforced taxes or other exactions, restrictive maintenance or operational conditions, or other measures with respect to property so owned, the effect of which is to nationalize, expropriate, or otherwise seize ownership or control of such property, unless the President determines that

(i) prompt, adequate, and effective compensation has been or is being made to such citizen, corporation, partnership, or association, (ii) good-faith negotiations to provide prompt, adequate, and effective compensation under the applicable provisions of international law are in progress, or such country is otherwise taking steps to discharge its obligations under international law with respect to such citizen, corporation, partnership, or association, or

(iii) a dispute involving such citizen, corporation, partnership, or association, over compensation for such a seizure has been submitted to arbitration under the provisions of the Convention for the Settlement of Investment Disputes, or in another mutually agreed upon forum, and

promptly furnishes a copy of such determination to the Senate and House of Representatives;

(3) if such country fails to act in good faith in recognizing as binding or in enforcing arbitral awards in favor of U.S. citizens or a corporation, partnership, or association which is 50 percent or more beneficially owned by U.S. citizens, which have been made by arbitrators appointed for each case or by permanent arbitral bodies to which the parties involved have submitted their dispute;

(4) if such country affords preferential treatment to the products of a developed country, other than the United States, and if such preferential treatment has, or is likely to have, a significant adverse effect on U.S. commerce, unless the President

(A) has received assurances satisfactory to him that such preferential treatment will be eliminated or that action will be taken to assure that there will be no such significant adverse effect, and

(B) reports those assurances to the Congress;

(5) if a government-owned entity in such country engages in the broadcast of copyrighted material, including films or television material, belonging to U.S. copyright owners without their express consent or such country fails to work towards the provision of adequate and effective protection of intellectual property rights;