the products or services of the foreign country or instrumentality involved.

Subsec. (b)(1). Pub. L. 98-573, § 304(b)(1), struck out "and" at end.

Subsec. (b)(2). Pub. L. 98-573, § 304(b)(2), (3), inserted", notwithstanding any other provision of law," and substituted "goods" for "products".

Subsecs. (c), (d). Pub. L. 98-573, § 304(c), added subsec. (c) and redesignated existing subsecs. (c) and (d) as (d) and (e), respectively.

Subsec. (e). Pub. L. 98-573, § 304(c), (f), redesignated subsec. (d) as (e), inserted "For purposes of this section-" before par. (1), in par. (1) substituted provisions defining "commerce" as including, but not limited to services (including transfers of information) associated with international trade, whether or not such services are related to specific goods, and foreign direct investment by United States persons with implications for trade in goods or services for provision defining "commerce" as including, but not limited to, services associated with international trade, whether or not such services are related to specific products, and added pars. (3) to (6).

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 2112, 2171, 2241, 2412, 2414, 2416, 2554, 2581 of this title; title 7 sections 1736i, 1736m, 1736s.

§ 2412. Initiation of investigations by United States Trade Representative

(a) Filing of petition

(1) In general

Any interested person may file a petition with the United States Trade Representative (hereinafter in this subchapter referred to as the "Trade Representative") requesting the President to take action under section 2411 of this title and setting forth the allegations in support of the request.

(2) Review of allegations

The Trade Representative shall review the allegations in the petition and, not later than forty-five days after the date on which he received the petition, shall determine whether to initiate an investigation.

(b) Determinations regarding petitions (1) Negative determination

If the Trade Representative determines not to initiate an investigation with respect to a petition, he shall inform the petitioner of the reasons therefor and shall publish notice of the determination, together with a summary of such reasons, in the Federal Register. (2) Affirmative determination

If the Trade Representative determines to initiate an investigation with respect to a petition, he shall initiate an investigation regarding the issues raised. The Trade Representative shall publish a summary of the petition in the Federal Register and shall, as soon as possible, provide opportunity for the presentation of views concerning the issues, including a public hearing

(A) within the thirty-day period after the date of the determination (or on a date after such period if agreed to by the petitioner) if a public hearing within such period is requested in the petition; or

(B) at such other time if a timely request therefor is made by the petitioner or by any interested person.

(c) Determination to initiate by motion of trade representative

(1) Determination to initiate

If the Trade Representative determines with respect to any matter that an investigation should be initiated in order to advise the President concerning the exercise of the President's authority under section 2411 of this title, the Trade Representative shall publish such determination in the Federal Register and such determination shall be treated as an affirmative determination under subsection (b)(2) of this section.

(2) Consultation before initiation

The Trade Representative shall, before making any determination under paragraph (1), consult with appropriate committees established pursuant to section 2155 of this title.

(Pub. L. 93-618, title III, § 302, as added Pub. L. 96-39, title IX, § 901, July 26, 1979, 93 Stat. 296, and amended Pub. L. 98-573, title III, § 304(d)(1), Oct. 30, 1984, 98 Stat. 3003.)

AMENDMENTS

1984-Pub. L. 98-573 amended section generally, substituting "United States Trade Representative" and "Trade Representative" for "Special Representative for Trade Negotiations" and "Special Representative", respectively, substituting "the reasons" for "his reasons" in subsec. (b)(1), substituting “a summary" for "the text" in subsec. (b)(2), striking out the comma after "petitioner)" in subsec. (b)(2)(A), and inserting "or by any interested person" after "petitioner" in subsec. (b)(2)(B).

§ 2413. Consultation upon initiation of investigation (a) In general

On the date an affirmative determination is made under section 2412(b) of this title, the Trade Representative, on behalf of the United States, shall request consultations with the foreign country or instrumentality concerned regarding issues raised in the petition or the determination of the Trade Representative under section 2412(c)(1) of this title. If the case involves a trade agreement and a mutually acceptable resolution is not reached during the consultation period, if any, specified in the trade agreement, the Trade Representative shall promptly request proceedings on the matter under the formal dispute settlement procedures provided under such agreement. The Trade Representative shall seek information and advice from the petitioner (if any) and the appropriate representatives provided for under section 2155 of this title in preparing United States presentations for consultations and dispute settlement proceedings.

(b) Delay of request for consultations for up to 90 days

(1) In general

Notwithstanding the provisions of subsection (a) of this section

(A) the United States Trade Representative may delay for up to 90 days any request for consultations under subsection (a) of this section for the purpose of verifying or

1984-Subsec. (a). Pub. L. 98-573, §§ 304(d)(2)(B), (e)(1), 306(c)(2)(C)(ii), designated existing provisions as subsec. (a), struck out "with respect to a petition" after "section 2412(b) of this title", inserted "or the determination of the Trade Representative under section 2412(c)(1) of this title" after "in the petition", and "(if any)" after "petitioner", and struck out "private sector" after "appropriate".

Subsec. (b). Pub. L. 98-573, § 304(e)(2), added subsec. (b).

CHANGE OF NAME

"Trade Representative", meaning United States Trade Representative, was substituted in subsec. (a) preceding ", on behalf of" and "shall seek information" for "Special Representative", meaning Special Representative for Trade Negotiations, pursuant to Reorg. Plan No. 3 of 1979, § 1(b)(1), 44 F.R. 69273, 93 Stat. 1381, eff. Jan. 2, 1980, as provided by section 1-107(a) of Ex. Ord. No. 12188, Jan. 2, 1980, 45 F.R. 993, set out as notes under section 2171 of this title. See, also, section 2171 of this title as amended by Pub. L. 97-456.

§ 2414. Recommendations by Trade Representative (a) Recommendations

(1) In general

On the basis of the investigation under section 2412 of this title, and the consultations (and the proceedings, if applicable) under section 2413 of this title, and subject to subsection (b) of this section, the Trade Representative shall recommend to the President what action, if any, he should take under section 2411 of this title with respect to the matters under investigation. The Trade Representative shall make that recommendation not later than

[See main edition for text of (A) to (D), (2) and (3)]

(b) Consultation before recommendation

Before recommending that the President take action under section 2411 of this title with respect to the treatment of any product or service of a foreign country or instrumentality which is the subject of a petition filed under section 2412 of this title, the Trade Representative, unless he determines that expeditious action is required

[See main edition for text of (1)]

(2) shall obtain advice from the appropriate advisory representatives provided for under section 2155 of this title, and

[See main edition for text of (3)]

If the Trade Representative does not comply with paragraphs (1) and (2) because expeditious action is required, he shall, after making the recommendation concerned to the President, comply with such paragraphs.

(As amended Pub. L. 98-573, title III, §§ 304(d)(2)(C), 306(c)(2)(C)(ii), Oct. 30, 1984, 98 Stat. 3005, 3012.)

AMENDMENTS

1984-Subsec. (a)(1). Pub. L. 98-573, § 304(d)(2)(C), substituted "matters under investigation" for "issues raised in the petition" in first sentence.

Subsec. (b)(2). Pub. L. 98-573, § 306(c)(2)(C)(ii), struck out "private sector" after "appropriate”.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 2411, 2413 of this title.

§ 2415. Requests for information

[See main edition for text of (a) and (b)] (c) Certain business information not made available (1) In general

Except as provided in paragraph (2), and notwithstanding any other provision of law (including section 552 of title 5), no information requested and received by the Trade Representative in aid of any investigation under this subchapter shall be made available to any person if—

(A) the person providing such information certifies that—

(i) such information is business confidential,

(ii) the disclosure of such information would endanger trade secrets or profitability, and

(iii) such information is not generally available;

(B) the Trade Representative determines that such certification is well-founded; and (C) to the extent required in regulations prescribed by the Trade Representative, the person providing such information provides an adequate nonconfidential summary of such information.

(2) Use of information

The Trade Representative may

(A) use such information, or make such information available (in his own discretion) to any employee of the Federal Government for use, in any investigation under this subchapter, or

(B) may make such information available to any other person in a form which cannot be associated with, or otherwise identify, the person providing the information. (As amended Pub. L. 98-573, title III, § 304(g), Oct. 30, 1984, 98 Stat. 3006.)

AMENDMENTS

1984-Subsec. (c). Pub. L. 98-573 added subsec. (c).

§ 2416. Administration

SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 2413 of this title.

SUBCHAPTER IV-TRADE RELATIONS WITH COUNTRIES NOT CURRENTLY RECEIVING NONDISCRIMINATORY

TREATMENT

§ 2432. Freedom of emigration in East-West trade

CONTINUATION OF WAIVER FOR SOCIALIST REPUBLIC OF ROMANIA, HUNGARIAN PEOPLE'S REPUBLIC, AND PEOPLE'S REPUBLIC OF CHINA

Determination of the President of the United States, No. 84-9, May 31, 1984, 49 F.R. 24107, provided:

Pursuant to the authority vested in me under the Trade Act of 1974 (Public Law 93-618), January 3, 1975 (88 Stat. 1978) (hereinafter "the Act") [this chapter], I determined, pursuant to subsection 402(d)(5) of the Act [subsec. (d)(5) of this section], that the further extension of the waiver authority granted by subsection 402(c) of the Act [subsec. (c) of this section] will substantially promote the objectives of section 402 of the Act [this section]. I further determine that the continuation of the waivers applicable to the Hungarian People's Republic, the People's Republic of China and the Socialist Republic of Romania will substantially promote the objectives of section 402 of the Act. This determination shall be published in the Federal Register.

RONALD REAGAN.

Determination of the President of the United States, No. 86-10, June 3, 1986, 51 F.R. 22057, provided:

Pursuant to the authority vested in me under the Trade Act of 1974 (Public Law 93-618), January 3, 1975 (88 Stat. 1978) (hereinafter "the Act") [this chapter], I determine, pursuant to subsection 402(d)(5) of the Act [subsec. (d)(5) of this section], that the further extension of the waiver authority granted by subsection 402(c) of the Act [subsec. (c) of this section] will substantially promote the objectives of Section 402 of the Act. I further determine that the continuation of the waivers applicable to the Socialist Republic of Romania, the Hungarian People's Republic, and the People's Republic of China will substantially promote the objectives of Section 402 of the Act.

This determination shall be published in the Federal Register.

RONALD REAGAN.

Determination of the President of the United States, No. 87-14, June 2, 1987, 52 F.R. 22431, provided:

Pursuant to the authority vested in me under the Trade Act of 1974 (Public Law 93-618), January 3, 1975 (88 Stat. 1978) (hereinafter "the Act") [this chapter], I determine, pursuant to subsection 402(d)(5) of the Act [subsec. (d)(5) of this section], that the further extension of the waiver authority granted by subsection 402(c) of the Act [subsec. (c) of this section] will substantially promote the objectives of section 402 of the Act. I further determine that the continuation of the waivers applicable to the Socialist Republic of Romania, the Hungarian People's Republic, and the People's Republic of China will substantially promote the objectives of section 402 of the Act.

This determination shall be published in the Federal Register.

RONALD REAGAN.

§ 2434. Extension of nondiscriminatory treatment AUTHORITY OF PRESIDENT TO DENY NONDISCRIMINATORY TRADE TREATMENT TO PRODUCTS OF AFGHANISTAN OR TO DENY CREDITS, ETC., TO AFGHANISTAN Pub. L. 99-190, § 118, Dec. 19, 1985, 99 Stat. 1319, provided that:

"(a) Notwithstanding any other provision of law, the President is authorized

"(1) to deny nondiscriminatory (most-favorednation) trade treatment to the products of Afghanistan and thereby cause such products to be subject to the rate of duty set forth in column number 2 of the Tariff Schedules of the United States, and

"(2) to deny credit, credit guarantees, and investment guarantees to, or for the benefit of, Afghanistan under any Federal program.

"(b) If the President has not denied nondiscriminatory trade treatment to the products of Afghanistan before the date that is 45 days after the date of enactment of this joint resolution [Dec. 19, 1985], the President shall submit to the Congress on such date a report which states the reasons why the President has not denied such treatment.

"(c) Notwithstanding any other provision of law, if the President takes any action under subsection (a), the President is authorized to

"(1) restore nondiscriminatory trade treatment to the products of Afghanistan, and

"(2) extend credit, credit guarantees, and investment guarantees to, or for the benefit of, Afghanistan under any Federal program.

only if the President provides written notice of such restoration or extension to the Congress at least 30 days prior to the date on which such restoration or extension takes effect.

"(d) For purposes of this joint resolution, the term "product of Afghanistan" means any article which is grown, produced, or manufactured (in whole or in part) in Afghanistan."

[Similar provisions were contained in Pub. L. 99-190, § 101(i) [title V, § 552], Dec. 19, 1985, 99 Stat. 1291, 1314.]

FINDING FOR RENEWAL OF TRADE AGREEMENT WITH
HUNGARY

Determination of the President of the United States, No. 87-15, June 23, 1987, 52 F.R. 23785, provided:

Pursuant to my authority under subsection 405(b)(1) of the Trade Act of 1974 (19 U.S.C. 2435(b)(1)), I find that a satisfactory balance of concessions in trade and services has been maintained during the life of the Agreement on Trade Relations between the United States of America and the Hungarian People's Republic. I further determine that actual or foreseeable reductions in United States tariffs and non-tariff trade barriers resulting from multilateral negotiations are satisfactorily reciprocated by the Hungarian People's Republic.

These findings and determinations shall be published in the Federal Register.

RONALD REAGAN.

FINDING FOR RENEWAL OF TRADE AGREEMENTS WITH ROMANIA

Determination of the President of the United States, No. 87-16, June 24, 1987, 52 F.R. 23931, provided:

Pursuant to my authority under subsection 405(b)(1) of the Trade Act of 1974 (19 U.S.C. 2435(b)(1)), I find that a satisfactory balance of concessions in trade and services has been maintained during the life of the Agreement on Trade Relations between the United States of America and the Socialist Republic of Romania. I further determine that actual or foreseeable reductions in United States tariffs and non-tariff trade barriers resulting from multilateral negotiations are satisfactorily reciprocated by the Socialist Republic of Romania.

These findings and determinations shall be published in the Federal Register.

RONALD REAGAN.

§ 2441. East-West Foreign Trade Board

Ex. ORD. No. 12469. DELEGATION OF FUNCTIONS Ex. Ord. No. 12469, Mar. 26, 1984, 49 F.R. 11799, provided:

By the authority vested in me as President by the Constitution and the statutes of the United States of America, including section 301 of Title 3 of the United States Code (3 U.S.C. 301), and section 411(c) of the Trade Act of 1974 (19 U.S.C. 2441(c)), in order to provide for more efficient reporting to the Congress, it is hereby ordered as follows:

SECTION 1. The reporting functions of the East-West Foreign Trade Board under section 411(c) of the Trade Act of 1974 (19 U.S.C. 2441(c)), as transferred to the President by section 5(c) of Reorganization Plan No. 3 of 1979 (19 U.S.C. 2717 note), are delegated to the United States Trade Representative.

SEC. 2. This order is effective upon publication in the Federal Register.

RONALD REAGAN.

SUBCHAPTER V-GENERALIZED SYSTEM OF PREFERENCES

SUBCHAPTER REFERRED TO IN OTHER SECTIONS This subchapter is referred to in sections 2253, 2703 of this title; title 22 section 290k-3.

§ 2461. Authority to extend preferences

The President may provide duty-free treatment for any eligible article from any beneficiary developing country in accordance with the provisions of this subchapter. In taking any such action, the President shall have due regard for

(1) the effect such action will have on furthering the economic development of developing countries through the expansion of their exports;

(2) the extent to which other major developed countries are undertaking a comparable effort to assist developing countries by granting generalized preferences with respect to imports of products of such countries;

(3) the anticipated impact of such action on United States producers of like or directly competitive products; and

(4) the extent of the beneficiary developing country's competitiveness with respect to eligible articles.

(As amended Pub. L. 98-573, title V, § 502, Oct. 30, 1984, 98 Stat. 3018.)

AMENDMENTS

1984-Par. (1). Pub. L. 98-573, § 502(1), inserted "through the expansion of their exports". Par. (4). Pub. L. 98-573, § 502(2)–(4), added par. (4).

EFFECTIVE DATE OF 1984 AMENDMENT

Section 508 of Pub. L. 98-573 provided that: "The amendments made by this title [enacting section 2466 of this title, amending sections 2461 to 2465 of this title, and enacting provisions set out as notes under sections 2101 and 2461 of this title] shall take effect on January 4, 1985."

STATEMENT OF Purpose of 1984 AMENDMENT Section 501(b) of Pub. L. 98-573 provided that: "The purpose of this title [enacting section 2466 of this

title, amending sections 2461 to 2465 of this title, and enacting provisions set out as notes under sections 2101 and 2461 of this title] is to

"(1) promote the development of developing countries, which often need temporary preferential advantages to compete effectively with industrialized countries;

"(2) promote the notion that trade, rather than aid, is a more effective and cost-efficient way of promoting broad-based sustained economic development;

"(3) take advantage of the fact that developing countries provide the fastest growing markets for United States exports and that foreign exchange earnings from trade with such countries through the Generalized System of Preferences can further stimulate United States exports;

"(4) allow for the consideration of the fact that there are significant differences among developing countries with respect to their general development and international competitiveness;

“(5) encourage the providing of increased trade liberalization measures, thereby setting an example to be emulated by other industrialized countries;

"(6) recognize that a large number of developing countries must generate sufficient foreign exchange earnings to meet international debt obligations;

"(7) promote the creation of additional opportunities for trade among the developing countries;

"(8) integrate developing countries into the international trading system with its attendant responsibilities in a manner commensurate with their development;

"(9) encourage developing countries

"(A) to eliminate or reduce significant barriers to trade in goods and services and to investment,

"(B) to provide effective means under which foreign nationals may secure, exercise, and enforce exclusive intellectual property rights, and

"(C) to afford workers internationally recognized worker rights; and

"(10) address the concerns listed in the preceding paragraphs in a manner that

"(A) does not adversely affect United States producers and workers, and

"(B) conforms to the international obligations of the United States under the General Agreement on Tariffs and Trade."

§ 2462. Beneficiary developing countries

(a) Designation by President

(1) For purposes of this subchapter, the term "beneficiary developing country" means any country with respect to which there is in effect an Executive order or Presidential proclamation by the President of the United States designating such country as a beneficiary developing country for purposes of this subchapter. Before the President designates any country as a beneficiary developing country for purposes of this subchapter, 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.

(2) If the President has designated any country as a beneficiary developing country for purposes of this subchapter, he shall not terminate such designation (either by issuing an Executive order or Presidential proclamation for that purpose or by issuing an Executive order or Presidential proclamation which has the effect of terminating such designation) unless, at least 60 days before such termination, he has notified the House of Representatives and the Senate and has notified such country of his in

tention to terminate such designation, together with the considerations entering into such decision.

(3) For purposes of this subchapter, the term "country" means any foreign country, any overseas dependent territory or possession of a foreign country, or the Trust Territory of the Pacific Islands. In the case of an association of countries which is a free trade area or customs union, or which is contributing to comprehensive regional economic integration among its members through appropriate means, including, but not limited to, the reduction of duties, the President may by Executive order or Presidential proclamation provide that all members of such association other than members which are barred from designation under subsection (b) of this section shall be treated as one country for purposes of this subchapter.

(4) For purposes of this subchapter the term "internationally recognized worker rights" in

cludes

(A) the right of association;

(B) the right to organize and bargain collectively;

(C) a prohibition on the use of any form of forced or compulsory labor;

(D) a minimum age for the employment of children; and

(E) acceptable conditions of work with respect to minimum wages, hours of work, and occupational safety and health.

(b) Countries ineligible for designation as beneficiary developing countries

No designation shall be made under this section with respect to any of the following:

Australia, Austria, Canada, Czechoslovakia, European Economic Community member states, Finland, Germany (East), Iceland, Japan, Monaco, New Zealand, Norway, Poland, Republic of South Africa, Sweden, Switzerland, Union of Soviet Socialist Republics.

In addition, the President shall not designate any country a beneficiary developing country under this section

[See main edition for text of (1) to (3)]

(4) if such country

(A) has nationalized, expropriated, or otherwise seized ownership or control of property, including patents, trademarks, or copyrights, owned by a United States citizen or by a corporation, partnership, or association which is 50 percent or more beneficially owned by United States citizens,

(B) has taken steps to repudiate or nullify an existing contract or agreement with a United States citizen or a corporation, partnership, or association which is 50 percent or more beneficially owned by United States citizens, the effect of which is to nationalize, expropriate, or otherwise seize ownership or control of property, including patents, trademarks, or copyrights, SO owned, or

(C) has imposed or enforced taxes or other exactions, restrictive maintenance or operational conditions, or other measures

with respect to property, including patents, trademarks, or copyrights, so owned, the effect of which is to nationalize, expropriate, or otherwise seize ownership or control of such property,

unless

[See main edition for text of (D)] promptly furnishes a copy of such determination to the Senate and House of Representatives;

(5) if such country fails to act in good faith in recognizing as binding or in enforcing arbitral awards in favor of United States citizens or a corporation, partnership, or association which is 50 percent or more beneficially owned by United States 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;

(6) if such country aids or abets, by granting sanctuary from prosecution to, any individual or group which has committed an act of international terrorism; and

(7) if such country has not taken or is not taking steps to afford internationally recognized worker rights to workers in the country (including any designated zone in that country).

1

Paragraphs (4), (6), (7), and (8) 1 shall not prevent the designation of any country as a beneficiary developing country under this section if the President determines that such designation will be in the national economic interest of the United States and reports such determination to the Congress with his reasons therefor. (c) Factors determinative of whether to designate country as beneficiary developing country

In determining whether to designate any country a beneficiary developing country under this section, the President shall take into account

[See main edition for text of (1) and (2)]

(3) whether or not the other major developed countries are extending generalized preferential tariff treatment to such country;

(4) the extent to which such country has assured the United States it will provide equitable and reasonable access to the markets and basic commodity resources of such country and the extent to which such country has assured the United States that it will refrain from engaging in unreasonable export practices;

(5) the extent to which such country is providing adequate and effective means under its laws for foreign nationals to secure, to exercise, and to enforce exclusive rights in intellectual property, including patents, trademarks, and copyrights;

(6) the extent to which such country has taken action to

'See References in Text note below.