                        TITLE 19--CUSTOMS DUTIES
 
                      CHAPTER 12--TRADE ACT OF 1974
 
              SUBCHAPTER I--NEGOTIATING AND OTHER AUTHORITY
 
                         Part 2--Other Authority
 
Sec. 2134. Two-year residual authority to negotiate duties


(a) Trade agreements

    Whenever the President determines that any existing duties or other 
import restrictions of any foreign country or the United States are 
unduly burdening and restricting the foreign trade of the United States 
and that the purposes of this chapter will be promoted thereby, the 
President--
        (1) may enter into trade agreements with foreign countries or 
    instrumentalities thereof, and
        (2) may proclaim such modification or continuance of any 
    existing duty, such continuance of existing duty-free or excise 
    treatment, or such additional duties, as he determines to be 
    required or appropriate to carry out any such trade agreement.

(b) Maximum volume of imported articles subject to reduction of duties 
        or continuance of duty-free or excise treatment

    Agreements entered into under this section in any 1-year period 
shall not provide for the reduction of duties, or the continuance of 
duty-free or excise treatment, for articles which account for more than 
2 percent of the value of United States imports for the most recent 12-
month period for which import statistics are available.

(c) Maximum reduction in duties

    (1) No proclamation shall be made pursuant to subsection (a) of this 
section decreasing any rate of duty to a rate which is less than 80 
percent of the existing rate of duty.
    (2) No proclamation shall be made pursuant to subsection (a) of this 
section decreasing or increasing any rate of duty to a rate which is 
lower or higher than the corresponding rate which would have resulted if 
the maximum authority granted by section 2111 of this title with respect 
to such article had been exercised.
    (3) Where the rate of duty in effect at any time is an intermediate 
stage under section 2119 of this title, the proclamation made pursuant 
to subsection (a) of this section may provide for the reduction of each 
rate of duty at each such stage proclaimed under section 2111 of this 
title by not more than 20 percent of such rate of duty, and, subject to 
the limitation in paragraph (2), may provide for a final rate of duty 
which is not less than 80 percent of the rate of duty proclaimed as the 
final stage under section 2111 of this title.
    (4) If the President determines that such action will simplify the 
computation of the amount of duty imposed with respect to an article, he 
may exceed the limitations provided by paragraphs (1) and (2) of this 
subsection by not more than the lesser of--
        (A) the difference between such limitation and the next lower 
    whole number, or
        (B) one-half of 1 percent ad valorem.

(d) Two-year period of authority

    Agreements may be entered into under this section only during the 2-
year period which immediately follows the close of the period during 
which agreements may be entered into under section 2111 of this title.

(Pub. L. 93-618, title I, Sec. 124, Jan. 3, 1975, 88 Stat. 1990.)

                       References in Text

    This chapter, referred to in subsec. (a), was in the original ``this 
Act'', meaning Pub. L. 93-618, Jan. 3, 1975, 88 Stat. 1978, as amended, 
which is classified principally to this chapter. For complete 
classification of this Act to the Code, see References in Text note set 
out under section 2101 of this title and Tables.

                  Section Referred to in Other Sections

    This section is referred to in section 2212 of this title.
