                        TITLE 19--CUSTOMS DUTIES
 
                  CHAPTER 21--NORTH AMERICAN FREE TRADE
 
SUBCHAPTER IV--DISPUTE SETTLEMENT IN ANTIDUMPING AND COUNTERVAILING DUTY 
                                  CASES
 
   Part A--Organizational, Administrative, and Procedural Provisions 
           Regarding Implementation of Chapter 19 of Agreement
 
Sec. 3437. Identification of industries facing subsidized 
        imports
        

(a) Petitions

    Any entity, including a trade association, firm, certified or 
recognized union, or group of workers, that is representative of a 
United States industry and has reason to believe--
        (1) that--
            (A) as a result of implementation of provisions of the 
        Agreement, the industry is likely to face increased competition 
        from subsidized imports, from a NAFTA country, with which it 
        directly competes; or
            (B) the industry is likely to face increased competition 
        from subsidized imports with which it directly competes from any 
        other country designated by the President, following 
        consultations with the Congress, as benefiting from a reduction 
        of tariffs or other trade barriers under a trade agreement that 
        enters into force with respect to the United States after 
        January 1, 1994; and

        (2) that the industry is likely to experience a deterioration of 
    its competitive position before more effective rules and disciplines 
    relating to the use of government subsidies have been developed with 
    respect to the country concerned;

may file with the Trade Representative a petition that such industry be 
identified under this section.

(b) Identification of industry

    Within 90 days after receipt of a petition under subsection (a) of 
this section, the Trade Representative, in consultation with the 
Secretary of Commerce, shall decide whether to identify the industry on 
the basis that there is a reasonable likelihood that the industry may 
face both the subsidization described in subsection (a)(1) of this 
section and the deterioration described in subsection (a)(2) of this 
section.

(c) Action after identification

    At the request of an entity that is representative of an industry 
identified under subsection (b) of this section, the Trade 
Representative shall--
        (1) compile and make available to the industry information under 
    section 2418 of this title;
        (2) recommend to the President that an investigation by the 
    International Trade Commission be requested under section 332 of the 
    Tariff Act of 1930 [19 U.S.C. 1332]; or
        (3) take actions described in both paragraphs (1) and (2).

The industry may request the Trade Representative to take appropriate 
action to update (as often as annually) any information obtained under 
paragraph (1) or (2), or both, as the case may be, until an agreement on 
more effective rules and disciplines relating to government subsidies is 
reached between the United States and the NAFTA countries.

(d) Initiation of action under other law

                           (1) In general

        The Trade Representative and the Secretary of Commerce shall 
    review information obtained under subsection (c) of this section and 
    consult with the industry identified under subsection (b) of this 
    section with a view to deciding whether any action is appropriate--
            (A) under section 2411 of this title, including the 
        initiation of an investigation under section 2412(c) of this 
        title (in the case of the Trade Representative); or
            (B) under subtitle A of title VII of the Tariff Act of 1930 
        [19 U.S.C. 1671 et seq.], including the initiation of an 
        investigation under section 702(a) of that Act [19 U.S.C. 
        1671a(a)] (in the case of the Secretary of Commerce).

                     (2) Criteria for initiation

        In determining whether to initiate any investigation under 
    section 2411 of this title or any other trade law, other than title 
    VII of the Tariff Act of 1930 [19 U.S.C. 1671 et seq.], the Trade 
    Representative, after consultation with the Secretary of Commerce--
            (A) shall seek the advice of the advisory committees 
        established under section 2155 of this title;
            (B) shall consult with the Committee on Finance of the 
        Senate and the Committee on Ways and Means of the House of 
        Representatives;
            (C) shall coordinate with the interagency organization 
        established under section 1872 of this title; and
            (D) may ask the President to request advice from the 
        International Trade Commission.

                        (3) Title III actions

        In the event an investigation is initiated under section 2412(c) 
    of this title as a result of a review under this subsection and the 
    Trade Representative, following such investigation (including any 
    applicable dispute settlement proceedings under the Agreement or any 
    other trade agreement), determines to take action under section 
    2411(a) of this title, the Trade Representative shall give 
    preference to actions that most directly affect the products that 
    benefit from governmental subsidies and were the subject of the 
    investigation, unless there are no significant imports of such 
    products or the Trade Representative otherwise determines that 
    application of the action to other products would be more effective.

(e) Effect of decisions

    Any decision, whether positive or negative, or any action by the 
Trade Representative or the Secretary of Commerce under this section 
shall not in any way--
        (1) prejudice the right of any industry to file a petition under 
    any trade law;
        (2) prejudice, affect, or substitute for, any proceeding, 
    investigation, determination, or action by the Secretary of 
    Commerce, the International Trade Commission, or the Trade 
    Representative pursuant to such a petition; or
        (3) prejudice, affect, substitute for, or obviate any 
    proceeding, investigation, or determination under section 2411 of 
    this title, title VII of the Tariff Act of 1930 [19 U.S.C. 1671 et 
    seq.], or any other trade law.

(f) Standing

    Nothing in this section may be construed to alter in any manner the 
requirements in effect before December 8, 1993, for standing under any 
law of the United States or to add any additional requirements for 
standing under any law of the United States.

(Pub. L. 103-182, title IV, Sec. 407, Dec. 8, 1993, 107 Stat. 2138; Pub. 
L. 104-295, Sec. 21(c)(2), Oct. 11, 1996, 110 Stat. 3530.)

                       References in Text

    The Tariff Act of 1930, referred to in subsecs. (d)(1)(B), (2) and 
(e)(3), is act June 17, 1930, ch. 497, 46 Stat. 590, as amended. Title 
VII of the Act is classified generally to subtitle IV (Sec. 1671 et 
seq.) of chapter 4 of this title. Subtitle A of title VII of the Act is 
classified generally to part I (Sec. 1671 et seq.) of subtitle IV of 
chapter 4 of this title. For complete classification of this Act to the 
Code, see section 1654 of this title and Tables.


                               Amendments

    1996--Subsec. (e)(2). Pub. L. 104-295 substituted semicolon for 
comma after ``such a petition''.
