What This Bill Does
This bill modifies federal trade laws to create special rules for "core seasonal industries" affected by trade investigations. A core seasonal industry produces raw agricultural products and sells them during a specific harvest season or time period that ends within 8 weeks of harvest. The bill changes how the government determines if these seasonal industries have support for filing complaints about unfair foreign trade practices.
Who It Affects
Producers of raw agricultural products that sell during discrete seasons or cyclical periods. Trade investigators and the administering authority (the agency that oversees trade cases). Foreign producers or exporters from countries that may face countervailing duty or antidumping duty investigations. Canada and Mexico (goods from these countries fall under the bill's rules).
Key Provisions
• The bill defines a "core seasonal industry" as producers of raw agricultural products whose collective output makes up a majority of total production in a state or group of states during a specific season ending no later than 8 weeks after harvest, and who make substantially all their sales during that season or cyclical period (Sec. 2(a)).
• For core seasonal industries filing trade complaints, the government must find that supporting producers account for at least 50 percent of total production in states that represent at least 50 percent of total production during the specified season, calculated by averaging the previous 3 seasons (Sec. 3(a) and Sec. 4(a)).
• An association representing a core seasonal industry can have standing in trade cases if its members make up at least 80 percent of the core seasonal industry, instead of the standard majority requirement (Sec. 2(c)).
• When dumping or countervailable subsidies affect a core seasonal industry only during a specific season or cyclical period, the government must limit any penalty rates to that season or cyclical period only (Sec. 3(c) and Sec. 4(c)).
What Changes
The bill lowers the support threshold specifically for core seasonal industries filing trade complaints. Instead of needing support from producers representing a simple majority of the industry nationwide, these seasonal industries only need to show support from 50 percent of producers in states accounting for 50 percent of production during their specific season. This is calculated by averaging the three seasons before the complaint is filed. Additionally, trade penalties against imported goods that harm seasonal industries will apply only during the season when the harm occurs, not year-round.
Important Definitions
"Core seasonal industry" means producers of raw agricultural products whose combined output represents a majority of total production in any state or group of states during a discrete season or cyclical period ending no later than 8 weeks after harvest, and who make substantially all their sales during that season or cyclical period.
II
118TH CONGRESS
1ST SESSION
S. 104
To amend title VII of the Tariff Act of 1930 to provide for the treatment
of core seasonal industries affected by antidumping or countervailing
duty investigations, and for other purposes.
IN THE SENATE OF THE UNITED STATES
JANUARY 26, 2023
Mr. RUBIO (for himself and Mr. SCOTT of Florida) introduced the following
bill; which was read twice and referred to the Committee on Finance
A BILL
To amend title VII of the Tariff Act of 1930 to provide
for the treatment of core seasonal industries affected
by antidumping or countervailing duty investigations,
and for other purposes.
Be it enacted by the Senate and House of Representa-
1
tives of the United States of America in Congress assembled,
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SECTION 1. SHORT TITLE.
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This Act may be cited as the ‘‘Defending Domestic
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Produce Production Act of 2023’’.
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•S 104 IS
SEC. 2. DEFINITIONS.
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(a) CORE SEASONAL INDUSTRY.—Section 771 of the
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Tariff Act of 1930 (19 U.S.C. 1677) is amended by add-
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ing at the end the following:
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‘‘(37) CORE SEASONAL INDUSTRY.—The term
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‘core seasonal industry’ means the producers—
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‘‘(A) of a domestic like product that is a
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raw agricultural product,
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‘‘(B) whose collective output of the domes-
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tic like product constitutes a majority of the
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total production of the domestic like product in
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any State or group of States that accounts for
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a major portion of the total production of the
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domestic like product during any discrete sea-
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son or cyclical period of time that concludes not
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later than 8 weeks after the date in which the
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product is harvested, and
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‘‘(C) that make substantially all of their
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sales of the domestic like product during the
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season or cyclical period of time described in
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subparagraph (B).’’.
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(b) INDUSTRY.—Section 771(4)(A) of the Tariff Act
22
of 1930 (19 U.S.C. 1677(4)(A)) is amended—
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(1) by striking ‘‘ ‘industry’ means the pro-
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ducers’’ and inserting the following: ‘‘ ‘industry’
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means—
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•S 104 IS
‘‘(i) the producers’’;
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(2) by striking the end period and inserting ‘‘,
2
or’’; and
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(3) by adding at the end the following:
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‘‘(ii) a core seasonal industry.’’.
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(c) INTERESTED PARTY.—Section 771(9)(E) of the
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Tariff Act of 1930 (19 U.S.C. 1677(9)(E)) is amended—
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(1) by striking ‘‘association a majority’’ and in-
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serting the following: ‘‘association—
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‘‘(i) except as provided in clause (ii),
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a majority’’;
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(2) by inserting ‘‘or’’ after ‘‘States,’’; and
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(3) by adding at the end the following:
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‘‘(ii) in the case of a proceeding under
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this title involving a core seasonal industry,
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whose members constitute not less than 80
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percent of the core seasonal industry,’’.
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SEC. 3. IMPROVEMENTS TO COUNTERVAILING DUTY PRO-
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CEDURES FOR CORE SEASONAL INDUSTRIES.
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(a) DETERMINATION OF INDUSTRY SUPPORT.—Sec-
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tion 702(c)(4) of the Tariff Act of 1930 (19 U.S.C.
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1671a(c)(4)) is amended—
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(1) in subparagraph (A)—
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(A) by redesignating clauses (i) and (ii) as
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subclauses (I) and (II), and by moving such
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•S 104 IS
subclauses, as so redesignated, 2 ems to the
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right;
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(B) in the matter preceding subclause (I),
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as redesignated by subparagraph (A), by strik-
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ing ‘‘behalf of the industry, if—’’ and inserting
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the following: ‘‘behalf of—
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‘‘(i) an industry (other than a core
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seasonal industry), if—’’;
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(C) in subclause (II), as redesignated by
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subparagraph (A), by striking the period at the
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end and inserting ‘‘, or’’; and
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(D) by adding at the end the following:
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‘‘(ii) a core seasonal industry, if the
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domestic producers or workers who sup-
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port the petition account for at least 50
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percent of the total production of the do-
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mestic like product in any State or group
17
of States that accounts for at least 50 per-
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cent of total production of the domestic
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like product during the season or cyclical
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period of time specified in the petition, de-
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termined by averaging production over the
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3 seasons or cyclical periods of time pre-
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ceding the filing of the petition.’’;
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•S 104 IS
(2) in subparagraph (B)(i), by inserting ‘‘(dur-
1
ing the season or cyclical period of time specified in
2
the petition, if applicable)’’ after ‘‘their interests as
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domestic producers’’; and
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(3) in subparagraph (D), in the matter pre-
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ceding clause (i), by striking ‘‘support’’ and all that
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follows through ‘‘domestic like product’’ and insert-
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ing ‘‘industry support in accordance with subpara-
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graph (A)’’.
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(b) SUSPENSION OF INVESTIGATIONS FOR EXTRAOR-
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DINARY CIRCUMSTANCES.—Section 704(c)(4)(A)(i) of the
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Tariff Act of 1930 (19 U.S.C. 1671c(c)(4)(A)(i)) is
12
amended
by
inserting
‘‘(as
defined
in
section
13
771(4)(A)(i))’’ after ‘‘domestic industry’’.
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(c) EFFECT OF FINAL DETERMINATIONS.—Section
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705(c)(1) of the Tariff Act of 1930 (19 U.S.C.
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1671d(c)(1)) is amended—
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(1) by redesignating subparagraph (C) as sub-
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paragraph (D);
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(2) in subparagraph (B)(ii), by striking ‘‘, and’’
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and inserting a comma; and
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(3) by inserting after subparagraph (B) the fol-
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lowing:
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‘‘(C) in cases involving a countervailable
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subsidy that affects a core seasonal industry
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•S 104 IS
solely during a specific season or cyclical period
1
of time, the administering authority shall limit
2
the application of any rate determined under
3
subparagraph (B) to that season or cyclical pe-
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riod of time, and’’.
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SEC. 4. IMPROVEMENTS TO ANTIDUMPING DUTY PROCE-
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DURES FOR CORE SEASONAL INDUSTRIES.
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(a) DETERMINATION OF INDUSTRY SUPPORT.—Sec-
8
tion 732(c)(4) of the Tariff Act of 1930 (19 U.S.C.
9
1673a(c)(4)) is amended—
10
(1) in subparagraph (A)—
11
(A) by redesignating clauses (i) and (ii) as
12
subclauses (I) and (II), and by moving such
13
subclauses, as so redesignated, 2 ems to the
14
right;
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(B) in the matter preceding subclause (I),
16
as redesignated by subparagraph (A), by strik-
17
ing ‘‘behalf of the industry, if—’’ and inserting
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the following: ‘‘behalf of—
19
‘‘(i) an industry (other than a core
20
seasonal industry), if—’’;
21
(C) in subclause (II), as redesignated by
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subparagraph (A), by striking the period at the
23
end and inserting ‘‘, or’’; and
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(D) by adding at the end the following:
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•S 104 IS
‘‘(ii) a core seasonal industry, if the
1
domestic producers or workers who sup-
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port the petition account for at least 50
3
percent of the total production of the do-
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mestic like product in any State or group
5
of States that accounts for at least 50 per-
6
cent of total production of the domestic
7
like product during the season or cyclical
8
period of time specified in the petition, de-
9
termined by averaging production over the
10
3 seasons or cyclical periods of time pre-
11
ceding the filing of the petition.’’;
12
(2) in subparagraph (B)(i), by inserting ‘‘(dur-
13
ing the season or cyclical period of time specified in
14
the petition, if applicable)’’ after ‘‘their interests as
15
domestic producers’’; and
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(3) in subparagraph (D), in the matter pre-
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ceding clause (i), by striking ‘‘support’’ and all that
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follows through ‘‘domestic like product’’ and insert-
19
ing ‘‘industry support in accordance with subpara-
20
graph (A)’’.
21
(b) SUSPENSION OF INVESTIGATIONS FOR EXTRAOR-
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DINARY CIRCUMSTANCES.—Section 734(c)(2)(A)(i) of the
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Tariff Act of 1930 (19 U.S.C. 1673c(c)(2)(A)(i)) is
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•S 104 IS
amended
by
inserting
‘‘(as
defined
in
section
1
771(4)(A)(i))’’ after ‘‘domestic industry’’.
2
(c) EFFECT OF FINAL DETERMINATIONS.—Section
3
735(c)(1) of the Tariff Act of 1930 (19 U.S.C.
4
1673d(c)(1)) is amended—
5
(1) by redesignating subparagraph (C) as sub-
6
paragraph (D);
7
(2) in subparagraph (B)(ii), by striking ‘‘, and’’
8
and inserting a comma; and
9
(3) by inserting after subparagraph (B) the fol-
10
lowing:
11
‘‘(C) in cases involving dumping that af-
12
fects a core seasonal industry solely during a
13
specific season or cyclical period of time, the
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administering authority shall limit the applica-
15
tion of any rate determined under subpara-
16
graph (B) to that season or cyclical period of
17
time, and’’.
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SEC. 5. APPLICATION TO CANADA AND MEXICO.
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Pursuant to section 418 of the United States-Mexico-
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Canada Agreement Implementation Act (19 U.S.C. 4588),
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the amendments made by this Act apply with respect to
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goods from Canada and Mexico.
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Æ
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