,i #aai? ,,congress #b;d ,session ,h4 ,r4 #ihib ,,9 ,,! ,,h\se ,,( ,,repres5tatives ,july #bc1 #bjbf,mr4 ,goldman ( ,texas 7= himself1 ,mr4 ,arr+ton1 ,mr4 ,/eube1 ,mr4 ,bilirakis1 ,mr4 ,web] ( ,texas1 ,mr4 ,c>t] ( ,georgia1 ,mr4 ,pflug]1 ,mr4 ,davidson1 & ,mr4 ,sessions7 introduc$ ! foll[+ bill2 :i* 0 ref]r$ to ! ,committee on ,ways & ,means ,a ,,bill ,to require ! ,unit$ ,/ates ,trade ,repres5tative to initiate an inve/igation "u section #cja ( ! ,trade ,act ( #aigd ) respect to ! ,european ,union1 & = o!r purposes4 #a4 ,%ort title ,?is ,act may be cit$ z ! ,/op ,,eu ,ov]rea* ,act4 #b4 ,f9d+s ,congress f9ds ! foll[+3 7#a7 ,! ,unit$ ,/ates has a long/&+ & compell+ national int]e/ 9 protect+ ,unit$ ,/ates p]sons f extrat]ritorial regulatory actions by =eign gov]nm5ts t burd5 ,unit$ ,/ates comm]ce1 conflict ) ,unit$ ,/ates law1 & und]m9e ! pr9ciples ( fair1 reciprocal1 & rules-bas$ int]national trade4 7#b7 ,! ,european ,union has adopt$ & is implem5t+ a s]ies ( en]gy & environm5t-relat$ directives & regulations ) significant extrat]ritorial rea*1 includ+ ! ,corporate ,su/a9ability ,due ,dilig5ce ,directive 7,,cs#c;,d71 ! ,corporate ,su/a9ability ,report+ ,directive 7,,csrd71 ! ,de=e/ation ,regulation 7,,eudr71 ! ,c>bon ,bord] ,adju/m5t ,me*anism 7,,cbam71 & relat$ or successor measures4 7#c7 ,^! extrat]ritorial measures impose burd5some m&atory obligations on l>ge companies op]at+ 9 or d]iv+ significant rev5ue f ! ,european ,union4 ,su* obligations include global supply *a9 & value *a9 mapp+ & due dilig5ce1 detail$ su/a9ability & emissions report+1 de=e/ation-free traceability & geolocation requirem5ts1 ?ird-p>ty v]ification & audit+1 public disclosures1 & sub/antial p5alties ) transposition & implem5tation deadl9es already 9 effect or approa*+ 9 ! ne> t]m4 7#d7 ,^! extrat]ritorial measures apply to conduct1 op]ations1 subsidi>ies1 affiliates1 & supply or value *a9s occurr+ :olly or sub/antially outside ,european ,union t]ritory1 includ+ ! ,unit$ ,/ates op]ations & supply *a9s ( ,unit$ ,/ates companies1 reg>dless ( :e!r su* conduct complies ) ,unit$ ,/ates law4 ,?is con/itutes an unreasonable & discrim9atory trade practice burd5+ ,unit$ ,/ates comm]ce )9 ! mean+ ( section #cja7;b7 ( ! ,trade ,act ( #aigd 7#ai ,u4,s4,c4 #bdaa7;b774 7#e7 ,! extrat]ritorial rea* ( ^! measures conflicts ) core pr9ciples ( ,unit$ ,/ates law1 includ+ limit$ liability doctr9es1 ,/ate corporate fiduci>y duties1 ,f$]al securities requirem5ts1 & dome/ic en]gy & environm5tal policy frameworks4 7#f7 ,9 ! ,augu/ #ba1 #bjbe1 ,jo9t ,/atem5t on a ,framework on an ,agreem5t on ,reciprocal1 ,fair1 & ,balanc$ ,trade1 ! ,european ,union expressly committ$ to ensure ^! measures d n pose undue re/rictions on transatlantic trade & to address ,unit$ ,/ates conc]ns reg>d+ _! extrat]ritorial application to companies f c\ntries ) high-quality dome/ic regulations4 ,! cont9u$ extrat]ritorial provisions ( ^! measures are inconsi/5t ) t commitm5t4 7#g7 ,not)/&+ ! ,augu/ #bjbe commitm5ts & ! ,european ,union's subsequ5t am5dm5ts1 ^! extrat]ritorial measures cont9ue to impose burd5some obligations on ,unit$ ,/ates p]sons4 ,! ,european ,union's own modifications h n resolv$ ! core problems ?is ,act addresses4 7#h7 ,num]\s ,unit$ ,/ates trad+ p>tn]s1 includ+ ,arg5t9a1 ,au/ralia1 ,brazil1 ,india1 ,s\? ,africa1 & ! ,unit$ ,k+dom1 h express$ %>$ conc]ns ab\t ! extrat]ritorial rea* ( ^! measures1 reflect+ a multilat]al1 rules-bas$ objection r ?an a bilat]al dispute4 7#i7 ,section #cja ( ! ,trade ,act ( #aigd 7#ai ,u4,s4,c4 #bdaa7 au?orizes ! ,unit$ ,/ates ,trade ,repres5tative to inve/igate & respond to su* =eign gov]nm5t practices1 & ! ,unit$ ,/ates has a compell+ national int]e/ 9 deploy+ t au?ority to protect ,unit$ ,/ates p]sons f extrat]ritorial regulation t conflicts ) ,unit$ ,/ates law & ! pr9ciples ( fair & reciprocal trade4 #c4 ,section #cja inve/igation 7a7 ,initiation ( inve/igation 7#a7 ,9 g5]al ,n lat] ?an #cj days aft] ! date ( ! enactm5t ( ?is ,act1 ! ,,u/r %all-- 7,a7 initiate an inve/igation "u section #cjb7;b7 ( ! ,trade ,act ( #aigd 7#ai ,u4,s4,c4 #bdab7;b77 to det]m9e :e!r ! cov]$ extrat]ritorial measures impos$ by ! ,european ,union on ,unit$ ,/ates p]sons con/itute an unreasonable or discrim9atory act1 policy1 or practice t burd5s or re/ricts ,unit$ ,/ates comm]ce "u section #cja7;b7 ( ! ,trade ,act ( #aigd 7#ai ,u4,s4,c4 #bdaa7;b772 & 7,b7 notify ! appropriate congressional committees ( su* initiation4 7#b7 ,scope ( inve/igation ,an inve/igation initiat$ "u ?is subsection may include ! foll[+3 7,a7 ,! compliance co/s impos$ on ,unit$ ,/ates p]sons1 includ+ ! supply *a9 due dilig5ce1 emissions report+ & v]ification1 de=e/ation traceability1 su/a9ability disclosures1 & ?ird-p>ty audit+ co/s4 7,b7 ,! legal liability exposure ( ,unit$ ,/ates p]sons = ! acts ( _! subsidi>ies or suppli]s op]at+ outside ( ! ,european ,union4 7,c7 ,! competitive disadvantage suff]$ by ,unit$ ,/ates p]sons relative to companies n subject to ! cov]$ extrat]ritorial measures4 7b7 ,petition or unilat]al initiation ( inve/igation 7#a7 ,9 g5]al ,if1 prior to ! date ( ! enactm5t ( ?is ,act1 ! ,,u/r unilat]ally initiates an inve/igation1 or is petition$ to initiate an inve/igation1 :i* is sub/antially simil> to ! inve/igation requir$ "u subsection 7a77#a71 su* inve/igation may include ! in=mation describ$ 9 subsection 7a77#b74 7#b7 ,notification to ,congress ,n lat] ?an #cj days aft] ! date ( ! enactm5t ( ?is ,act1 ! ,,u/r %all notify ! appropriate congressional committees ( an inve/igation initiat$ "u p>agraph 7#a74 7c7 ,consultation requirem5t ,9 conduct+ an inve/igation "u ?is section1 ! ,,u/r %all-- 7#a7 consult ) ,unit$ ,/ates p]sons :o may be affect$ by ! extrat]ritorial obligations impos$ by ! cov]$ extrat]ritorial measures2 7#b7 seek in=mation f relevant trade associations & labor repres5tatives2 & 7#c7 coord9ate ) ! ,secret>y ( ,comm]ce1 ! ,secret>y ( ,/ate1 ! ,secret>y ( ,en]gy1 ! ,secret>y ( ,agriculture1 ! ,secret>y ( ,def5se1 ! ,adm9i/rator ( ! ,environm5tal ,protection ,ag5cy1 & ! ,*air ( ! ,unit$ ,/ates ,int]national ,trade ,commission4 7d7 ,det]m9ation deadl9e 7#a7 ,9 g5]al ,n lat] ?an #ab mon?s aft] ! date on :i* an inve/igation is initiat$ "u subsection 7a71 ! ,,u/r %all make a det]m9ation "u section #cjd ( ! ,trade ,act ( #aigd 7#ai ,u4,s4,c4 #bdad7 to det]m9e if any action may be tak5 "u section #cja ( su* ,act 7#ai ,u4,s4,c4 #bdaa74 7#b7 ,ext5sion ,! ,,u/r may initiate "o #fj-;day ext5sion ( ! deadl9e describ$ 9 p>agraph 7#a7 if extraord9>y circum/ances w>rant su* an ext5sion4 ,! ,,u/r %all notify ! appropriate congressional committees 9 writ+ ( ! reasons = su* ext5sion4 7e7 ,det]m9ations & ,action 7#a7 ,affirmative det]m9ation ,if ! ,,u/r makes an affirmative det]m9ation "u subsection 7d77#a71 ! ,,u/r %all-- 7,a7 publi% su* det]m9ation 9 ! ,f$]al ,regi/]2 & 7,b7 consid] appropriate action "u section #cja7;c7 ( ! ,trade ,act ( #aigd 7#ai ,u4,s4,c4 #bdaa7;c771 :i* may include address+ imports f memb] /ates ( ! ,european ,union1 ! susp5sion ( trade agreem5t b5efits1 ! imposition ( duties comm5surate ) ! burd5 impos$1 or any o!r action :i* w\ld elim9ate ! burd5 on ,unit$ ,/ates comm]ce t is attributable to ! ,,cs#c;,d's extrat]ritorial provisions4 7#b7 ,negative det]m9ation ,if ! ,,u/r makes a negative det]m9ation "u subsection 7d7 & det]m9es t no action describ$ 9 p>agraph 7#a77;,b7 is w>rant$1 ! ,,u/r %all transmit to ! appropriate congressional committees a report expla9+ su* det]m9ation4 #d4 ,report+ requirem5ts 7a7 ,initial report ,n lat] ?an #ij days aft] ! date ( ! enactm5t ( ?is ,act1 ! ,,u/r %all submit to ! appropriate congressional committees a report includ+-- 7#a7 ! actions tak5 to comply ) section #c7;a72 7#b7 any consultations reque/$ or initiat$ ) ! ,european ,union2 & 7#c7 ! ,,u/r's prelim9>y assessm5t ( ! nature & ext5t ( ! burd5 on ,unit$ ,/ates comm]ce attributable to ! cov]$ extrat]ritorial measures4 7b7 ,det]m9ation report ,n lat] ?an #cj days aft] mak+ a det]m9ation "u section #c7;e71 ! ,,u/r %all submit to ! appropriate congressional committees a report includ+-- 7#a7 ! ,,u/r's f9d+s & det]m9ation2 7#b7 :e!r ! det]m9ation is affirmative or negative & if ! det]m9ation is affirmative1 a description ( ! rem$ial action tak5 or propos$2 & 7#c7 an assessm5t ( ! expect$ effect ( su* rem$ial action on ,unit$ ,/ates comm]ce1 consum]s1 & ! ,unit$ ,/ates-,european ,union trade relation%ip4 #e4 ,rule ( con/ruction ,no?+ 9 ?is ,act %all be con/ru$ to-- 7#a7 limit ! au?ority ( ! ,presid5t or ! ,,u/r to negotiate1 ent] into1 or modify trade agreem5ts ) ! ,european ,union2 7#b7 affect any o!r au?ority ( ! ,,u/r or ! ,presid5t "u ! ,trade ,act ( #aigd 7#ai ,u4,s4,c4 #baja et seq47 or any o!r provision ( law2 & 7#c7 con/itute an affirmative f9d+ t any specific act1 policy1 or practice ( ! ,european ,union violates any provision ( ,f$]al law or any trade agreem5t to :i* ! ,unit$ ,/ates is a p>ty4 #f4 ,sunset 7a7 ,p>tial sunset 7#a7 ,9 g5]al ,! requirem5ts ( ?is ,act1 ) respect to an individual cov]$ extrat]ritorial measure1 %all t]m9ate on ! date on :i* ! ,,u/r c]tifies to ! appropriate congressional committees t ! ,european ,union has1 ) respect to su* individual extrat]ritorial measure-- 7,a7 repeal$ or =mally am5d$ ! measure to elim9ate ! application ( ! extrat]ritorial obligations on ,unit$ ,/ates p]sons2 or 7,b7 ent]$ into a b9d+ agreem5t ) ! ,unit$ ,/ates ,gov]nm5t provid+ t ,unit$ ,/ates p]sons %all n be subject to ! extrat]ritorial obligations "u su* measure ) respect to conduct1 op]ations1 or relation%ips occurr+ outside ! t]ritory ( any memb] /ate ( ! ,european ,union4 7#b7 ,cont9u+ application to o!r cov]$ extrat]ritorial measures ,a t]m9ation "u subsection 7a7 ) respect to "o individual cov]$ extrat]ritorial measures %all n affect ! application ( ?is ,act to any o!r extrat]ritorial measure4 7b7 ,full sunset ,! requirem5ts ( ?is ,act %all t]m9ate ) respect to ea* cov]$ extrat]ritorial measure on ! date on :i* ! ,,u/r c]tifies to ! appropriate congressional committees t ! requirem5ts ( subsection 7a77#a7 h be5 satisfi$ ) respect to ea* cov]$ extrat]ritorial measure4 7c7 ,c]tification inclusion ,a c]tification "u ?is section %all include a det]m9ation t ! repeal1 am5dm5t1 or b9d+ agreem5t fully & effectively elim9ates ! burd5 on ,unit$ ,/ates comm]ce attributable to ! relevant extrat]ritorial measure4 #g4 ,def9itions ,9 ?is ,act3 7#a7 ,appropriate congressional committees ,! t]m appropriate congressional committees means-- 7,a7 ! ,committee on ,ways & ,means ( ! ,h\se ( ,repres5tatives2 & 7,b7 ! ,committee on ,f9ance ( ! ,s5ate4 7#b7 ,cov]$ extrat]ritorial measures ,! t]m cov]$ extrat]ritorial measures means-- 7,a7 ,directive 7,,eu7 #bjbd_/agfj ( ! ,european ,p>liam5t & ( ! ,c\ncil ( ,june #ac1 #bjbd1 on corporate su/a9ability due dilig5ce & am5d+ ,directive 7,,eu7 #bjai_/aicg & ,regulation 7,,eu7 #bjbc_/bhei2 7,b7 ,directive 7,,eu7 #bjbb_/bdfd ( ! ,european ,p>liam5t & ( ! ,c\ncil ( ,decemb] #ad1 #bjbb1 am5d+ ,regulation 7,,eu7 ,no #ecg_/bjad1 ,directive #bjjd_/aji_/;,,ec1 ,directive #bjjf_/dc_/;,,ec & ,directive #bjac_/cd_/;,,eu1 z reg>ds corporate su/a9ability report+2 7,c7 ,regulation 7,,eu7 #bjbc_/aaae ( ! ,european ,p>liam5t & ( ! ,c\ncil ( ,may #ca1 #bjbc1 on ! mak+ available on ! ,union m>ket & ! export f ! ,union ( c]ta9 commodities & products associat$ ) de=e/ation & =e/ degradation & repeal+ ,regulation 7,,eu7 ,no #iie_/bjaj2 7,d7 ,regulation 7,,eu7 #bjbc_/ief ( ! ,european ,p>liam5t & ( ! ,c\ncil ( ,may #aj1 #bjbc1 e/abli%+ a c>bon bord] adju/m5t me*anism 7,c>bon ,bord] ,adju/m5t ,me*anism or ,,cbam72 or 7,e7 any successor directive1 regulation1 or implem5t+ measure ( ! ,european ,union or any memb] /ate ( ! ,european ,union t imposes sub/antially simil> extrat]ritorial due dilig5ce1 report+1 emissions acc\nt+1 de=e/ation-relat$1 c>bon pric+1 or su/a9ability obligations on ,unit$ ,/ates p]sons z ?\gh "u ! au?orities describ$ 9 subp>agraphs 7,a7 ?r\gh 7,d74 7#c7 ,extrat]ritorial obligations ,! t]m extrat]ritorial obligations means1 ) respect to ! cov]$ extrat]ritorial measures1 any requirem5t applicable to a ,unit$ ,/ates p]son ) respect to ! conduct1 op]ations1 or relation%ips ( su* a p]son occurr+ outside ! t]ritory ( ! ,european ,union1 includ+ obligations relat+ to-- 7,a7 ! op]ations ( subsidi>ies or affiliates2 7,b7 supply *a9 or value *a9 p>tn]s2 or 7,c7 bus9ess practices1 labor /&>ds1 or environm5tal measures1 emissions report+1 or su/a9ability disclosures4 7#d7 ,unit$ ,/ates p]son ,! t]m ,unit$ ,/ates p]son means-- 7,a7 a ,unit$ ,/ates citiz52 & 7,b7 an entity organiz$ "u ! laws ( ! ,unit$ ,/ates or any ,/ate1 includ+ any subsidi>y or affiliate ( su* entity4 7#e7 ,,u/r ,! t]m ,,u/r means ! ,unit$ ,/ates ,trade ,repres5tative4