,,ii #aaith ,,congress #ast ,session ,s4 #acbe ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,april #h1 #bjbe ,mr4 ,cassidy 7for himself and ,mr4 ,graham7 introduced the following bill2 which was read twice and referred to the ,committee on ,finance ,a ,,bill ,to amend the ,internal ,revenue ,code of #aihf to impose a fee on certain products imported into the ,united ,states based on the pollution intensity associated with the production of such products1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,foreign ,pollution ,fee ,act of #bjbe4 #b4 ,sense of ,congress2 ,purpose 7a7 ,sense of ,congress ,it is the sense of ,congress that-- 7#a7 the ,united ,states has led the world in carbon emissions reductions over the past #ae years1 cutting more emissions than any other nation2 7#b7 the ,united ,states economy is #ee percent more carbon-efficient than the global average2 7#c7 on average1 goods produced in ,china generate more than #c times the carbon emissions of equivalent ,american-made goods1 while ,russian-made goods produce #e times the emissions1 which gives foreign polluters an unfair cost advantage over ,american manufacturers2 7#d7 ,federal environmental regulations impose an estimated #djj1jjj1jjj1jjj in annual costs on the economy of the ,united ,states1 placing a disproportionate burden on ,american businesses and workers2 7#e7 manufacturers in the ,united ,states face staggering environmental regulatory compliance costs1 averaging #ag1bjj per employee1 which are costs that foreign competitors1 particularly in ,china1 do not bear2 7#f7 ,american businesses spend a higher percentage of their revenue on environmental compliance than many of their global competitors1 making it harder to compete internationally2 7#g7 as a result of these costs1 companies in the ,united ,states have lost market share to foreign producers operating under weak1 underenforced1 or nonexistent environmental standards2 7#h7 ,china is by far the world's worst air and water polluter1 responsible for #cj percent of global carbon emissions2 7#i7 the ,chinese ,communist ,party effectively subsidizes its exports by refusing to enforce basic environmental protections1 undercutting responsible manufacturers in the ,united ,states2 7#aj7 ,china's state-controlled industries operate as an extension of the ,communist ,party1 using predatory trade practices1 including environmental exploitation1 to eliminate ,american competition and expand ,beijing's control over global markets2 7#aa7 ,united ,states trade policy has given foreign polluters a competitive edge at the expense of ,american workers for decades1 rewarding bad actors while punishing responsible manufacturers in the ,united ,states2 7#ab7 ,china has been the primary beneficiary of these policies1 with the ,united ,states losing approximately #e1jjj1jjj jobs in the last #b decades1 with half of that loss directly attributable to the growing trade deficit with ,china2 and 7#ac7 recognizing and rewarding manufacturers in the ,united ,states for their environmental leadership would strengthen domestic industry1 create high-paying jobs1 and reduce ,america's dependence on high-emitting producers like ,china and ,russia4 7b7 ,purpose ,the purpose of this ,act is to level the playing field for ,american workers and manufacturers by ensuring that ,china and other foreign adversaries cannot exploit weak environmental standards1 lack of enforcement1 and noncompliance to gain an unfair advantage in global trade4 #c4 ,rule of construction ,nothing in this ,act1 or any amendments made by this ,act1 shall be construed to authorize the creation of any carbon tax1 fee1 pricing1 or other mechanism that imposes additional costs to any covered product 7as defined in section #dfie7;a7 of the ,internal ,revenue ,code of #aihf1 as added by this ,act7 which is produced domestically and sold1 used1 further refined1 or distributed within ,united ,states or exported to another country for sale or use4 ,i ,foreign pollution fee #aja4 ,foreign pollution fee 7a7 ,in general ,chapter #ch of the ,internal ,revenue ,code of #aihf is amended by adding at the end the following new subchapter3 ,e ,foreign pollution fee ,sec4 #dfia4 ,definitions4 ,sec4 #dfib4 ,imposition of foreign pollution fee4 ,sec4 #dfic4 ,determination of variable charge4 ,sec4 #dfid4 ,calculation of pollution intensity4 ,sec4 #dfie4 ,treatment of international partnerships4 ,sec4 #dfif4 ,covered products4 ,sec4 #dfig4 ,advisory ,committee on ,global ,pollution ,challenges4 ,sec4 #dfih4 ,establishment process and reassessments4 #dfia4 ,definitions ,for purposes of this subchapter-- 7#a7 ,administrator ,the term ,administrator means the ,administrator of the ,environmental ,protection ,agency4 7#b7 ,advisory committee ,the term ,advisory ,committee means the ,advisory ,committee on ,global ,pollution ,challenges1 as established under section #dfig4 7#c7 ,appropriate congressional committees ,the term appropriate congressional committees means the ,committee on ,finance of the ,senate and the ,committee on ,ways and ,means of the ,house of ,representatives4 7#d7 ,baseline pollution intensity ,the term baseline pollution intensity means the pollution intensity associated with production of a covered product in the ,united ,states4 7#e7 ,carbon dioxide equivalent ,the term carbon dioxide equivalent means1 with respect to a greenhouse gas1 the quantity of such gas that has a global warming potential equivalent1 determined over a #ajj-year period1 to #a metric ton of carbon dioxide1 as determined pursuant to table ,a-#a of subpart ,a of part #ih of title #dj1 ,code of ,federal ,regulations1 as in effect on ,january #a1 #bjbe4 7#f7 ,carbon removal ,the term carbon removal means-- 7,a7 the capture of carbon oxides directly from ambient air 7or1 in dissolved form1 from seawater71 and 7,b7 the sequestration of such carbon oxides which results in the net removal of atmospheric carbon oxides on a lifecycle basis4 7#g7 ,country of origin ,the term country of origin means1 with respect to a covered product-- 7,a7 7i7 in the case of steel1 the country in which the steel was melted and poured1 7ii7 in the case of aluminum1 the country in which the aluminum was smelted and cast1 or 7iii7 in the case of any other covered product1 the country in which a covered product was produced1 or 7,b7 the last country in which a covered product was substantially transformed1 as determined in a manner consistent with ,u4,s4 ,customs and ,border ,protection procedures1 directly prior to importation into the ,united ,states4 7#h7 ,covered entity ,the term covered entity means the importer of record of a covered product at the time of the importation of such product4 7#i7 ,direct emissions ,the term direct emissions means pollution from the facility where a product is produced1 including pollution from the combustion of fuels and process emissions from chemical or physical transformations resulting from the production process4 7#aj7 ,foreign entity of concern ,the term foreign entity of concern has the same meaning given such term in section #djbjg7;a77#e7 of the ,infrastructure ,investment and ,jobs ,act 7#db ,u4,s4,c4 #ahgda7;a77#e774 7#aa7 ,,hts ,the term ,,hts means the ,harmonized ,tariff ,schedule of the ,united ,states4 7#ab7 ,indirect emissions ,the term indirect emissions means pollution from the production of electricity1 heating1 and cooling which are-- 7,a7 produced outside the facility where a product is produced1 and 7,b7 consumed during the production process4 7#ac7 ,input material or precursor ,the term input material or precursor means any material or product 7other than fuel7 which is-- 7,a7 incorporated into a covered product1 or 7,b7 consumed during the production process of a covered product4 7#ad7 ,international partnership agreement ,the term international partnership agreement means an international partnership agreement established pursuant to title ,,ii of the ,foreign ,pollution ,fee ,act of #bjbe4 7#ae7 ,nonmarket economy country ,the term nonmarket economy country means any foreign country that the ,secretary of ,commerce determines1 pursuant to section #gga7ah7 of the ,tariff ,act of #aicj 7#ai ,u4,s4,c4 #afgg7ah771 does not operate on market principles of cost or pricing structures1 so that sales of merchandise in that country do not reflect the fair value of merchandise4 7#af7 ,pollution ,the term pollution refers to emissions of-- 7,a7 carbon dioxide1 7,b7 hydrofluorocarbons1 7,c7 methane1 7,d7 nitrous oxide1 7,e7 perfluorocarbons1 7,f7 sulfur hexafluoride1 and 7,g7 any other anthropogenically-emitted gas which has been identified by the ,secretary 7in accordance with the notice and comment procedures under section #eec of title #e1 ,united ,states ,code7 for purposes of this subchapter4 7#ag7 ,pollution intensity ,the term pollution intensity means the amount of pollution1 expressed in metric tons of carbon dioxide equivalent1 which is emitted into the atmosphere in the production of a metric ton of a covered product1 as determined pursuant to the requirements described in section #dfid7;c774 7#ah7 ,pollution intensity difference ,the term pollution intensity difference means1 with respect to any covered product1 the difference 7expressed as a percentage7 between-- 7,a7 the pollution intensity associated with production of such product in the country of origin1 and 7,b7 the baseline pollution intensity with respect to such product4 7#ai7 ,precursor emissions ,the term precursor emissions means pollution 7including any direct or indirect emissions7 emitted into the atmosphere in the production of an input material or precursor4 7#bj7 ,producer ,the term producer means the entity responsible for the manufacturing of a product4 7#ba7 ,product ,the term product means any article1 regardless of whether such article is-- 7,a7 exported from the country of origin1 or 7,b7 produced and sold only within the country of origin4 7#bb7 ,recycled material ,the term recycled material means a material that is used in place of1 or to reduce the use of1 a primary1 raw1 or virgin material in the manufacturing of a product4 7#bc7 ,relevant ,federal agency ,the term relevant ,federal agency means-- 7,a7 the ,department of ,energy1 7,b7 the ,office of the ,united ,states ,trade ,representative1 7,c7 the ,department of ,commerce1 7,d7 the ,department of ,state1 7,e7 the ,environmental ,protection ,agency1 7,f7 the ,council on ,environmental ,quality1 7,g7 the ,office of ,science and ,technology ,policy1 and 7,h7 the ,department of ,homeland ,security4 7#bd7 ,transportation emissions ,the term transportation emissions means pollution from the transport of a covered product1 or an input material or precursor1 across international borders prior to entry into the ,united ,states4 #dfib4 ,imposition of foreign pollution fee 7a7 ,in general 7#a7 ,imposition of fee ,in the case of any covered product which is imported by a covered entity into the ,united ,states after the applicable date1 there is hereby imposed an ad valorem fee upon entry or importation of such covered product in an amount equal to the product of-- 7,a7 the customs value of such covered product which is imported into the ,united ,states1 and 7,b7 the variable charge 7as determined under section #dfic74 7#b7 ,applicable date ,for purposes of paragraph 7#a71 the applicable date shall be the date which is #f weeks after the date of enactment of this subchapter4 7b7 ,fee due 7#a7 ,in general ,the fee imposed under this section with respect to any covered product shall be paid by the covered entity which imported such product at the same time1 and through the same electronic portal1 that any payment of custom duties are made4 7#b7 ,security for fees ,the ,secretary may issue such regulations or other guidance to require1 or may direct officers of ,u4,s4 ,customs and ,border ,protection to require1 a covered entity to file with the ,secretary a bond or other security in such amount and with such conditions as the ,secretary determines necessary to ensure payment of the fees imposed under this section4 #dfic4 ,determination of variable charge 7a7 ,in general 7#a7 ,initial application ,for purposes of the period beginning on the day after the applicable date under section #dfib7;a77#b7 and ending on the date on which the final rules under section #dfih7;b7 are issued1 the variable charge with respect to any covered product shall be determined under the following table 7as determined pursuant to the applicable country of origin and applicable category under section #dfif with respect to such covered product73 ,country of ,origin,paragraph 7#d7 or 7#e7 of section #dfif,paragraph 7#a7 of section #dfif,paragraph 7#b7 of section #dfif,paragraph 7#c71 7#f71 or 7#h7 of section #dfif,paragraph 7#g7 or 7#i7 of section #dfif,paragraph 7#aj7 of section #dfif,paragraph 7#aa7 of section #dfif ,canada#bfbgagbgcccjca ,china#bjjadcbjjajcababjjbjj ,mexico#chbgdejjajjci ,south ,korea#dgdiddehjajjce ,germany#icjjjjcej ,taiwan#ajjajjajjeaecajjfi ,india#ajjajjajjajjchajjdf ,vietnam#bjjbjjbjjbjjbjjbjjbjj ,brazil#eeefdiegbiegcj ,japan#bibibicdjcgj ,italy#jjjjjggj ,thailand#fechgbbfbcajjbh ,turkey#ejdeegajjcbajjda ,france#jfjjjaij ,spain#jjbbcejfai ,united ,kingdom#jbhjjjcgj ,netherlands#bfbgjjaacdg ,russia#bjjbjjbjjbjjbjjjj ,austria#bfbijjjcij ,colombia#cbcbcbjjajjj ,israel#jjjjjcgj ,hungary#ccbhcccajajjci ,malaysia#gadjajjccajjajjajj ,poland#ciddcideeafgeb ,cambodia#ffjfffhjjj ,any other country#ejdjeedhfiajjcg 7#b7 ,subsequent application 7,a7 ,in general ,for purposes of the #cf-month period subsequent to the date on which the final rules under section #dfih7;b7 are issued1 the variable charge with respect to any covered product shall be determined as follows3 7i7 ,with respect to any covered product which has been assigned to tier #a1 the variable charge shall be an amount 7expressed as a percentage7 equal to or greater than #e percent and not greater than #be percent1 as determined in such manner as to achieve a linear correlation between the variable charge and the pollution intensity difference of products assigned to such tier4 7ii7 ,with respect to any covered product which has been assigned to tier #b1 the variable charge shall be an amount 7expressed as a percentage7 equal to or greater than #be percent and not greater than #hj percent1 as determined in such manner as to achieve a linear correlation between the variable charge and the pollution intensity difference of products assigned to such tier4 7iii7 ,with respect to any covered product which has been assigned to tier #c1 the variable charge shall be an amount 7expressed as a percentage not to exceed #ajj percent7 equal to the sum of-- 7,i7 #hj percent1 plus 7,,ii7 #a percentage point for every percentage point by which the pollution intensity difference of such product exceeds #bjj percent4 7,b7 ,tiers 7i7 ,tier #a ,any covered product for which the pollution intensity difference is greater than #aj percent and not greater than #bj percent shall be assigned to tier #a4 7ii7 ,tier #b ,any covered product for which the pollution intensity difference is greater than #bj percent and not greater than #bjj percent shall be assigned to tier #b4 7iii7 ,tier #c ,any covered product for which the pollution intensity difference is greater than #bjj percent shall be assigned to tier #c4 7,c7 ,enhancement of variable charge 7i7 ,nonmarket economy country ,in the case of any covered product for which the country of origin is a nonmarket economy country1 the variable charge with respect to such product shall be an amount 7expressed as a percentage7 equal to the product of-- 7,i7 the amount otherwise determined under subparagraph 7,a7 with respect to such product1 multiplied by 7,,ii7 #b4 7ii7 ,foreign entity of concern ,in the case of any covered product which is produced in a facility which is owned or controlled by a foreign entity of concern1 the variable charge with respect to such product shall be an amount 7expressed as a percentage7 equal to the product of-- 7,i7 the amount otherwise determined under subparagraph 7,a7 with respect to such product1 multiplied by 7,,ii7 #b4 7iii7 ,facility owned by foreign entity of concern in nonmarket economy country ,in the case of any covered product which is described in both clause 7i7 and clause 7ii71 the variable charge with respect to such product shall be an amount 7expressed as a percentage7 equal to the product of-- 7,i7 the amount otherwise determined under subparagraph 7,a7 with respect to such product1 multiplied by 7,,ii7 #d4 7b7 ,exception for national security 7#a7 ,in general ,the ,secretary1 in coordination with the ,secretary of ,defense and the ,commissioner of ,u4,s4 ,customs and ,border ,protection1 may reduce the variable charge to zero for specific entries of a covered product if the ,secretary determines that such specific entries are imported for purposes of fulfilling a ,department of ,defense contract4 7#b7 ,publication ,the ,secretary shall make public any reduction under this subsection with respect to a covered product unless the publication of such information would negatively affect national security4 7c7 ,evasion 7#a7 ,in general ,if the ,secretary of ,commerce 7in consultation with the ,secretary1 the ,secretary of ,homeland ,security1 the ,united ,states ,trade ,representative1 and the appropriate congressional committees7 determines that any country1 producer1 or importer is evading or attempting to evade application of the fee imposed under section #dfib1 the ,secretary shall adjust the variable charge in such manner as is deemed necessary to offset or deter such evasion4 7#b7 ,trade ,remedy ,law ,enforcement ,division ,the ,trade ,remedy ,law ,enforcement ,division of the ,office of ,trade of the ,department of ,homeland ,security shall assist the ,secretary with enforcement and compliance activities concerning any evasion described in paragraph 7#a74 7#c7 ,definition 7,a7 ,in general ,the terms evade and evasion shall be deemed to refer to entering any covered product into the customs territory of the ,united ,states-- 7i7 by means of any document or electronically transmitted data or information1 written or oral statement1 or act that is material and false1 or any omission that is material1 and 7ii7 which results in any bond or other security or any amount of the fee imposed under section #dfib with respect to such product being reduced or not being applied4 7,b7 ,fraud relating to carbon removal activities ,the terms evade and evasion shall include any fraud relating carbon removal activities associated with the production of a covered product 7as described in section #dfid7;d77#c774 7#d7 ,rules ,not later than #ab months after the date of enactment of this subchapter1 the ,secretary 7in consultation with the ,secretary of ,homeland ,security7 shall issue a final rule with respect to the implementation of this subsection4 #dfid4 ,calculation of pollution intensity 7a7 ,in general ,for purposes of determining the variable charge for covered products under section #dfic after the period described in section #dfic7;a77#a71 the ,secretary 7in consultation with the ,advisory ,committee7 shall-- 7#a7 develop consistent methods for calculating the pollution intensity of any covered product which are applied consistently across covered products and to the country of origin1 and 7#b7 make such methods publicly available4 7b7 ,form 7#a7 ,in general ,with respect to any covered product1 the pollution intensity of such product shall be expressed based on the production-weight averaged pollution intensity associated with the manufacturing of such product in the country of origin4 7#b7 ,relevant emissions ,the pollution intensity of a covered product shall account for-- 7,a7 direct emissions1 7,b7 indirect emissions1 7,c7 precursor emissions1 and 7,d7 transportation emissions1 associated with the manufacturing of such product4 7#c7 ,specificity ,to the maximum extent practicable1 the pollution intensity of a covered product shall be specific to the applicable #f-;digit ,,hts subheading number4 7#d7 ,exceptions 7,a7 #d-;digit ,in the case of a covered product for which data is not available to determine pollution intensity in a manner specific to the #f-;digit ,,hts subheading number1 the ,secretary may determine the pollution intensity based on the applicable #d-;digit ,,hts heading4 7,b7 #aj-;digit ,in the case of a covered product for which data demonstrates significant differences in pollution intensity between #aj-;digit ,,hts statistical reporting numbers1 the ,secretary may determine pollution intensity based on the applicable #aj-;digit statistical reporting number4 7c7 ,data 7#a7 ,in general ,to the extent necessary for any determination with respect to any covered product1 the ,secretary 7in consultation with the ,advisory ,committee7 may use-- 7,a7 economic1 statistical1 and engineering models and analysis1 7,b7 pollution monitoring data from facilities1 satellites1 and other pollution monitoring tools1 provided that such data-- 7i7 is publicly available1 or 7ii7 is not publicly available but is able to be accessed and verified on a consistent basis by the ,secretary or the head of any relevant ,federal agency1 7,c7 voluntarily reported data1 provided that such data is-- 7i7 a product of monitored emissions1 and 7ii7 able to be verified by the ,secretary1 7,d7 the best available information on technology performance levels for the industrial sector that produces such product1 and 7,e7 manufacturing and pollution data which is specific to a covered product1 including relevant data regarding-- 7i7 the industrial sector which is associated with such product1 and 7ii7 the country of origin4 7#b7 ,access to information 7,a7 ,in general ,the head of every relevant ,federal agency shall provide the ,secretary with any information held by or otherwise available to the head of such ,federal agency which is relevant to the calculation of pollution intensity4 7,b7 ,confidentiality ,with respect to any information or data relating to operational practices or manufacturing processes of any producer of a covered product which is provided to the ,secretary pursuant to subparagraph 7,a71 unless such information or data is otherwise publicly available1 the head of any relevant ,federal agency shall take such measures as are necessary to ensure that such information and data is aggregated and anonymized4 7d7 ,methodology 7#a7 ,in general ,for purposes of creating a process for calculating the pollution intensity of any covered product under subsection 7a71 the ,secretary 7in consultation with the ,advisory ,committee7 shall-- 7,a7 use the best1 and most internationally comparable1 data available to establish the baseline pollution intensity with respect to such product1 and 7,b7 in the case of a covered product produced outside of the ,united ,states1 base the calculation of the pollution intensity of such product on the process used to establish the baseline pollution intensity for such product4 7#b7 ,treatment of recycled materials ,in the case of any recycled material which is recycled 7as defined in section #bdf4aja7x7 of title #dj1 ,code of ,federal ,regulations7 into-- 7,a7 an input material or precursor1 or 7,b7 a covered product1 the ,secretary shall deem such recycled material to have a pollution intensity as low as zero1 as determined pursuant to such methods as are determined appropriate by the ,secretary4 7#c7 ,treatment of carbon oxides 7,a7 ,in general ,any carbon oxide captured from manufacturing processes by the producer of a covered product1 or verifiably purchased by the producer of a covered product as an offset from a verified entity operating carbon removal infrastructure or projects1 shall have the effect of reducing the pollution associated with the production of a covered product if-- 7i7 in the case of any carbon oxide captured by the producer of the covered product1 such carbon oxide is captured in the country of origin of such product and either-- 7,i7 utilized in the creation of a product in a manner which ensures that such carbon oxide does not escape into the atmosphere1 or 7,,ii7 verifiably sequestered in a manner which provides an accurate accounting of the storage of such carbon oxide1 or 7ii7 in the case of an offset purchased by the producer of the covered product1 such offset is a durable carbon removal credit representing carbon oxides removed from the atmosphere in the ,united ,states or in any country by an entity which is not designated as a foreign entity of concern1 as verified in a manner which provides an accurate accounting of the utilization or sequestration of such carbon oxide1 including the permanence of its storage4 7,b7 ,accounting ,subject to subparagraph 7,c71 any carbon oxide utilized or sequestered as described in subparagraph 7,a7 shall be-- 7i7 treated as a reduction in pollution associated with the production of a covered product based on the total tons of carbon oxide utilized or sequestered1 7ii7 eligible to offset relevant emissions based on the relevant carbon dioxide equivalent value1 and 7iii7 verified pursuant to such process as is established by the ,secretary 7in consultation with the ,administrator and the ,secretary of ,energy74 7,c7 ,weighting ,for purposes of subparagraph 7,b71 with respect to determining the amount of carbon oxide utilized or sequestered 7as described in subparagraph 7,a771 such determination shall be conducted in such a manner as is determined appropriate by the ,secretary 7in consultation with the ,administrator and the ,secretary of ,energy7 so as to ensure that any reduction in the amount of pollution associated with the production of a covered product is commensurate with the level of durability and permanency of the captured carbon oxide which is utilized or sequestered1 such that measures that provide for permanent carbon removal 7such as sequestration of carbon oxides in geologic storage or other equivalent measures that have been scientifically determined to provide permanent storage7 will be determined to result in a proportionally higher reduction in pollution than measures that provide for non-permanent carbon removal 7such as measures that have been scientifically determined to have a lower period of storage or higher risks of reversal compared to geologic storage74 7#d7 ,treatment of facility-specific agreements ,for the purpose of determining the pollution intensity of any covered product which is produced in a foreign country1 if-- 7,a7 such product is produced in a facility which is-- 7i7 located in such country1 and 7ii7 covered by an agreement established under section #bjd of the ,foreign ,pollution ,fee ,act of #bjbe1 and 7,b7 the pollution intensity of the product produced in such facility would otherwise lower the average pollution intensity associated with the production of such product in such country1 the pollution intensity of the product produced in such facility shall not be included for purposes of calculating the pollution intensity associated with production of such product in the country of origin4 7e7 ,alterations for foreign data ,for purposes of determining the pollution intensity values with respect to any country of origin for a covered product1 if-- 7#a7 the baseline pollution intensity for such covered product was determined utilizing a methodology based on data described in subsection 7c7 which was provided at a more localized level1 or in more granular detail1 than the data available with respect to the country of origin1 the pollution intensity otherwise determined under this section with respect to production of such covered product in such country of origin shall be increased by #bj percent1 and 7#b7 data with respect to the country of origin is unavailable or unverifiable1 the ,secretary may determine the baseline pollution intensity for the country using an inference that is adverse to the interests of the country in selecting from among the facts otherwise available to make the determination4 7f7 ,foreign illustration of pollution intensity 7#a7 ,in general ,any country may provide the ,secretary with access to any verifiable data necessary to establish an alternative pollution intensity with respect to any covered product4 7#b7 ,alternative pollution intensity 7,a7 ,in general ,in the case of a country which provides data described in paragraph 7#a71 the ,secretary may adjust the pollution intensity with respect to any covered product1 provided that the country providing such data-- 7i7 ensures the accuracy of all relevant data for all covered products1 7ii7 provides data at a level of granularity which satisfies the methods established by the ,secretary1 and 7iii7 provides the data consistently and in a manner that is verifiable by the ,secretary4 7,b7 ,role of the ,advisory ,committee ,for purposes of this paragraph1 the ,advisory ,committee shall assist the ,secretary by verifying relevant data and calculating adjustments to pollution intensities4 7#c7 ,publication of alternative pollution intensity values ,in the case of any pollution intensity with respect to any covered product which is adjusted pursuant to paragraph 7#b7-- 7,a7 the ,secretary shall publish such adjustment in the ,federal ,register1 and 7,b7 such adjustment shall take effect in the following calendar year4 7g7 ,treatment of potential evasion and outliers ,if the ,secretary of ,commerce 7in consultation with the ,secretary1 the ,united ,states ,trade ,representative1 the appropriate congressional committees1 and any relevant ,federal agency7 determines that any country or any producer is evading or attempting to evade application of the fee imposed under section #dfib1 the ,secretary may prohibit the importation of covered goods from that country or produced by that producer4 #dfie4 ,treatment of international partnerships 7a7 ,adjustment of fee for partner countries ,in the case of a covered product which is produced in a country which is a party to an international partnership agreement which satisfies the conditions under sections #bja and #bjb of the ,foreign ,pollution ,fee ,act of #bjbe 7referred to in this section as a partner country71 the fee under section #dfib shall be reduced in accordance with the terms of such agreement4 7b7 ,elimination of treatment of foreign data ,section #dfid7;e7 shall not apply to any partner country4 #dfif4 ,covered products ,the term covered product means articles classifiable under the same #f-;digit subheading number of the ,,hts within one of the following categories3 7#a7 ,aluminum classifiable under heading #gfja or any of headings #gfjc through #gfjh of the ,,hts1 aluminum hydroxide classifiable under subheading #bhah4cj4jj of the ,,hts1 and aluminum oxide classifiable under subheading #bhah4bj4jj of the ,,hts4 7#b7 ,articles of aluminum classifiable under any of headings #gfji through #gfaf of the ,,hts1 and any other articles of aluminum that are classified under any other heading or subheading of the ,,hts 7as identified by the ,secretary74 7#c7 ,articles of cement classifiable under headings #fhaj or #fhaa of the ,,hts4 7#d7 ,iron and steel classifiable under any of headings #gbjf through #gcjf of the ,,hts4 7#e7 ,articles of iron and steel classifiable under any of headings #gcjg through #gcbf of the ,,hts4 7#f7 ,cement classifiable under heading #bebc or subheading #chbd4ej of the ,,hts4 7#g7 ,fertilizer and related products classifiable under any of the following headings or subheading of the ,,hts3 7,a7 ,heading #bhjh4 7,b7 ,heading #bhad4 7,c7 ,subheading #bhcd4ba4 7,d7 ,heading #cajb 7other than subheading #cajb4aj4cj74 7,e7 ,any of subheadings #caje4bj through #caje4ei4 7,f7 ,subheading #caje4ij4aj4 7#h7 ,glass classifiable under any of headings #gjja through #gjbj of the ,,hts4 7#i7 ,hydrogen classifiable under subheading #bhjd4aj of the ,,hts4 7#aj7 ,solar products classifiable under any of subheadings #bhjd4fa1 #chah4jj1 #heda4db1 #heda4dc1 #heda4di1 and #heda4ei of the ,,hts4 7#aa7 ,battery inputs classifiable under statistical reporting number #bhbf4ij4ijaj or subheading #hejg4fj4jj or #hejg4ij of the ,,hts4 #dfig4 ,advisory ,committee on ,global ,pollution ,challenges 7a7 ,in general ,the ,secretary shall establish an advisory committee1 to be known as the ,advisory ,committee on ,global ,pollution ,challenges1 in accordance with chapter #aj of title #e1 ,united ,states ,code 7commonly referred to as the ,federal ,advisory ,committee ,act7 4 7b7 ,composition 7#a7 ,in general ,the ,advisory ,committee shall be composed of-- 7,a7 #b representatives of each of the industrial sectors described in paragraphs 7#a7 through 7#i7 of section #dfif1 7,b7 #b representatives from the ,national ,laboratories 7as defined in section #b of the ,energy ,policy ,act of #bjje 7#db ,u4,s4,c4 #aehja771 and 7,c7 #b representatives from the scientific research community with expertise in greenhouse gas accounting and the monitoring1 reporting1 and verification of carbon reduction and carbon removal processes1 as appointed by the ,secretary4 7#b7 ,period of appointment ,each representative appointed pursuant to paragraph 7#a7 shall serve for a term of #b calendar years1 and may be reappointed by the ,secretary for any additional term4 7c7 ,chair ,the chair of the ,advisory ,committee shall be selected by the ,secretary from the representatives described in subsection 7b74 7d7 ,duties ,the ,advisory ,committee shall-- 7#a7 in accordance with section #dfid1 consult with the ,secretary on methods of calculating-- 7,a7 the baseline pollution intensity1 as determined based on production of the covered product in the ,united ,states1 and 7,b7 the respective pollution intensity for production of such covered product in any foreign country1 7#b7 provide assistance with regard to section #dfid7;f71 as well as any other requests from the ,secretary1 and 7#c7 provide recommendations to the ,secretary regarding any rules or reassessments under section #dfih4 #dfih4 ,establishment process and reassessments 7a7 ,in general ,the processes established under this section shall be utilized to-- 7#a7 provide rules for application of the fee imposed under section #dfib after the period described in section #dfic7;a77#a71 and 7#b7 perform any required reassessment4 7b7 ,rulemaking 7#a7 ,classification of covered products ,not later than #ab months after the date of enactment of this subchapter1 the ,secretary shall issue a final rule for purposes of determining the appropriate heading or subheading number of the ,,hts for each covered product4 7#b7 ,pollution intensity methodology calculations 7,a7 ,in general ,not later than #ab months after the date of enactment of this subchapter1 the ,secretary shall publish a final rule establishing-- 7i7 in a manner consistent with section #dfid1 the methods for calculating the pollution intensity with respect to each covered product and country of origin1 and 7ii7 methods for any foreign country to establish an alternative pollution intensity with respect to any covered product pursuant to subsection 7f7 of such section4 7,b7 ,evasion ,not later than #ah months after the date of enactment of this subchapter1 the ,secretary shall publish a final rule to address producers described in section #dfid7;g74 7#c7 ,establishment of variable charges ,not later than #ab months after the date of enactment of this subchapter1 the ,secretary 7in consultation with the ,united ,states ,trade ,representative7 shall issue a final rule establishing the variable charge for covered products for purposes of section #dfic4 7#d7 ,traceability 7,a7 ,in general ,not later than #ab months after the date of enactment of this subchapter1 the ,secretary 7in consultation with the ,secretary of ,homeland ,security7 shall issue a final rule with respect to establishing traceability requirements applicable to any covered entity for purposes of demonstrating the accuracy of data provided with respect to each entry or importation of a covered product which is relevant to determining the variable charge imposed on such product4 7,b7 ,requirements 7i7 ,in general ,for purposes of subparagraph 7,a71 the traceability requirements shall include-- 7,i7 entry-1 importation- and supply chain-specific traceability and document authentication with respect to all entities involved in production of the covered product at every step of the supply chain1 and 7,,ii7 successful verifications 7for entries or importations7 and validations 7for supply chains74 7ii7 ,frequency ,for purposes of clause 7i71 such verifications1 validations1 and audits shall be conducted at a frequency 7as determined by the ,secretary in the final rule described in subparagraph 7,a77 that is tailored to jurisdiction-1 producer-1 industry-1 and product-specific risk factors in order to provide a high level of confidence to the ,secretary that covered entities are satisfying the requirements established under the final rule4 7,c7 ,demonstration ,at the time of each entry or importation of a covered product1 the covered entity shall affirmatively demonstrate to the ,secretary that the requirements established under subparagraph 7,a7 have been satisfied with respect to such product4 7,d7 ,data ,the ,secretary shall use the data provided by covered entities to ,u4,s4 ,customs and ,border ,protection pursuant to the requirements established under subparagraph 7,a7 for purposes making determinations under section #dfid7;g7 with respect to whether any country or any producer is evading or attempting to evade application of the fee imposed under section #dfib4 7#e7 ,additional rulemaking ,in addition to the rules described in paragraphs 7#a7 through 7#d71 any rules which are necessary in order to properly apply the fee under section #dfib shall be issued not later than the date which is #ab months after the date of enactment of this subchapter4 7c7 ,reassessment 7#a7 ,in general ,not later than #c years after the date of the issuance of any final rule described in subsection 7b71 and every #c years thereafter1 the ,secretary shall reassess and1 as necessary1 issue a final rule to adjust1 the existing final rule4 7#b7 ,revision ,the ,united ,states ,international ,trade ,commission1 in consultation with the ,secretary1 shall annually publish a notice reflecting headings1 subheadings1 and statistical reporting numbers of the ,,hts contained in any rule issued under this section which need to be amended due to revisions to the ,,hts4 7#c7 ,newly available data ,with respect to any reassessment described in paragraph 7#a71 the ,secretary may utilize any data which is available as a result of enhancements in the ability to assess domestic or foreign pollution pursuant to legislation enacted or developments in technology subsequent to the issuance of the most recent final rule4 7#d7 ,international partnerships ,in the case of an international partnership agreement1 the ,secretary may1 at the time of the establishment of such agreement and in a manner consistent with such agreement1 issue a final rule to adjust the pollution intensity for any covered product 7as determined pursuant to subsection 7d77 produced in a country which is a party to such agreement4 7#e7 ,timing ,in the case of any final rule issued with respect to any reassessment under paragraph 7#a71 the application of such rule shall take effect on ,january #a of the first calendar year beginning subsequent to the issuance of such final rule4 7d7 ,process 7#a7 ,notice and consultation ,not later than #f months prior to-- 7,a7 the date on which any final rule is required to be issued under paragraphs 7#a7 through 7#e7 of subsection 7b71 and 7,b7 the date on which any reassessment is required to be made under subsection 7c77#a71 the ,secretary shall publish a notice of proposed rulemaking with respect to such final rule or reassessment and brief the appropriate congressional committees and consult with such committees regarding such final rule or reassessment4 7#b7 ,comment ,following the notice under paragraph 7#a71 the ,secretary shall provide a public comment period of not less than #fj days4 7#c7 ,consultation ,prior to the issuance of any final rule or reassessment under this section regarding the appropriate classification of covered products1 the ,secretary may consult with-- 7,a7 the ,united ,states ,trade ,representative1 7,b7 the ,united ,states ,international ,trade ,commission1 7,c7 the ,commissioner of ,u4,s4 ,customs and ,border ,protection1 and 7,d7 all other relevant ,federal agencies4 7e7 ,publication of ,foreign ,pollution ,fee ,table 7#a7 ,in general ,the ,secretary shall publish1 in a comprehensive format that is made publicly available1 all final rules issued under this section with respect to the application of the fee imposed under section #dfib 7referred to in this subsection as the ,foreign ,pollution ,fee ,table74 7#b7 ,included information ,the ,foreign ,pollution ,fee ,table shall include information related to-- 7,a7 any products covered by the fee imposed under section #dfib1 as identified by the applicable #f-;digit ,,hts subheading number1 7,b7 the variable charge with respect to any covered product by country of origin1 and 7,c7 the baseline pollution intensity and pollution intensity with respect to each covered product and country of origin4 7#c7 ,updates ,the ,foreign ,pollution ,fee ,table shall be updated every #ab months4 7#d7 ,exception ,the ,secretary shall redact any information which may have a negative effect on national security4 4 ,,ii ,international partnership agreements relating to pollution fees #bja4 ,international partnership agreements 7a7 ,in general ,the ,united ,states ,trade ,representative1 at the direction of the ,president1 may-- 7#a7 engage in negotiations with countries to encourage the establishment and expansion of international partnership agreements1 as provided in this title2 7#b7 establish agreements with foreign countries with respect to proposals to enter into international partnership agreements2 7#c7 implement such an agreement2 and 7#d7 perform the oversight and enforcement role necessary to uphold any such agreement4 7b7 ,requirements for international partnership agreements 7#a7 ,products ,an international partnership agreement may be entered into under this title on the basis of one or more covered products4 7#b7 ,parties 7,a7 ,in general ,subject to the requirements under subparagraph 7,b7 and paragraph 7#c71 the ,united ,states may enter into an international partnership agreement under this title with-- 7i7 one country2 or 7ii7 multiple countries4 7,b7 ,exclusion of nonmarket economy countries ,the ,united ,states may not enter into an international partnership agreement under this title with a nonmarket economy country4 7#c7 ,requirements ,an international partnership agreement entered into under this title is required to provide for-- 7,a7 creation of interoperable methods to promote pollution reduction through trade mechanisms by assessing pollution intensity differences between countries2 7,b7 maintenance of the ability of a country that is a party to the agreement to determine methods of pollution reduction within that country2 7,c7 reduction of any fee or charge between countries that are parties to the agreement in a manner compatible with the process described in section #bjb2 7,d7 compatible pollution monitoring1 reporting1 and verification methods that-- 7i7 allow for interoperable methods to be used to calculate the pollution intensity of covered products and countries that are parties to the agreement1 on the basis of the available information within each such country2 7ii7 allow for similar methods to be used to calculate the pollution intensity of covered products imported from countries that are not parties to the agreement2 and 7iii7 allow for each country that is a party to the agreement to consistently validate the monitoring and reporting information of the other countries that are parties to the agreement with respect to products covered by the agreement2 and 7,e7 collaboration between the parties to the agreement on developing and implementing policies-- 7i7 to address market distortions1 including excess capacity1 caused by the policies or practices of nonmarket economy countries2 and 7ii7 to determine whether covered products are produced in facilities owned or controlled by a foreign entity of concern4 7c7 ,timeline 7#a7 ,in general ,the requirements described in subsection 7b7 with respect to an international partnership agreement are required to be achieved-- 7,a7 for high-income countries and upper-middle income countries1 not later than #c years after entering into the agreement2 and 7,b7 for low-income countries and lower-middle-income countries1 not later than #e years after entering into the agreement4 7#b7 ,applicability of benefits 7,a7 ,in general ,except as provided by subsection 7f71 countries described in paragraph 7#a77;,a7 shall not receive the treatment described in section #dfie of the ,internal ,revenue ,code of #aihf1 as added by title ,i1 until the requirements under subsection 7b7 are met4 7,b7 ,termination ,the ,united ,states shall maintain the right to terminate an international partnership agreement at any time pursuant to the terms of the agreement4 7d7 ,publication2 congressional review ,an international partnership agreement entered into under this section shall be-- 7#a7 published in the ,federal ,register2 and 7#b7 treated as a final rule prepared by an agency1 including with respect to review by ,congress under chapter #h of title #e1 ,united ,states ,code 7commonly referred to as the ,congressional ,review ,act74 7e7 ,restrictions on negotiations relating to domestic policy ,the authority provided by this section does not include the authority to negotiate or enter into an agreement that would establish carbon taxes1 fees1 pricing1 or other mechanisms that impose additional costs on products produced by a ,united ,states entity4 7f7 ,delay in application of foreign pollution fee ,to negotiate with free trade agreement countries ,in the case of a country with which the ,united ,states has a free trade agreement in effect that is negotiating for a partnership agreement under this title1 the application of the fee under section #dfif of the ,internal ,revenue ,code of #aihf1 as added by title ,i1 may be delayed for not more than #ab months to provide time to complete the negotiations4 #bjb4 ,application of foreign pollution fee in partnerships 7a7 ,in general ,in accordance with section #dfie of the ,internal ,revenue ,code of #aihf1 as added by title ,i1 a reduced fee shall be applied under section #dfib of such ,code with respect to a covered product imported from a country that is a party to an international partnership agreement entered into under this title4 7b7 ,failure ,to meet requirements ,if a covered product is produced in a country that is a party to an international partnership agreement entered into under this title but does not meet the requirement described in subsection 7a71 the fee applied under section #dfib of the ,internal ,revenue ,code of #aihf1 as added by title ,i1 with respect to the covered product shall be calculated based on the variable charge determined under section #dfic7;a7 of the ,internal ,revenue ,code of #aihf1 as added by title ,i4 7c7 ,treatment of low-,income and lower-,middle income countries 7#a7 ,in general ,during the #e-year period following the entry into force of an international partnership agreement under this title between the ,united ,states and a low-income country or lower-middle-income country-- 7,a7 the pollution intensity requirement described in subsection 7a7 shall be considered to be met with respect to covered products produced in the country2 and 7,b7 no fee shall be applied to covered products imported from that country4 7#b7 ,modifications to requirements 7,a7 ,in general ,during the #aj-year period beginning after the completion of the #e-year period described in paragraph 7#a71 the pollution intensity requirement described in subsection 7a7 shall be considered to be met with respect to a covered product produced in a country described in paragraph 7#a7 if new capacity in that country for the production of the covered product developed during the #aj-year period described in paragraph 7#a7 is not more than #ej percent more pollution intense than the baseline pollution intensity at the time of the entry into force of the international partnership agreement4 7,b7 ,future development ,for the #aj-year period beginning after the completion of the #aj-year period described in subparagraph 7,a71 and each #aj-year period thereafter1 the pollution intensity requirement described in subsection 7a7 shall be considered to be met with respect to a covered product produced in a country described in paragraph 7#a7 if new capacity in that country for the production of the covered product developed during the preceding #aj-year period is not more than #be percent more pollution intense than the baseline pollution intensity at the beginning of such preceding #aj-year period4 7#c7 ,application of fee ,if the requirements described in paragraph 7#a7 or 7#b71 as applicable1 are not met with respect to a covered product1 the fee specified in subsection 7b7 shall apply4 7d7 ,treatment of evasion of fee ,nothing in this section shall supersede section #dfid7;g7 of the ,internal ,revenue ,code of #aihf1 as added by title ,i1 with respect to potential evasion of the fee assessed under section #dfib of such ,code if-- 7#a7 a determination is made under such section #dfid7;g7 with respect to a producer2 and 7#b7 the producer is owned1 operated1 or financed in or by a country that is not a party to an international partnership agreement entered into under this title4 #bjc4 ,support for participation of low-income and lower-middle-income countries in international partnership agreements 7a7 ,in general ,the ,united ,states ,trade ,representative1 at the direction of the ,president and in consultation with the heads of the relevant ,federal agencies1 may include1 in an international partnership agreement entered into under this title with a country described in subsection 7b71 provisions providing for-- 7#a7 the provision of treatment described in section #bjb7;c7 to that country2 7#b7 the extension of untied or tied aid through a ,united ,states export1 development1 or trade agency to support energy technology deployment and manufacturing and secure supply chain development1 including financing and technical assistance provided by the ,united ,states ,agency for ,international ,development1 the ,department of ,state1 the ,millennium ,challenge ,corporation1 and the ,united ,states ,international ,development ,finance ,corporation2 7#c7 lower initial requirements relating to pollution data monitoring and alternative methods to more accurately project and model pollution under the agreement2 7#d7 support for expansion of monitoring and reporting of pollution using best practices2 and 7#e7 technical assistance to ensure full compliance with the terms of the agreement4 7b7 ,countries described ,a country described in this subsection is-- 7#a7 a low-income country or a lower-middle-income country2 and 7#b7 a country that the ,united ,states ,trade ,representative determines-- 7,a7 meets investment thresholds in environmental infrastructure commensurate with the revenue foregone as a result of not charging the fee under section #dfib of the ,internal ,revenue ,code of #aihf1 as added by title ,i1 with respect to covered products imported from the country2 7,b7 meets procurement thresholds of covered products and related goods and services produced in the ,united ,states and other countries that are parties to international partnership agreements under this title2 7,c7 provides preferential market access for energy and environmental1 security1 and healthcare goods and services produced in the ,united ,states2 and 7,d7 adopts certain labor and environmental standards4 7c7 ,benchmarks and requirements 7#a7 ,in general ,the ,united ,states ,trade ,representative shall establish benchmarks or requirements to assess the progress of a country described in subsection 7b7 in fully implementing the terms of an international partnership agreement entered into under this title4 7#b7 ,benchmarks ,the benchmarks and requirements established under paragraph 7#a7 with respect to a country shall include-- 7,a7 improving methods of monitoring1 reporting1 and verifying pollution levels2 7,b7 if1 after the entry into force of the international partnership agreement1 new manufacturing or production capacity for a covered product is built in the country but that capacity is owned or operated1 or the majority of the financing for that capacity is provided1 by an entity associated with a country that is not a party to an international partnership agreement1 treating the new capacity-- 7i7 at the pollution intensity of the country that is not a party to an international partnership agreement if the pollution intensity for the covered product produced in that country is greater than the pollution intensity of the covered product produced in the country that is a party to the international partnership agreement2 7ii7 as not eligible for the treatment of a country that is a party to an international partnership agreement described in section #bjb2 and 7iii7 in accordance to the requirements of section #dfie of the ,internal ,revenue ,code of #aihf1 as added by title ,i2 and 7,c7 if1 after the entry into force of the international partnership agreement1 the ownership1 a stake of ownership1 or operation of manufacturing or production capacity for a covered product that is in operation on the date of entry into force is transferred to an entity in a country that is not a party to an international partnership agreement1 treating such capacity-- 7i7 at the pollution intensity of the country that is not a party to an international partnership agreement if the pollution intensity for the covered product produced in that country is greater than the pollution intensity of the covered product produced in the country that is a party to the international partnership agreement2 7ii7 as not eligible for the treatment of a country that is a party to an international partnership agreement described in section #bjb2 and 7iii7 in accordance to the requirements of section #dfie of the ,internal ,revenue ,code of #aihf1 as added by title ,i4 7d7 ,termination ,the ,united ,states shall maintain the authority to terminate the application to a country with which the ,united ,states enters into an international partnership agreement under this title of the provisions described in subsection 7a7-- 7#a7 if the country does not meet the benchmarks and requirements under subsection 7c72 and 7#b7 pursuant to the terms of the international partnership agreement4 7e7 ,inclusion of other international partners ,to the maximum extent practicable1 the ,united ,states shall seek to include additional high-income countries and upper-middle-income countries in international partnership agreements entered into under this title with low-income countries or lower-middle-income countries4 #bjd4 ,treatment of certain facilities relating to pollution fees 7a7 ,in general ,the ,commissioner of ,u4,s4 ,customs and ,border ,protection and the ,administrator of the ,environmental ,protection ,agency shall jointly develop a process under a facility located in a foreign country may apply to have products produced at the facility be treated at a pollution intensity specific to the facility 7in this section referred to as facility-specific treatment7 instead of the pollution intensity for the country4 7b7 ,eligibility requirements ,to be eligible for facility-specific treatment under subsection 7a71 a facility is required to-- 7#a7 be placed in service after the date of the enactment of this ,act2 7#b7 be-- 7,a7 owned or operated by a ,united ,states entity2 or 7,b7 located in a country-- 7i7 with which the ,united ,states has entered into an international partnership agreement under this title2 or 7ii7 with which the ,united ,states has a free trade agreement in effect2 7#c7 comply with procedures to allow for ongoing verification of direct emissions by ,united ,states officials or their designees1 including requirements that the facility-- 7,a7 deploy pollution monitoring equipment able to report in real time the levels of pollution emitted by the facility2 7,b7 provide access to real-time pollution monitoring data2 7,c7 in the absence of pollution monitoring equipment1 disclose-- 7i7 the volume and type of fuels consumed within the facility for the production of each covered product2 7ii7 emissions associated with any fuel combustion within the facility for the production of each covered product1 including for industrial processes and any electricity1 heat1 or steam production2 and 7iii7 all emissions associated with the chemical and physical transformation of raw materials within the facility for the production of each covered product2 and 7,d7 allow for spot inspections to ensure compliance with the requirements of this subsection2 7#d7 account for the indirect emissions from the production of electricity1 heating1 and cooling that is produced outside the facility and consumed in the production of a covered product2 7#e7 account for the emissions associated with the manufacture of input materials or precursors that are consumed in the production of a covered product2 7#f7 disclose the volume and value of all covered products produced in the facility2 7#g7 for facilities that manufacture a mix of covered products and products that are not covered products1 disclose the fraction of production of covered products as a share of total output volume and value2 and 7#h7 identify the covered entity with respect to covered products produced at the facility for which the covered entity is not the owner of the facility4 7c7 ,reconsideration of determinations of pollution intensity ,the ,commissioner of ,u4,s4 ,customs and ,border ,protection and the ,administrator of the ,environmental ,protection ,agency may establish a process under which a ,united ,states entity a subsidiary of which owns or operates a facility granted facility-specific treatment under subsection 7a7 may petition for reconsideration of the determination of the pollution intensity specific to the facility4 7d7 ,application of variable charge ,a product produced by a facility granted facility-specific treatment under subsection 7a7 and imported into the ,united ,states shall be subject to the variable charge determined under section #dfic7;a7 of the ,internal ,revenue ,code of #aihf1 as added by title ,i1 aligned with the pollution intensity difference of a product produced by the facility and the baseline pollution intensity4 7e7 ,ineligibility of facilities in or owned by nonmarket economy countries ,a facility is not eligible for facility-specific treatment under subsection 7a7 if-- 7#a7 the facility-- 7,a7 is located in a nonmarket economy country2 and 7,b7 7i7 is owned1 partially owned1 or operated by the government of the country or an entity owned or controlled by that government2 or 7ii7 has received financing1 including in the form of a tax credit or a limit on tax liability1 to operate the facility by the government of the country or an entity owned or controlled by that government2 or 7#b7 the facility is owned1 partially owned1 or operated by-- 7,a7 an entity owned or controlled by the government of a nonmarket economy country1 without regard to whether the facilitated is located in such a country2 or 7,b7 a foreign entity of concern4 7f7 ,termination of facility-,specific treatment ,the eligibility of a facility for facility-specific treatment under subsection 7a7 may be terminated at the sole discretion of the ,united ,states if the facility fails to satisfy any of the requirements under subsection 7b7 or becomes ineligible under subsection 7e74 7g7 ,confidentiality of information ,any information or data provided to the ,commissioner of ,u4,s4 ,customs and ,border ,protection or the ,administrator of the ,environmental ,protection ,agency pursuant to subsection 7b7 relating to operational practices or manufacturing processes of a facility seeking facility-specific treatment under subsection 7a71 may not be publicly disclosed1 unless such information or data is otherwise publicly available4 #bje4 ,definitions 7a7 ,in general ,in this title3 7#a7 ,free trade agreement ,the term free trade agreement means an agreement with #a or more countries that-- 7,a7 reduces or eliminates tariffs and non-tariff barriers between the countries that are parties to the agreement2 and 7,b7 is approved by ,congress4 7#b7 ,nonmarket economy country ,the term nonmarket economy country means any foreign country that the ,secretary of ,commerce determines1 pursuant to section #gga7ah7 of the ,tariff ,act of #aicj 7#ai ,u4,s4,c4 #afgg7ah771 does not operate on market principles of cost or pricing structures1 so that sales of merchandise in that country do not reflect the fair value of merchandise4 7#c7 ,united ,states entity ,the term ,united ,states entity means an entity organized under the laws of the ,united ,states or any jurisdiction within the ,united ,states4 7b7 ,other terms ,in this title1 the definitions set forth in section #dfia of the ,internal ,revenue ,code of #aihf1 as added by title ,i1 apply4 7c7 ,world bank classifications ,in this title3 7#a7 ,in general ,subject to paragraph 7#b71 the terms high-income country1 upper-middle-income country1 lower-middle-income country1 and low-income country shall be defined based on the classification of the economy of a country by the ,world ,bank4 7#b7 ,high-income and upper-middle-income countries ,in the case of any country which1 as of ,january #a1 #bjbe1 is classified by the ,world ,bank as a high-income country or an upper-middle-income country1 such country shall not be eligible to be reclassified as a lower-middle-income country or a low-income country4 ,,iii ,other matters #cja4 ,annual report 7a7 ,in general ,not later than one year after the date of the enactment of this ,act1 and annually thereafter1 the ,secretary of the ,treasury shall submit to ,congress a report-- 7#a7 describing the efforts of the ,department of the ,treasury-- 7,a7 to help ,united ,states entities that manufacture covered products counter unfair competition from nonmarket economy countries2 and 7,b7 to increase jobs in the ,united ,states2 7#b7 assessing the competitive advantage of the ,united ,states with respect to greenhouse gas intensity2 and 7#c7 assessing the impact of this ,act and the amendments made by this ,act on the ,united ,states trade deficit and economic activity4 7b7 ,biennial reviews ,in each report required by subsection 7a7 submitted during an odd-numbered year1 the ,secretary shall include an assessment of whether this ,act and the amendments made by this ,act are achieving their intended policy goals4 7c7 ,covered product defined ,in this section1 the term covered product has the meaning given that term in section #dfif of the ,internal ,revenue ,code of #aihf1 as added by title ,i4