,,ii #aai? ,,congress #a/ ,session ,s4 #dbi ,,9 ,,! ,,s5ate ,,( ,,! ,,unit$ ,,/ates ,febru>y #e1 #bjbe,mr4 ,"y 7= himself1 ,mr4 ,coons1 ,mr4 ,cornyn1 & ,mr4 ,hick5loop]7 introduc$ ! foll[+ bill2 :i* 0 read twice & ref]r$ to ! ,committee on ,f9ance ,a ,,bill ,to enhance ! economic & national security ( ! ,unit$ ,/ates by secur+ a reliable supply ( critical m9]als & r>e e>? elem5ts ?r\gh trade agreem5ts & /rategic p>tn]%ips4 #a4 ,%ort title ,?is ,act may be cit$ z ! ,secur+ ,trade & ,res\rces = ,advanc$ ,te*nology1 ,economic ,gr[?1 & ,int]national ,comm]ce 9 ,m9]als ,act or ,,/rategic ,m9]als ,act4 #b4 ,def9itions ,9 ?is ,act3 7#a7 ,appropriate congressional committees ,! t]m appropriate congressional committees means-- 7,a7 ! ,committee on ,f9ance ( ! ,s5ate2 & 7,b7 ! ,committee on ,ways & ,means ( ! ,h\se ( ,repres5tatives4 7#b7 ,c\ntry ,! t]m c\ntry means-- 7,a7 any =eign c\ntry or t]ritory1 includ+ any ov]seas dep5d5t t]ritory or possession ( a =eign c\ntry2 & 7,b7 ! ,tru/ ,t]ritory ( ! ,pacific ,isl&s4 7#c7 ,cov]$ free trade agreem5t ,! t]m cov]$ free trade agreem5t means an agreem5t ) "o or m c\ntries t-- 7,a7 exclusively focuses on ! critical m9]als & r>e e>? elem5ts sector2 7,b7 r$uces b>ri]s to trade among ! p>ties to ! agreem5t2 7,c7 includes en=ceable provisions to prev5t any =eign entity ( conc]n f ga9+ any b5efit f ! agreem5t2 & 7,d7 is approv$ by ,congress4 7#d7 ,critical m9]al ,! t]m critical m9]al has ! mean+ giv5 t t]m 9 section #gjjb7;a7 ( ! ,en]gy ,act ( #bjbj 7#cj ,u4,s4,c4 #afjf7;a774 7#e7 ,=eign entity ( conc]n ,! t]m =eign entity ( conc]n has ! mean+ giv5 t t]m 9 section #djbjg ( ! ,infra/ructure ,inve/m5t & ,jobs ,act 7#db ,u4,s4,c4 #ahgda74 7#f7 ,r>e e>? elem5t ,! t]m r>e e>? elem5t means c]ium1 dysprosium1 erbium1 europium1 gadol9ium1 holmium1 lan?anum1 lutetium1 neodymium1 praseodymium1 prome?ium1 sam>ium1 sc&ium1 t]bium1 ?ulium1 ytt]bium1 or yttrium4 7#g7 ,trade ,repres5tative ,! t]m ,trade ,repres5tative means ! ,unit$ ,/ates ,trade ,repres5tative4 #c4 ,brief+ on cov]$ free trade agreem5ts 7a7 ,9 g5]al ,n lat] ?an #abj days aft] ! date ( ! enactm5t ( ?is ,act1 ! ,trade ,repres5tative1 9 consultation ) ! ,secret>y ( ,/ate1 ! ,secret>y ( ,def5se1 ! ,secret>y ( ,en]gy1 & ! ,secret>y ( ! ,int]ior1 z appropriate1 %all provide to ! appropriate congressional committees a classifi$ brief+ on ! feasibility & advisability ( pursu+ & adopt+ cov]$ free trade agreem5ts4 7b7 ,elem5ts ,! brief+ requir$ by subsection 7a7 %all include-- 7#a7 an analysis ( ! mo/ appropriate types ( agreem5ts 7bilat]al1 plurilat]al1 or multilat]al7 = a*iev+ ! negotiat+ objectives set =? 9 section #d7;d71 includ+ consid]ations ( economic impact1 /rategic p>tn]%ips1 negotiation feasibility1 & national security implications2 7#b7 recomm5dations = :i* type or types ( agreem5ts are mo/ ne$$ to effectively secure critical m9]als & r>e e>? elem5ts supply *a9s 9 alignm5t ) ! national security & economic int]e/s ( ! ,unit$ ,/ates2 & 7#c7 an assessm5t ( pot5tial *all5ges & propos$ solutions 9 pursu+ ! recomm5d$ type or types ( agreem5t1 includ+ legal1 regulatory1 & geopolitical consid]ations4 #d4 ,negotiat+ & trade agreem5ts au?ority = cov]$ free trade agreem5ts 7a7 ,au?ority ,to negotiate & ent] into agreem5ts 7#a7 ,9 g5]al ,9 ord] to enhance ! economic well-be+1 national security1 & economic competitiv5ess ( ! ,unit$ ,/ates1 ! ,presid5t1 act+ ?r\gh ! ,trade ,repres5tative1 may negotiate1 ent] into1 & en=ce a cov]$ free trade agreem5t :5 ! ,presid5t det]m9es t x is 9 ! national int]e/ to d s4 7#b7 ,limitation ,! ,presid5t may n initiate negotiations = a cov]$ free trade agreem5t "u p>agraph 7#a7 until ! date on :i* ! ,trade ,repres5tative provides ! brief+ requir$ by section #c7;a7 to ! appropriate congressional committees4 7b7 ,modifications p]mitt$ ,! ,presid5t may proclaim su* modification or cont9uance ( any exi/+ duty1 or su* cont9uance ( exi/+ duty-free or excise treatm5t1 z ! ,presid5t det]m9es to be requir$ or appropriate to c>ry out a cov]$ free trade agreem5t ent]$ into "u subsection 7a77#a74 7c7 ,negotiat+ objectives 7#a7 ,ov]all negotiat+ objectives ,! negotiat+ objectives ( ! ,unit$ ,/ates = a cov]$ free trade agreem5t are-- 7,a7 to /r5g!n supply *a9s ( critical m9]als & r>e e>? elem5ts2 7,b7 to r$uce or elim9ate b>ri]s & di/ortions t inhibit to trade & inve/m5t 9 critical m9]als & r>e e>? elem5ts2 7,c7 to /r5g!n int]national trade & inve/m5t discipl9es & proc$ures specific to critical m9]als & r>e e>? elem5ts1 includ+ effective dispute settlem5t me*anisms2 7,d7 to fo/] economic gr[?1 raise liv+ /&>ds1 enhance ! competitiv5ess ( ! ,unit$ ,/ates1 promote full employm5t1 & contribute to ! global economy ?r\gh ! developm5t & trade ( critical m9]als & r>e e>? elem5ts2 7,e7 to promote policies t advance su/a9able practices & circul>ity 9 ! production & process+ ( critical m9]als & r>e e>? elem5ts2 7,f7 to enc\rage ! developm5t & adoption ( innovative te*nologies & practices t optimize ! use ( critical res\rces2 7,g7 to promote respect = work] rights & ! rights ( *ildr5 consi/5t ) core labor /&>ds only z /at$ 9 ! ,int]national ,lab\r ,organization ,decl>ation on ,fundam5tal ,pr9ciples & ,rights at ,"w & its ,foll[-,up 7#aiih7 & an und]/&+ ( ! relation%ip betwe5 trade & work] rights2 7,h7 to seek provisions 9 ! agreem5t "u :i* p>ties ensure !y d n weak5 or r$uce ! protections af=d$ 9 dome/ic environm5tal & labor laws z an enc\ragem5t = trade2 7,i7 to af=d small bus9esses equitable trade b5efits & to r$uce or elim9ate trade & inve/m5t b>ri]s t disproportionately impact small bus9esses2 7,j7 to promote univ]sal ratification & full compliance ) ! ,int]national ,lab\r ,organization ,conv5tion 7,,ilo ,no4 #ahb7 conc]n+ ! ,prohibition & ,imm$iate ,action = ! ,elim9ation ( ! ,wor/ ,=ms ( ,*ild ,labor1 adopt$ at ,g5eva1 ,june #ag1 #aiii2 7,k7 to promote univ]sal ratification & full compliance ) ! ,int]national ,lab\r ,organization ,conv5tion 7,,ilo ,no4 #agf7 conc]n+ ,safety & ,heal? 9 ,m9es1 adopt$ at ,g5eva1 ,june #bb1 #aiie2 7,l7 to enc\rage own]%ip transp>5cy ?r\gh\t ! critical m9]als & r>e e>? elem5ts supply *a9 to prev5t undue influ5ce f =eign entities ( conc]n2 7,m7 to protect legitimate heal?1 safety1 ess5tial security1 & consum] int]e/s1 ensur+ t ! agreem5t does n require *anges to ,unit$ ,/ates laws relat+ to ^? int]e/s unless expressly agre$ ^u2 & 7,n7 to ensure t ! agreem5t does n require *anges to ,unit$ ,/ates /atutes or regulations4 7#b7 ,consid]ation ( exi/+ negotiat+ objectives ,9 conduct+ negotiations "u ?is section1 ! ,presid5t %all take into acc\nt ! pr9cipal trade negotiat+ objectives set =? 9 p>agraphs 7#e71 7#g71 & 7#aj7 ( section #ajb7;b7 ( ! ,bip>tisan ,congressional ,trade ,priorities & ,acc\ntability ,act ( #bjae 7#ai ,u4,s4,c4 #dbja7;b771 to ! ext5t t ^? objectives are p]t95t to ! objectives describ$ 9 p>agraph 7#a74 7d7 ,consultation ) & notification to ,congress be=e initiat+ negotiations ,be=e initiat+ negotiations "u subsection 7a77#a71 or issu+ a proclamation "u subsection 7b71 ! ,presid5t %all-- 7#a7 consult ) ! appropriate congressional committees reg>d+ ! int5tion to ent] into ! negotiations or issue ! proclamation1 z ! case may be2 & 7#b7 notify ! appropriate congressional committees 9 writ+ at lea/ #cj days be=e ! initiation ( ! negotiations or ! issuance ( ! proclamation1 z ! case may be1 t includes-- 7,a7 a /atem5t ( ! int5tion to initiate ! negotiations or issue ! proclamation2 7,b7 9 ! case ( negotiations-- 7i7 an id5tification ( ! c\ntry or c\ntries ) :i* ! ,presid5t int5ds to initiate negotiations2 & 7ii7 a description ( ! specific objectives = ! negotiations2 & 7,c7 an assessm5t ( ! pot5tial impact ( ! negotiations or proclamation1 z ! case may be1 on ! economic & /rategic int]e/s ( ! ,unit$ ,/ates4 7e7 ,p>ticipat+ c\ntries 7#a7 ,9 g5]al ,subject to p>agraph 7#b71 ! ,presid5t may-- 7,a7 det]m9e :i* c\ntries to negotiate ) t[>d a cov]$ free trade agreem5t2 & 7,b7 aft] ! implem5tation ( any su* agreem5t & z conditions w>rant1 id5tify & engage 9 negotiations ) additional c\ntries t wi% to acc$e to ! agreem5t4 7#b7 ,exclusive b5efits 7,a7 ,9 g5]al ,any cov]$ free trade agreem5t ent]$ into "u subsection 7a77#a7 %all provide trade b5efits1 includ+ t>iff r$uctions1 pref]5tial treatm5t1 or o!r trade advantages relat$ to critical m9]als & r>e e>? elem5ts1 exclusively to c\ntries t are p>ties to ! agreem5t4 7,b7 ,/atus ( non-p>ticipants ,c\ntries t are n p>ties to a cov]$ free trade agreem5t may n receive ! trade b5efits provid$ "u ! agreem5t1 b no?+ 9 ?is ,act %all be con/ru$ to impose additional re/rictions or p5alties on su* c\ntries4 7#c7 ,treatm5t ( nonm>ket economy c\ntries 7,a7 ,9 g5]al ,! ,presid5t may n negotiate a cov]$ free trade agreem5t ) a c\ntry det]m9$ to be a nonm>ket economy c\ntry pursuant to section #gga7ah7 ( ! ,t>iff ,act ( #aicj 7#ai ,u4,s4,c4 #afgg7ah774 7,b7 ,aft] entry into =ce ,a c\ntry describ$ 9 subp>agraph 7,a7 t is n designat$ z a =eign c\ntry ( conc]n 7z def9$ 9 section #bca4ajb ( title #ae1 ,code ( ,f$]al ,regulations7 may acc$e to a cov]$ free trade agreem5t aft] entry into =ce ( ! agreem5t if a jo9t resolution is enact$ into law approv+ ! accession ( t c\ntry to ! agreem5t4 7f7 ,bills qualify+ = trade au?orities proc$ures 7#a7 ,9 g5]al ,! provisions ( section #aea ( ! ,trade ,act ( #aigd 7#ai ,u4,s4,c4 #baia7 79 ?is section ref]r$ to z trade au?orities proc$ures7 apply to a bill ( ei!r ,h\se ( ,congress :i* conta9s provisions describ$ 9 p>agraph 7#b7 to ! same ext5t z su* section #aea applies to implem5t+ bills "u t section4 ,a bill to :i* ?is subsection applies %all h]eaft] 9 ?is section be ref]r$ to z an implem5t+ bill4 7#b7 ,provisions specifi$ ,! provisions describ$ 9 ?is p>agraph are-- 7,a7 a provision approv+ a cov]$ free trade agreem5t & approv+ ! /atem5t ( adm9i/rative action1 if any1 propos$ to implem5t t agreem5t2 & 7,b7 if *anges 9 exi/+ laws or new /atutory au?ority are requir$ to implem5t t agreem5t1 only su* provisions z are /rictly necess>y or appropriate to implem5t ! agreem5t1 ei!r repeal+ or am5d+ exi/+ laws or provid+ new /atutory au?ority4 7g7 ,relation%ip to ,bip>tisan ,congressional ,trade ,priorities & ,acc\ntability ,act ( #bjae ,a cov]$ free trade agreem5t1 includ+ su* an agreem5t t does n require *anges to ,unit$ ,/ates law1 %all n ent] into =ce ) respect to ! ,unit$ ,/ates & an implem5t+ bill t relates to su* an agreem5t %all n qualify = trade au?orities proc$ures unless ! foll[+ requirem5ts ( ! ,bip>tisan ,congressional ,trade ,priorities & ,acc\ntability ,act ( #bjae 7#ai ,u4,s4,c4 #dbja et seq47 are c>ri$ out ) respect to t agreem5t1 to ! same ext5t z w\ld be requir$ ) respect to an agreem5t ent]$ into "u section #ajc7;b7 ( t ,act 7#ai ,u4,s4,c4 #dbjb7;b771 not)/&+ ! expiration ( au?ority to ent] into an agreem5t "u su* section #ajc7;b73 7#a7 ,! congressional ov]sight & consultation requirem5ts "u section #ajd ( t ,act 7#ai ,u4,s4,c4 #dbjc74 7#b7 ,! notification1 consultation1 & report+ requirem5ts "u section #aje ( t ,act 7#ai ,u4,s4,c4 #dbjd74 7#c7 ,! implem5tation proc$ures "u section #ajf ( t ,act 7#ai ,u4,s4,c4 #dbje74 7h7 ,t]m9ation ( au?ority 7#a7 ,negotiation & agreem5ts 7,a7 ,9 g5]al ,! au?ority ( ! ,presid5t "u subsection 7a77#a7 to negotiate & ent] into cov]$ free trade agreem5ts t]m9ates on ,july #a1 #bjce4 7,b7 ,treatm5t ( modifications ,sub/antial modifications to1 or sub/antial additional provisions (1 a cov]$ free trade agreem5t t are ent]$ into aft] ,july #a1 #bjce1 are n cov]$ by ! au?ority "u subsection 7a77#a74 7#b7 ,trade au?orities proc$ures ,! trade au?orities proc$ures apply to an implem5t+ bill ) respect to a cov]$ free trade agreem5t ent]$ into "u subsection 7a77#a7 if-- 7,a7 ! agreem5t is ent]$ into on or be=e ,july #a1 #bjce2 & 7,b7 ! implem5t+ bill is submitt$ to ,congress n lat] ?an "o ye> aft] ! agreem5t is ent]$ into4 7#c7 ,en=cem5t ,! au?ority "u subsection 7a77#a7 to en=ce a cov]$ free trade agreem5t rema9s 9 effect aft] ,july #a1 #bjce1 not)/&+ ! t]m9ation "u p>agraph 7#a7 ( ! au?ority to negotiate & ent] into su* agreem5ts4 #e4 ,inclusion ( bus9esses ( p>ties to cov]$ free trade agreem5ts 9 def9ition ( dome/ic s\rce = title ,,iii ( ,def5se ,production ,act ( #aiej ,section #gjb7g77;,b7 ( ! ,def5se ,production ,act ( #aiej 7#ej ,u4,s4,c4 #deeb7g77;,b77 is am5d$-- 7#a7 9 clause 7i77,i7-- 7,a7 9 item 7aa71 by /rik+ 2 or & ins]t+ a semicolon2 7,b7 9 item 7bb71 by /rik+ 2 & & ins]t+ 2 or2 & 7,c7 by add+ at ! end ! foll[+3 7cc7 subject to clause 7iii71 ! t]ritory ( a p>ty to a cov]$ free trade agreem5t 7z def9$ 9 section #b ( ! ,secur+ ,trade & ,res\rces = ,advanc$ ,te*nology1 ,economic ,gr[?1 & ,int]national ,comm]ce 9 ,m9]als ,act72 & 2 & 7#b7 by add+ at ! end ! foll[+3 7iii7 ,additional requirem5ts = p>ties to cov]$ free trade agreem5ts 7,i7 ,9 g5]al ,a bus9ess conc]n describ$ 9 clause 7i77,i77cc7 may be treat$ z a dome/ic s\rce-- 7aa7 only = purposes ( ! ex]cise ( au?orities "u section #cjc7;a77#a7 relat+ to m9]als activities relat$ to m9]als ! supply ( :i* 9 ! ,unit$ ,/ates & ,canada is defici5t2 & 7bb7 only if1 = m9]als activities c>ri$ out pursuant to su* ex]cise ( au?orities-- 7,,aa7 ! m9]als are process$1 b5eficiat$1 or recycl$ only by entities own$ by entities organiz$ "u ! laws ( ! ,unit$ ,/ates & n m ?an #aj p]c5t or m ( ! equity int]e/s ( :i* are own$ or controll$1 directly or indirectly1 by any =eign entity ( conc]n1 ?r\gh any contract1 arrangem5t1 und]/&+1 relation%ip1 or o!rwise2 7,,bb7 ! bus9ess conc]n does n sell or transf] any ( ! m9]als extract$1 process$1 b5eficiat$1 ref9$1 recycl$1 or o!rwise trans=m$1 or any rev5ues d]iv$ f ^? m9]als1 to entities locat$ 9 ! ,p's ,republic ( ,*9a or to entities own$1 directly or indirectly1 held1 or controll$ by any =eign entity ( conc]n2 & 7,,cc7 no m9e us$ = ! m9+ ( su* m9]als is own$1 directly or indirectly1 held1 or controll$ by any =eign entity ( conc]n4 7,,ii7 ,det]m9ation ( defici5cy ,= purposes ( subclause 7,i77aa71 9 det]m9+ if ! supply 9 ! ,unit$ ,/ates & ,canada ( a critical m9]al or r>e e>? elem5t is defici5t1 ! ,secret>y ( ,def5se1 9 consultation ) ! ,secret>y ( ! ,int]ior & ! ,secret>y ( ,en]gy1 %all consid] factors includ+-- 7aa7 curr5t dome/ic production levels2 7bb7 project$ dem& = national def5se & critical infra/ructure2 7cc7 dep5d5ce on =eign s\rces1 especially f =eign entities ( conc]n2 & 7dd7 pot5tial = supply *a9 disruptions4 7,,iii7 ,compliance & v]ification 7aa7 ,guidance ,! ,secret>y ( ,def5se %all provide guidance to bus9ess conc]ns on compliance ) ?is clause4 7bb7 ,notice ( & p5alties = noncompliance ,if a bus9ess conc]n is f\nd to be 9 violation ( ?is clause-- 7,,aa7 ! ,secret>y ( ,def5se %all provide writt5 notice to ! bus9ess conc]n detail+ ! nature ( ! violation & ! p5alties to be impos$2 7,,bb7 ! bus9ess conc]n may be requir$ to repay any funds receiv$ "u section #cjc7;a77#a72 7,,cc7 ! bus9ess conc]n may be disqualifi$ f future contracts or f9ancial assi/ance "u ?is ,act2 7,,dd7 ! bus9ess conc]n may be subject to civil p5alties "u section #gje2 & 7,,ee7 ! matt] may be ref]r$ to ! ,attorney ,g5]al = crim9al prosecution "u applicable laws4 7,,iv7 ,def9itions ,9 ?is clause3 7aa7 ,b5eficiate2 b5eficiation ,! t]ms b5eficiate & b5eficiation mean ! cru%+ & gr9d+ ( h>drock m9]al ore & su* processes z are employ$ to free ! m9]al f o!r con/itu5ts1 includ+ physical & *emical sep>ation te*niques4 7bb7 ,control ,! t]m control means hav+ ! ability1 directly or indirectly1 to det]m9e 7)\t reg>d to :e!r ex]cis$ ?r\gh #a or m corporate /ructures7 ! mann] 9 :i* an entity conducts m9]al activities1 ?r\gh any means1 includ+-- 7,,aa7 own]%ip int]e/2 7,,bb7 au?ority to commit ! real or f9ancial assets ( ! entity2 7,,cc7 position z a director1 (fic]1 or p>tn] ( ! entity2 or 7,,dd7 contractual arrangem5t4 7cc7 ,critical m9]al ,! t]m critical m9]al has ! mean+ giv5 t t]m 9 section #gjjb7;a7 ( ! ,en]gy ,act ( #bjbj 7#cj ,u4,s4,c4 #afjf7;a774 7dd7 ,defici5t ,! t]m defici5t1 ) respect to ! supply 9 ! ,unit$ ,/ates & ,canada ( a critical m9]al or r>e e>? elem5t1 means t supply is insuffici5t to meet national def5se & ess5tial civilian indu/rial requirem5ts1 z det]m9$ by ! ,secret>y ( ,def5se1 9 consultation ) ! ,secret>y ( ! ,int]ior & ! ,secret>y ( ,en]gy4 7ee7 ,=eign entity ( conc]n ,! t]m =eign entity ( conc]n has ! mean+ giv5 t t]m 9 section #djbjg ( ! ,infra/ructure ,inve/m5t & ,jobs ,act 7#db ,u4,s4,c4 #ahgda74 7ff7 ,m9]al activities ,! t]m m9]al activities means any activity c>ri$ out on a m9+ claim1 millsite1 or tunnel site1 =1 relat$ to1 or incid5tal to1 m9+1 b5eficiation1 process+1 ref9+1 alloy+1 or recycl+ activities = any critical m9]al or r>e e>? elem5t4 7gg7 ,process+ ,! t]m process+ has ! mean+ giv5 t t]m 9 ,treasury ,regulation section #a4cj;,d-#b7;b77#cg7 7or a successor regulation74 7hh7 ,r>e e>? elem5t ,! t]m r>e e>? elem5t has ! mean+ giv5 t t]m 9 section #b ( ! ,secur+ ,trade & ,res\rces = ,advanc$ ,te*nology1 ,economic ,gr[?1 & ,int]national ,comm]ce 9 ,m9]als ,act4 7ii7 ,recycl+ ,! t]m recycl+ has ! mean+ giv5 t t]m 9 ,treasury ,regulation section #a4cj;,d-#b7;b77#dc7 7or a successor regulation74 7jj7 ,rev5ues ,! t]m rev5ues includes any income1 pr(its1 divid5ds1 royalties1 or o!r f9ancial b5efits obta9$ f ! sale1 transf]1 or o!r disposition ( ! m9]als produc$4 7kk7 ,sell or transf] ,! t]m sell or transf] includes any transaction t conveys own]%ip1 possession1 or control ( m9]als produc$1 or any int]e/ !re91 includ+ sales1 leases1 ex*anges1 or gifts4 4