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shall be considered to be made to an item or other provision of the Tariff Schedules of the United States (19 U.S.C., sec. 1202). Each page reference "(p. )" in this title refers to the page on which the item or provision referred to appears both in part II of the Federal Register for August 7, 1963, and in volume 77A of the United States Statutes at Large.

DEFINITION OF CANADIAN ARTICLE

SEC. 403. In general headnote 3 (pp. 11 and 12) redesignate paragraphs (d), (e), and (f) as paragraphs (e), (f), and (g), respectively, and insert a new paragraph (d) as follows:

[Text of general headnote 3(c).]

DEFINITION OF ORIGINAL MOTOR-VEHICLE EQUIPMENT

SEC. 404. In the headnotes for subpart B, part 6, schedule 6, add after headnote 1 (p. 325) the following new headnote: [Text of headnote 2, part 6B, schedule 6.]

IDENTIFICATION OF AUTOMOTIVE PRODUCTS

SEC. 405. (a) Redesignate item 692.25 (p. 326) as 692.27; in headnote 1(b) of subpart B, part 6, schedule 6 (p. 325) substitute "item 692.27" in lieu of "item 692.25"; and insert in proper numerical sequence new items as follows:

"692.06

If Canadian article, but not including any electric trolley bus, three-wheeled vehicle, or trailer
accompanying an automobile truck tractor (see general headnote 3(d))

692.11 If Canadian article, but not including any three-wheeled vehicle (see general headnote 3(d)).
692.21

Free

Free

Chassis, if Canadian article, except chassis for an electric trolley bus, or a three-wheeled vehicle;
bodies (including cabs), if Canadian article and original motor-vehicle equipment (see headnote
2 of this subpart)

Free

692.23

Chassis, if Canadian article, except chassis designed primarily for a vehicle described in item
692.15 or a three-wheeled vehicle; bodies (including cabs), if Canadian article and original
motor-vehicle equipment (see headnote 2 of this subpart).

Free

692.25 692.28

If Canadian article and original motor-vehicle equipment (see headnote 2 of this subpart)
Automobile truck tractors, if Canadian article: other articles, if Canadian article and original motor-
vehicle equipment (see headnote 2 of this subpart).

Free

Free"

(b) Insert in proper numerical sequence new items as follows:

"361.90

Any article described in the foregoing items 360.20 to 360.70, inclusive, 360.80, 361.80, or
361.85, if Canadian article and original motor-vehicle equipment (see headnote 2, part 6B,
schedule 6).

Free

516.98 Any article described in the foregoing items 516.71 to 516.76, inclusive, or 516.94, if Canadian
article and original motor-vehicle equipment (see headnote 2, part 6B, schedule 6).
646.79 Any article described in the foregoing items 646.20 and items 646.78, inclusive (except 646.45
and 646.47), if Canadian article and original motor-vehicle equipment (see headnote 2, part
6B, schedule 6)..

Free

Free

652.39 Any article described in the foregoing items 652.12 to 652.38, inclusive, if Canadian article and
original motor-vehicle equipment (see headnote 2, part 6B, schedule 6).
658.10 Any article described in the foregoing items 657.09 to 658.00, inclusive, if Canadian article and
original motor-vehicle equipment (see headnote 2, part 6B, schedule 6).
682.65 Any article described in the foregoing items 682.10 to 682.60, inclusive (except 682.50), if
Canadian article and original motor-vehicle equipment (see headnote 2, part 6B, schedule 6)...... Free
685.55 Any article described in the foregoing items 685.20 to 685.50, inclusive, if Canadian article and
original motor-vehicle equipment (see headnote 2, part 6B, schedule 6).
Free

Free

Free

721.20 Any article in the foregoing item covering clocks, clock movements, clock cases and dials and

parts thereof, plates (720.67), assemblies and subassemblies for clock movements, and other
parts for clock movements, if Canadian article and original motor-vehicle equipment (see
headnote 2, part 6B, schedule 6)..

Free"

(c) Insert in proper numerical sequence new items 355.27, 389.80, 728.30, 745.80, and 774.70, each having an article description and rate as follows:

"Any article described in the foregoing provisions of this subpart, if Canadian article and original motor-
vehicle equipment (see headnote 2, part 6B, schedule 6)

Free"

(d) Redesignate item 613.16 as 613.18, item 652.85 as 652.84, item 652.87 as 652.88, item 680.34 as 680.33, item 680.58 as 680.60, item 680.59 as 680.70, item 680.60 as 680.90, and item 711.91 as 711.93; and insert in proper numerical sequence new items as follows:

[blocks in formation]

each such item having the article description "If Canadian article and original motor-vehicle equipment (see headnote 2, part 6B, schedule 6) * subordinate to the immediately preceding article description, and having "Free" in rate of duty column numbered 1.

*

TITLE V-GENERAL PROVISIONS

AUTHORITIES

SEC. 501. The head of any agency performing functions authorized by this Act may

(1) authorize the head of any agency to perform any of such functions; and

(2) prescribe such rules and regulations as may be necessary to perform such functions.

ANNUAL REPORT

SEC. 502. The President shall submit to the Congress an annual report on the implementation of this Act. Such report shall include information regarding new negotiations, reductions or eliminations of duties, reciprocal concessions obtained, and other information relating to activities under this Act. Such report shall also include information providing an evaluation of the Agreement and this Act in relation to the total national interest, and specifically shall include, to the extent practicable, information with respect to

(1) the production of motor vehicles and motor vehicle parts in the United States and Canada.

(2) the retail prices of motor vehicles and motor vehicles parts in the United States and Canada.

(3) employment in the United States and Canada, and

(4) United States and Canadian trade in motor vehicles and motor vehicle parts, particularly trade between the United States and Canada.

APPLICABILITY OF ANTIDUMPING AND ANTITRUST LAWS

SEC. 503. Nothing contained in this Act shall be construed to affect or modify the provisions of subtitle B of title VII of the Tariff Act of 1930, or of any of the antitrust laws as designated in section 1 of the Act entitled "An Act to supplement existing laws against unlawful restraints and monopolies, and for other purposes", approved October 15, 1914 (15 U.S.C. 12).

TITLE VI-MISCELLANEOUS PROVISIONS

JOINT COMMITTEE ON REDUCTION OF NONESSENTIAL FEDERAL

EXPENDITURES

SEC. 601. Section 601(e) of the Revenue Act of 1941 (55 Stat. 726) (relating to the Joint Committee on Reduction of Nonessential Federal Expenditures) is amended to read as follows:

"(e) There are hereby authorized to be appropriated such sums as may be necessary to carry out the provisions of this section."

General Note 3(c)(iii) of Harmonized Tariff Schedule

AUTOMOTIVE PRODUCTS AND MOTOR VEHICLES ELIGible for SpECIAL TARIFF TREATMENT.-Articles entered under the Automotive Products Trade Act are subject to the following provisions:

(A) Motor vehicles and original motor-vehicle equipment which are Canadian articles and which fall in provisions for which the rate of duty "Free (B)" appears in the "Special" subcolumn may be entered free of duty. As used in this note—

(1) The term "Canadian article" means an article which originates in Canada, as defined in subdivision (c)(vii) of this note.

(2) The term "original motor-vehicle equipment", as used with reference to a Canadian article (as defined above), means such a Canadian article which has been obtained from a supplier in Canada under or pursuant to a written order, contract or letter of intent of a bona fide motor vehicle manufacturer in the United States, and which is a fabricated component originating in Canada, as defined in subdivision (c)(vii) of this note, and intended for use as original equipment in the manufacture in the United States of a motor vehicle, but the term does not include trailers or articles to be used in their manufacture.

(3) The term "motor vehicle", as used in this note, means a motor vehicle of a kind described in headings 8702, 8703 and 8704 of chapter 87 (excluding an electric trolley bus and a three-wheeled vehicle) or an automobile truck tractor principally designed for the transport of persons or goods.

(4) The term "bona fide motor-vehicle manufacturer" means a person who, upon application to the Secretary of Commerce, is determined by the Secretary to have produced no fewer than 15 complete motor vehicles in the United States during the previous 12 months, and to have installed capacity in the United States to produce 10 or more complete motor vehicles per 40-hour week. The Secretary of Commerce shall maintain, and publish from time to time in the Federal Register, a list of the names and addresses of bona fide motor-vehicle manufacturers. (B) If any Canadian article accorded the status of original motor-vehicle equipment is not so used in the manufacture in the United States of motor vehicles, such Canadian article or its value (to be recovered from the importer or other person who diverted the article from its intended use as original motor-vehicle equipment) shall be subject to forfeiture, unless at the time of the diversion of the Canadian article the United States Customs Service is notified in writing, and, pursuant to arrangements made with the Service

(1) the Canadian article is, under customs supervision, destroyed, or exported, or

(2) duty is paid to the United States Government in an amount equal to the duty which would have been payable at the time of entry if the Canadian article had not been entered as original motor-vehicle equipment.

Chapter 14: ORGANIZATION OF TRADE POLICY FUNCTIONS

A. CONGRESS

1. Congressional Advisers

Section 161 of Trade Act of 1974, as amended

[19 U.S.C. 2211, P.L. 93-618, as amended by P.L. 96-39, and P.L. 100-418] SEC. 161. CONGRESSIONAL ADVISERS FOR TRADE POLICY NEGOTIATIONS.

(a) SELECTION.

AND

(1) At the beginning of each regular session of Congress, the Speaker of the House of Representatives, upon the recommendation of the chairman of the Committee on Ways and Means, shall select 5 members (not more than 3 of whom are members of the same political party) of such committee, and the President pro tempore of the Senate, upon the recommendation of the chairman of the Committee on Finance, shall select 5 members (not more than 3 of whom are members of the same political party) of such committee, who shall be designated congressional advisers on trade policy and negotiations. They shall provide advice on the development of trade policy and priorities for the implementation thereof. They shall also be accredited by the United States Trade Representative on behalf of the President as official advisers to the United States delegations to international conferences, meetings, and negotiating sessions relating to trade agreements.

(2)(A) In addition to the advisers designated under paragraph (1) from the Committee on Ways and Means and the Committee on Finance

(i) the Speaker of the House may select additional members of the House, for designation as congressional advisers regarding specific trade policy matters or negotiations, from any other committee of the House or joint committee of Congress that has jurisdiction over legislation likely to be affected by such matters or negotiations; and

(ii) the President pro tempore of the Senate may select additional members of the Senate, for designation as congressional advisers regarding specific trade policy matters or negotiations, from any other committee of the Senate or joint committee of Congress that has jurisdiction over legislation likely to be affected by such matters or negotiations.

Members of the House and Senate selected as congressional advisers under this subparagraph shall be accredited by the United States Trade Representative.

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