Sec. 1012. Limitation on use of funds in the National Defense Sealift Fund to purchase certain used foreign constructed vessels

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Section 2218 of title 10, United States Code, is amended— in subsection (f)— in paragraph (3)— in subparagraph (A), by inserting (other than an excluded vessel) after any used vessel ; in subparagraph (B), by inserting (other than an excluded vessel) after a used vessel ; by striking subparagraph

(C)and inserting the following new subparagraph (C): The Secretary may only use the authority under this paragraph to purchase more than 10 foreign-constructed vessels if, for each such vessel so purchased after the tenth vessel, the Secretary purchases two vessels under paragraph (4). . in subsection (D), by striking subparagraph

(A)and inserting this paragraph ; by striking subparagraph

(E)and redesignating subparagraphs

(F)and

(G)as subparagraphs

(E)and (F), respectively; and by adding at the end the following new paragraph (4): A vessel purchased under this paragraph is a vessel— purchased using funds in the National Defense Sealift Fund constructed in a ship yard located in the United States; and the construction of which is managed by a commercial vessel construction manager. ; and in subsection (k), by adding at the end the following new paragraph: The term excluded vessel means a vessel that was— constructed or substantially modified by an entity located in the People’s Republic of China; or constructed by a Chinese military company, as such term is defined in section 1260H(d)(1) of the William M.

(Mac)Thornberry National Defense Authorization Act for Fiscal Year 2021 ( Public Law 116–283 ; 10 U.S.C. 113 note). . Section 2218 of title 10, United States Code, as amended by subsection (a), is further amended— in subsection (c)(1)(D), by striking section 11 of the Merchant Ship Sales Act of 1946 ( and inserting 50 U.S.C. 4405 ) section 57100 of title 46 ; in subsection (f)(2), by striking section 1424(b) of and inserting Public Law 101–510 (104 Stat. 1683) section 1424(b) of the National Defense Authorization Act for Fiscal Year 1991 ( ; Public Law 101–510 ; 10 U.S.C. 8661 note) in subsection (k)— in paragraph (2)(A), by striking section 1424 of and inserting Public Law 101–510 (104 Stat. 1683) section 1424 of the National Defense Authorization Act for Fiscal Year 1991 ( ; and Public Law 101–510 ; 10 U.S.C. 8661 note) in paragraph (3)(B), by striking section 11 of the Merchant Ship Sales Act of 1946 ( and inserting 50 U.S.C. 4405 ) section 57100 of title 46 .

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