Sec. 306. MONITORING OF FOREIGN COMPLIANCE
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## SEC. 306 MONITORING OF FOREIGN COMPLIANCE ###
(a)In General The Trade Representative shall monitor the implementation of each measure undertaken, or agreement that is entered into, by a foreign country to provide a satisfactory resolution of a matter subject to investigation under this chapter or subject to dispute settlement proceedings to enforce the rights of the United States under a trade agreement providing for such proceedings. ###
(b)Action on the Basis of Monitoring ####
(1)In general If, on the basis of the monitoring carried out under subsection (a), the Trade Representative considers that a foreign country is not satisfactorily implementing a measure or agreement referred to in subsection (a), the Trade Representative shall determine what further action the Trade Representative shall take under section 301(a). For purposes of section 301, any such determination shall be treated as a determination made under section 304(a)(1). ####
(2)WTO dispute settlement recommendations #####
(A)Failure to implement recommendation If the measure or agreement referred to in subsection
(a)concerns the implementation of a recommendation made pursuant to dispute settlement proceedings under the World Trade Organization, and the Trade Representative considers that the foreign country has failed to implement it, the Trade Representative shall make the determination in paragraph
(1)no later than 30 days after the expiration of the reasonable period of time provided for such implementation under paragraph 21 of the Understanding on Rules and Procedures Governing the Settlement of Disputes that is referred to in section 101(d)(16) of the Uruguay Round Agreements Act. #####
(B)Revision of retaliation list and action ######
(i)In general Except as provided in clause (ii), in the event that the United States initiates a retaliation list or takes any other action described in section 301(c)(1)(A) or
(B)against the goods of a foreign country or countries because of the failure of such country or countries to implement the recommendation made pursuant to a dispute settlement proceeding under the World Trade Organization, the Trade Representative shall periodically revise the list or action to affect other goods of the country or countries that have failed to implement the recommendation. ######
(ii)Exception The Trade Representative is not required to revise the retaliation list or the action described in clause
(i)with respect to a country, if— ######
(I)the Trade Representative determines that implementation of a recommendation made pursuant to a dispute settlement proceeding described in clause
(i)by the country is imminent; or ######
(II)the Trade Representative together with the petitioner involved in the initial investigation under this chapter (or if no petition was filed, the affected United States industry) agree that it is unnecessary to revise the retaliation list. #####
(C)Schedule for revising list or action The Trade Representative shall, 120 days after the date the retaliation list or other section 301(a) action is first taken, and every 180 days thereafter, review the list or action taken and revise, in whole or in part, the list or action to affect other goods of the subject country or countries. #####
(D)Standards for revising list or action In revising any list or action against a country or countries under this subsection, the Trade Representative shall act in a manner that is most likely to result in the country or countries implementing the recommendations adopted in the dispute settlement proceeding or in achieving a mutually satisfactory solution to the issue that gave rise to the dispute settlement proceeding. The Trade Representative shall consult with the petitioner, if any, involved in the initial investigation under this chapter. #####
(E)Retaliation list The term “**retaliation list**” means the list of products of a foreign country or countries that have failed to comply with the report of the panel or Appellate Body of the WTO and with respect to which the Trade Representative is imposing duties above the level that would otherwise be imposed under the Harmonized Tariff Schedule of the United States. #####
(F)Requirement to include reciprocal goods on retaliation list The Trade Representative shall include on the retaliation list, and on any revised lists, reciprocal goods of the industries affected by the failure of the foreign country or countries to implement the recommendation made pursuant to a dispute settlement proceeding under the World Trade Organization, except in cases where existing retaliation and its corresponding preliminary retaliation list do not already meet this requirement. ###
(c)Exercise of WTO Authorization to Suspend Concessions or Other Obligations If— ####
(1)action has terminated pursuant to section 307(c), ####
(2)the petitioner or any representative of the domestic industry that would benefit from reinstatement of action has submitted to the Trade Representative a written request for reinstatement of action, and ####
(3)the Trade Representatives has completed the requirements of subsection
(d)and section 307(c)(3), the Trade Representative may at any time determine to take action under section 301(c) to exercise an authorization to suspend concessions or other obligations under Article 22 of the Understanding on Rules and Procedures Governing the Settlement of Disputes (referred to in section 101(d)(16) of the Uruguay Round Agreements Act (19 U.S.C. 3511(d)(16))). ###
(d)Consultations Before making any determination under subsection
(b)or (c), the Trade Representative shall— ####
(1)consult with the petitioner, if any, involved in the initial investigation under this chapter and with representatives of the domestic industry concerned; and ####
(2)provide an opportunity for the presentation of views by interested persons. **[**[19 U.S.C. 2416](/us/usc/t19/s2416)**]**
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