Sec. 3527. STUDY ON FOREIGN INVESTMENT IN SHIPPING

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## SEC. 3527 STUDY ON FOREIGN INVESTMENT IN SHIPPING ###

(a)Assessment Subject to the availability of appropriations, the Under Secretary of Commerce for International Trade (referred to in this section as the “Under Secretary”), in coordination with the Maritime Administrator, the Commissioner of the Federal Maritime Commission, and the heads of other relevant agencies, shall conduct an assessment of subsidies, indirect state support, and other financial infrastructure or benefits provided by foreign states that control more than one percent of the world merchant fleet to entities or individuals building, owning, chartering, operating, or financing vessels not documented under the laws of the United States that are engaged in foreign commerce. ###

(b)Report Not later than one year after the date of the enactment of this Act, the Under Secretary shall submit to the appropriate committees of Congress, as defined in section 3515(e), a report on the assessment conducted under subsection (a). Such report shall include— ####

(1)the amount, in United States dollars, of subsidies, indirect state support, and other financial infrastructure or benefits provided by a foreign state described in subsection

(a)to— #####

(A)the shipping industry of each country as a whole; #####

(B)the shipping industry as a percent of gross domestic product of each country; and #####

(C)each ship on average, by ship type for cargo, tanker, and bulk; ####

(2)the amount, in United States dollars, of subsidies, indirect state support, and other financial infrastructure or benefits provided by a foreign state described in subsection

(a)to the shipping industry of another foreign state, including favorable financial arrangements for ship construction; ####

(3)a description of the shipping industry activities of state-owned enterprises of a foreign state described in subsection (a); ####

(4)a description of the type of support provided by a foreign state described in subsection (a), including tax relief, direct payment, indirect support of state-controlled financial entities, or other such support, as determined by the Under Secretary; and ####

(5)a description of how the subsidies provided by a foreign state described in subsection

(a)may be disadvantaging the competitiveness of vessels documented under the laws of the United States that are engaged in foreign commerce and the national security of the United States. ###

(c)Definitions In this section: ####

(1)The term “foreign commerce” means— #####

(A)commerce or trade between the United States, its territories or possessions, or the District of Columbia, and a foreign country; #####

(B)commerce or trade between foreign countries; or #####

(C)commerce or trade within a foreign country. ####

(2)The term “foreign state” has the meaning given the term in section 1603(a) of title 28, United States Code. ####

(3)The term “shipping industry” means the construction, ownership, chartering, operation, or financing of vessels engaged in foreign commerce.