A bill to amend the Trade Act of 1974 to ensure competitiveness as a factor in trade relief decisions.

Amends the Trade Act of 1974 to change the chapter providing for import relief. Provides that a petition for eligibility for import relief for the purpose of facilitating orderly adjustment to import competition may be filed with the International Trade Commission (ITC) by any entity which is representative of an industry. Requires the petition to include a statement describing the specific purposes for which import relief is being sought.

Requires the ITC to begin an investigation to determine whether an article is being imported in such increased quantities as to be a substantial cause of serious injury, or threat of serious injury, to a competing domestic industry upon: (1) request of the President or the U.S. Trade Representative (USTR); (2) resolution of specified congressional committees; or (3) filing of a petition. Requires the ITC, in making such determination, to consider all relevant economic factors. Lists certain factors to be considered, including, with respect to serious injury, the inability of a significant number of firms to operate domestic production facilities at a reasonable profit and, with respect to threat of serious injury: (1) export targeting by a foreign government; (2) the existence of affirmative antidumping or countervailing duty determinations relating to a specified country; (3) the extent of the inability of the domestic industry to maintain its research and development expenditures; and (4) the extent to which articles are being diverted to the United States because of export or import restraints in a third country.

Sets forth the methods to be used by the ITC to determine the relevant domestic industry, including requiring the ITC to treat as part of an industry only its domestic production even if the industry also imports.

Defines "substantial cause" to mean a cause which is important and not less than any other cause.

Requires the ITC to: (1) investigate and report on efforts made by firms and workers in the industry to compete more effectively; and (2) investigate any factors which may be contributing to increased imports and, if the ITC has reason to believe that the increased imports are attributable to dumping, to notify the appropriate agency.

Declares that imports of competitive articles by domestic producers shall not be considered a factor indicating the absence of serious injury or threat of serious injury to such industry.

Requires the ITC to examine factors other than imports which may be a cause of injury or threat of injury to the domestic industry.

Requires the ITC to hold public hearings in import relief investigations.

Requires the ITC to make a determination within 150 days of the start of an import relief investigation. Prohibits an import relief investigation with respect to a domestic industry which during the preceding ten years was the subject of a previous investigation that resulted in: (1) tariff changes, import quotas, or orderly marketing agreements; or (2) the granting of an antitrust exemption to such domestic industry. Prohibits for one year any import relief investigation, except for good cause, of the same subject matter as a previous investigation that did not succeed in obtaining relief.

Requires the President to impose provisional import relief if the President finds that critical circumstances exist. Sets forth limitations on the duration of such relief. Declares that critical circumstances exist if a significant increase in imports over a short period of time has led to circumstances in which a delay in the imposition of relief would cause damage to the domestic industry that would be difficult to remedy under the regular import relief procedure.

Permits a petition which alleges import injury to a perishable product to be filed with the Secretary of Agriculture with a request that emergency relief be granted. Sets forth the procedure and timetable for granting such emergency relief.

Requires the USTR to establish a plan development group for the domestic industry producing articles like, or directly competitive with, the article that is the subject of the import relief investigation. Requires such group to be established whenever the ITC begins any import relief investigation. Requires each plan development group to consist of officials from various Federal agencies and individuals who are representative of the firms and of the workers in the domestic industry. Requires each plan development group to prepare for the industry concerned an assessment of current problems and a competitiveness enhancement strategy that sets forth objectives and steps that workers and firms could undertake to: (1) improve the industry's competitiveness; (2) assist the industry to adjust to new methods of competition; (3) lead to a domestic industry that can compete after the expiration of any import relief actions; and (4) adjust to import competition through the orderly transfer of resources to alternative uses. Sets forth information to be included in such assessment and strategy. Requires the report on such assessment and strategy to be submitted to the ITC and to the petitioner, if any, within 120 days after the ITC starts the import relief investigation.

Requires a petitioner for import relief to file an adjustment plan with the ITC within seven days (later if authorized by the ITC) of the ITC finding that import relief is warranted. Authorizes any trade association, firm, union, or group of workers that represents a significant portion of the affected domestic industry to file such an adjustment plan with the ITC if the import relief action was not initiated by petition. Requires the ITC to select one plan if more than one adjustment plan is submitted. Requires the adjustment plan to set forth: (1) the specific objectives of the import relief being requested (including the facilitation of orderly transfer of resources to alternative uses or other means of adjusting to competition); (2) a schedule for achieving such objectives; and (3) a description of actions which will be taken to achieve such objectives. Sets forth factors that may be addressed in such adjustment plan. Requires the USTR to present to the ITC and to the President the opinions of the heads of various Federal agencies on the viability of such adjustment plans. Requires the ITC, after an adjustment plan is submitted, to try to obtain, on a confidential basis, commitments from the members of the domestic industry regarding: (1) how such members intend to act upon the objectives and actions set forth in such plan; and (2) any other actions such members intend to take to foster the objectives of the adjustment plan. Requires the ITC to transmit such commitments to specified Federal officials, on a confidential basis. Provides for administration of the plan development groups. Exempts participation in plan development groups from the antitrust laws.

Requires the ITC to report to the President on the determination made by the ITC in an import relief investigation. Sets forth information to be included in such report. Requires the ITC, if it determines that import relief is warranted, to: (1) recommend actions which the President is authorized to take that (alone or in combination with other actions) create a reasonable expectation that the domestic industry can compete successfully with imports after the termination of the import relief; or (2) if the ITC finds no such reasonable expectation, recommend actions which the President is authorized to take that are necessary to provide for the orderly transfer of such industry's resources; (3) determine, for purposes of limiting import relief actions, the amount of any change in import restrictions which would prevent or remedy the serious injury or threat of serious injury caused by imports; and (4) include specified information in the report to the President, including a description of the short- and long-term effects of the implementation of the recommendation on other domestic industries and consumers. Limits the extent of the impact of, and the duration of, the import relief recommended by the ITC. Provides for public hearings by the ITC on its recommendations. Requires the ITC to: (1) consider specified factors in making such recommendations; (2) report to the President on import relief determinations within 180 days of the start of the investigation; and (3) furnish additional information to the President upon request.

Requires the President, if the ITC makes an affirmative unanimous determination that import relief is warranted, to take, within 30 days of receipt of the ITC report: (1) the actions recommended by the ITC; or (2) other actions which are at least substantially equivalent to the actions recommended by the ITC. Requires the President to submit a draft of a bill waiving the above requirement and containing the actions the President has decided to take if the President decides that: (1) actions other than those recommended by the ITC or their substantial equivalent to such actions should be taken; or (2) no action should be taken. Provides for expedited congressional consideration of such bill. Provides for congressional veto (by enactment of a joint resolution of disapproval) of the President's decision to take other action or no action.

Requires the President, if the ITC determines in a non-unanimous vote that import relief is warranted, to: (1) take import relief actions that create a reasonable expectation that the domestic industry can compete successfully with imports after the termination of such relief; or (2) take actions to provide for the orderly transfer of the resources of the domestic industry to other productive pursuits if the President does not find such a reasonable expectation. Declares that the President shall not be required to take any import relief action following a non-unanimous import relief determination by the ITC if the President determines that the import relief would be detrimental to national security or would cause serious injury to a domestic industry.

Sets forth the timetable for actions by the President in import relief actions. Sets forth the import relief actions the President is authorized to take, including providing trade adjustment assistance and antitrust exemptions, directing the initiation of antidumping and countervailing duty investigations, and entering into multilateral negotiations. Sets forth the criteria for granting antitrust exemptions and initiating antidumping actions. Limits the amount of increase of any duty provided as import relief. Limits the extent of any quantitative restriction on imports that is imposed as import relief. Postpones the implementation of import relief if the President publishes notice of intent to negotiate an orderly marketing agreement.

Provides for administration, review, and termination of import relief actions taken by the President. Provides for termination of import relief if the USTR finds that: (1) a domestic industry has failed to implement the recommended objectives and actions specified in the adjustment plan submitted to the ITC or the actions declared in the confidential information submitted in connection with such plan; and (2) such failure is not justified by changed circumstances and has adversely affected overall implementation of the objectives specified in the plan.

Limits the duration, with specified exceptions, of import relief actions to: (1) eight years; or (2) the period of time in which the domestic industry can compete successfully without import relief or the period of time in which an orderly transfer of resources can be completed. Provides for one five-year extension of import relief. Provides for reducing import relief every three years if the import relief lasts more than three years. Authorizes the President, if an orderly marketing agreement is negotiated, to suspend or terminate import relief provisions dealing with tariff modifications. Provides for the reduction or termination of import relief actions if: (1) no commitments were made to the ITC by any members of the domestic industry; and (2) the President makes a specified determination relating to achievement of the objectives of the import relief actions.

Requires the ITC to evaluate the effectiveness of the import relief actions after holding public hearings and to report to the President and to the Congress on such evaluation.