HR 6171 117th Congress House Foreign Trade and International Finance

CNL Update Act

Introduced: December 7, 2021 See on congress.gov

Everywhere this bill has been 2 steps

Introduced

In committee

Reported out

Passed House

Passed Senate

To President

Became law

Dec 7, 2021

Referred to the House Committee on Ways and Means.

Dec 7, 2021

Introduced in House

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Plain-English summary Congressional Research Service

CNL Update Act

This bill makes changes to the procedures for competitive need limitations (CNL) and de minimis waivers under the Generalized System of Preferences (GSP) program. CNLs are quantitative ceilings on GSP benefits for each product and beneficiary developing country; a beneficiary developing country loses its GSP eligibility with respect to a product if the CNLs are exceeded and no waiver is granted.

Currently, the President must terminate the duty-free treatment for a product from a beneficiary developing country if (1) imports of a product from a single country reach a specified threshold value, which increases by $5 million each calendar year; or (2) 50% or more of total U.S. imports of a product entering under the GSP come from a single country. This bill revises the annual adjustment amount from $5 million to an amount equal to 6.5%.

Further, the bill sets the annual increase in the de minimis level to 6.5%. Currently, the de minimis level is adjusted each year in increments of $500,000.

What's happening now December 7, 2021

Referred to the House Committee on Ways and Means.

Bill text 1 version