Page:United States Statutes at Large Volume 102 Part 2.djvu/546

 102 STAT. 1550

PUBLIC LAW 100-418—AUG. 23, 1988

discriminatory pursuant to section 305(d)(l) in the preceding annual report. "(f) PROCEDURES WITH RESPECT TO VIOLATIONS OF THE AGREEMENT.— "(1) INITIATION OF DISPUTE SETTLEMENT PROCEDURES.—If,

within 60 days after the annual report is submitted under subsection (d)(D, a signatory country identified pursuant to subsection (d)(l)(A) has not complied with the Agreement, then the United States Trade Representative shall promptly request proceedings on the matter under the formal dispute settlement procedures provided under the Agreement unless such proceedings are already underway pursuant to the identification of the signatory country under section 305(d)(l) as not in compliance in a preceding annual report. "(2) SETTLEMENT OF DISPUTES.—If, before the end of a year following the initiation of dispute settlement procedures— "(A) the other participant to the dispute settlement procedures has complied with the Agreement, "(B) the other participant to the procedures takes the action recommended as a result of the procedures to the satisfaction of the President, or "(C) the procedures result in a determination requiring no action by the other participant, the President shall take no action to limit Government procurement from that participant. "(3) SANCTIONS AFTER FAILURE OF DISPUTE RESOLUTION.—If the

dispute settlement procedures initiated pursuant to this subsection with any signatory country to the Agreement are not concluded within one year from their initiation or the country has not met the requirements of paragraph (2)(A) or (2)(B), then— "(A) from the end of such one year period, such signatory country shall be considered as a signatory not in good standing of the Agreement and the prohibition on procurement contained in section 4 of the Act of March 3, 1933, shall apply to such country; and "(B) on the day after the end of such one year period, the President shall revoke the waiver of discriminatory purchasing requirements granted to that signatory country pursuant to section 301(a) of this Act. "(4) WITHHOLDING AND MODIFICATION OF SANCTIONS.—If

the

President determines that imposing or continuing the sanctions required by subparagraph (A) or (B) of paragraph (3) would harm the public interest of the United States, the President may, to the extent necessary to apply appropriate limitations that are equivalent, in their effect, to the noncompliance with the Agreement by that signatory country— "(A) withhold the imposition of either (but not both) of such sanctions; "(B) modify or restrict the application of either or both such sanctions, subject to such terms and conditions as the President considers appropriate; or "(C) take any combination of the actions permitted by subparagraph (A) or (B) of this paragraph. "(5)

TERMINATION OF SANCTIONS AND REINSTATEMENT OF

WAIVERS.—The President may terminate the sanctions imposed under paragraph (3) or (4), reinstate the waiver of discrimina-

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