33 U.S.C. § 891e — Restriction with respect to certain shipyard subsidies

submitted 34 years ago by Pub. L. 102-567 to r/title-33-NAVIGATION-AND-NAVIGABLE-WATERS · 405 words · no verdicts yet

in plain englishAI-generated · not legal advice

The Commerce Secretary may not award NOAA shipyard work to a yard receiving significant construction, repair, or alteration subsidies for the vessel. The section lists many forms of direct, indirect, tax, research, and export support that count as significant subsidies.

(a) General rule. The Secretary may not award a contract to construct, repair (except for emergency repairs), or alter an NOAA vessel in a shipyard if the vessel benefits or would benefit from significant subsidies for that work in that yard. (b) “Significant subsidy” defined. This section does not define “significant subsidy” exhaustively. It includes: (1) officially supported export credits; (2) direct official operating support for commercial shipbuilding or repair, or a related entity favoring those operations, including grants, noncommercial loans or guarantees, debt forgiveness, commercially unreasonable equity investments, and preferential goods or services; (3) direct official investment support, including those forms of support and restructuring support, except public social support directly and effectively tied to closing a shipyard; (4) grants, preferential loans, tax treatment, or other aid for shipbuilding or repair research and development that is not equally open to domestic and foreign businesses; (5) tax policies favoring the industry, such as credits, deductions, exemptions, preferences, or accelerated depreciation, when not generally available outside the industry; (6) official rules or practices authorizing or encouraging anticompetitive arrangements; (7) indirect legal or practical support tied to shipbuilding or repair at national yards, including assistance favoring shipowners and assistance to suppliers of significant inputs that benefits domestic builders; and (8) export subsidies on the agreement's illustrative list or otherwise prohibited by that agreement.

the actual law source: uscode.house.gov ↗public domain

(a) In general

The Secretary of Commerce may not award a contract for the construction, repair (except emergency repairs), or alteration of any vessel of the National Oceanic and Atmospheric Administration in a shipyard, if that vessel benefits or would benefit from significant subsidies for the construction, repair, or alteration of vessels in that shipyard.

(b) “Significant subsidy” defined

In this section, the term “significant subsidy” includes, but is not limited to, any of the following:

(1)

Officially supported export credits.

(2)

Direct official operating support to the commercial shipbuilding and repair industry, or to a related entity that favors the operation of shipbuilding and repair, including but not limited to—

(A)

grants;

(B)

loans and loan guarantees other than those available on the commercial market;

(C)

forgiveness of debt;

(D)

equity infusions on terms inconsistent with commercially reasonable investment practices; and

(E)

preferential provision of goods and services.

(3)

Direct official support for investment in the commercial shipbuilding and repair industry, or to a related entity that favors the operation of shipbuilding and repair, including but not limited to the kinds of support listed in paragraph (2)(A) through (E), and any restructuring support, except public support for social purposes directly and effectively linked to shipyard closures.

(4)

Assistance in the form of grants, preferential loans, preferential tax treatment, or otherwise, that benefits or is directly related to shipbuilding and repair for purposes of research and development that is not equally open to domestic and foreign enterprises.

(5)

Tax policies and practices that favor the shipbuilding and repair industry, directly or indirectly, such as tax credits, deductions, exemptions, and preferences, including accelerated depreciation, if such benefits are not generally available to persons or firms not engaged in shipbuilding or repair.

(6)

Any official regulation or practice that authorizes or encourages persons or firms engaged in shipbuilding or repair to enter into anticompetitive arrangements.

(7)

Any indirect support directly related, in law or in fact, to shipbuilding and repair at national yards, including any public assistance favoring shipowners with an indirect effect on shipbuilding or repair activities, and any assistance provided to suppliers of significant inputs to shipbuilding, which results in benefits to domestic shipbuilders.

(8)

Any export subsidy identified in the Illustrative List of Export Subsidies in the Annex to the Agreement on Subsidies and Countervailing Measures referred to in section 3511(d)(12) of title 19, or any other export subsidy prohibited by that agreement.

Source credit: (Pub. L. 102–567, title VI, § 607, Oct. 29, 1992, 106 Stat. 4302; Pub. L. 106–36, title I, § 1002(f), June 25, 1999, 113 Stat. 133.)

history & why it existsrecord from the source credit

1992Enacted · Pub. L. 102-567 · 106 Stat. 4302
1999Amended · Pub. L. 106-36 · 113 Stat. 133

A history note hasn’t been published yet. The record shows enactment by Pub. L. 102-567 on 1992-10-29.

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