To amend the Internal Revenue Code of 1986 to impose a fee on certain products imported into the United States based on the pollution intensity associated with the production of such products, and for other purposes.
Summary
What This Bill Does
The bill creates expresses Congressional finding that U.S, exempts explicitly prohibits interpretation of this Act as authorizing any carbon tax, fee, or pricing mechanism on domestically produced covered products sold, used, refined, or distributed within the United States, and amends the Internal Revenue Code to add a new subchapter establishing a foreign pollution fee system with comprehensive definitions, fee structures, pollution intensity calculations, and administrative procedures. It relies on exemptions, tariffs, definition changes, and reporting requirements. The main policy areas are Trade, Foreign Policy, Science & Space, and Energy.
Who Benefits and How
U.S. domestic manufacturers of covered products could see lower costs, U.S. steel producers could face lower compliance burdens, and U.S. steel and aluminum manufacturers could gain revenue opportunities.
Who Bears the Burden and How
U.S. importers of covered products could face higher costs, U.S. Customs and Border Protection would take on compliance duties, and Department of Treasury would take on compliance duties.
Key Provisions
- Creates expresses Congressional finding that U.S.
- Exempts explicitly prohibits interpretation of this Act as authorizing any carbon tax, fee, or pricing mechanism on domestically produced covered products sold, used, refined, or distributed within the United States...
- Amends the Internal Revenue Code to add a new subchapter establishing a foreign pollution fee system with comprehensive definitions, fee structures, pollution intensity calculations, and administrative procedures.
- Establishes key definitions for the Foreign Pollution Fee subchapter, including terms for pollution intensity, covered entities, foreign entities of concern, nonmarket economy countries, and carbon removal processes.
- Imposes an ad valorem fee on imported covered products calculated as the customs value multiplied by a variable charge based on pollution intensity. The fee is paid by the importer through customs portals, with bond...
Evidence Chain:
This summary is generated from the full bill text using AI analysis. Expand "Detailed Analysis" below for identified beneficiaries/burden bearers with clause-level evidence links.
At a Glance
What This Bill Does
The bill creates expresses Congressional finding that U.S, exempts explicitly prohibits interpretation of this Act as authorizing any carbon tax, fee, or pricing mechanism on domestically produced covered products sold, used, refined, or distributed within the United States, and amends the Internal Revenue Code to add a new subchapter establishing a foreign pollution fee system with comprehensive definitions, fee structures, pollution intensity calculations, and administrative procedures.
Key Policy Areas
Trade, Foreign Policy, Science & Space, Energy
Primary Purpose
The bill creates expresses Congressional finding that U.S, exempts explicitly prohibits interpretation of this Act as authorizing any carbon tax, fee, or pricing mechanism on domestically produced covered products sold, used, refined, or distributed within the United States, and amends the Internal Revenue Code to add a new subchapter establishing a foreign pollution fee system with comprehensive definitions, fee structures, pollution intensity calculations, and administrative procedures.
Policy Domains
Title I - Foreign Pollution Fee
Identified Gains
- U.S. domestic manufacturers of covered products
- U.S. steel producers
- U.S. steel and aluminum manufacturers
- U.S. fertilizer producers
- U.S. domestic steel manufacturers
Identified Costs
- U.S. importers of covered products
- U.S. Customs and Border Protection
- Department of Treasury
- Vietnamese manufacturers of covered products
- Russian manufacturers of covered products
Sponsors
Legislative Progress
IntroducedMr. Cassidy (for himself and Mr. Graham) introduced the following …
Stakeholder Effects
cui bono?How this legislation distributes effects. Mention counts reflect frequency, not effect magnitude.
Chinese manufacturers, Chinese manufacturers of steel, aluminum, cement, fertilizer, glass, solar products, and batteries, Foreign aluminum producers
Positive-direction: Foreign facilities in free trade agreement countries, Industrial sector representatives (steel, aluminum, cement, fertilizer, glass), Low-income and lower-middle-income country manufacturers, Low-income country manufacturers, Lower-middle-income country manufacturers, Manufacturers in international partnership agreement countries, U.S. aluminum producers, U.S. cement manufacturers, U.S. companies with foreign manufacturing facilities, U.S. domestic aluminum manufacturers, U.S. domestic manufacturers, U.S. domestic manufacturers of covered products, U.S. domestic solar manufacturers, U.S. domestic steel manufacturers, U.S. fertilizer producers, U.S. manufacturers, U.S. steel and aluminum manufacturers, U.S. steel producers
Negative-direction: Chinese manufacturers, Chinese manufacturers of steel, aluminum, cement, fertilizer, glass, solar products, and batteries, Foreign aluminum producers, Foreign battery input manufacturers, Foreign cement producers, Foreign fertilizer producers, Foreign glass producers, Foreign manufacturers exporting to U.S., Foreign manufacturers exporting to the U.S., Foreign solar product manufacturers, Foreign steel producers, Russian manufacturers of covered products, Vietnamese manufacturers of covered products
Congress, Customs and Border Protection, Department of Treasury
Importers of covered products, U.S. importers from partner countries, U.S. importers of covered products
Positive-direction: U.S. importers from partner countries
Negative-direction: Importers of covered products, U.S. importers of covered products
Countries with strong environmental standards (e.g., EU, Canada, Japan), Countries with unverifiable emission data, Countries with verifiable low-emission production
Positive-direction: Countries with strong environmental standards (e.g., EU, Canada, Japan), Countries with verifiable low-emission production
Negative-direction: Countries with unverifiable emission data, Nonmarket economy countries (e.g., China)
Greenhouse gas accounting researchers, National Laboratories
Bill Structure & Actor Mappings
Who is "The Secretary" in each section?
- "the_secretary"
- → Secretary of the Treasury
- "the_administrator"
- → Administrator of the Environmental Protection Agency
Key Definitions
Terms defined in this bill
Articles in categories including aluminum, steel, cement, fertilizer, glass, hydrogen, solar products, and battery inputs classified by HTS codes
The pollution intensity associated with production of a covered product in the United States
For steel, where melted and poured; for aluminum, where smelted and cast; for others, where produced or last substantially transformed
As defined in Infrastructure Investment and Jobs Act section 40207(a)(5)
Foreign country determined by Commerce Secretary to not operate on market principles of cost or pricing structures
Amount of pollution in metric tons of CO2 equivalent emitted in production of a metric ton of a covered product
We use a combination of our own taxonomy and classification in addition to large language models to assess meaning and potential beneficiaries. High confidence means strong textual evidence. Always verify with the original bill text.
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