President Signs Bill to Prohibit Import of Certain Gemstones Mined in Burma, Etc.

Highlights of P.L. 110-286 include (partial list):

Import Ban on Jadeite, Rubies Mined in Burma, and Jewelry from Any Country Containing Same ²

P.L. 110-286 prohibits, beginning 60 days after the date of enactment (July 29, 2008), the importation into the U.S. of any (a) jadeite mined or extracted from Burma; (b) rubiesmined or extracted from Burma; or (c) articles of jewelry containing such jadeite or rubies ²until the President determines and certifies to the appropriate congressional committees that Burma has met the human rights conditions specified in the BFDA.

(The BFDA already prohibits the importation of any article that is the "product of" Burma.)

A House Foreign Affairs Committee press release notes that the Jewelers of America, representing more than 11,000 jewelry stores nationwide, support a ban on Burmese gem and jade imports to the U.S., and major retailers such as Tiffany's and Bulgari have voluntarily implemented a ban. The press release also notes that the European Union and Canada have similarly banned the import of Burmese gems.

Conditions for Importing Jadeite, Rubies Mined in Other Countries, or Jewelry Containing Same

Under P.L. 110-286, the President must require, as a condition for importation into the U.S. any jadeite or rubies mined or extracted in a country other than Burma, or articles of jewelry containing such jadeite or rubies, that the importer agree to maintain a full record of complete information relating to any act or transaction related to the purchase, manufacture, or shipment of such jadeite, rubies, or jewelry for a period of at least 5 years from the date of entry; and provide such information to relevant U.S. authorities upon request.

Another condition of importation requires the exporter to implement measures that have substantially the same effect and achieve the same goals as the specified measures (or functional equivalent) that would qualify for a country waiver (see below).

Country waiver of importer/exporter requirements - The President may waive the import conditions described above with respect to jadeite or rubies mined or extracted in a country other than Burma, or articles of jewelry containing such jadeite or rubies, for any country that the President determines and certifies to the appropriate congressional committees has implemented certain specified measures (or their functional equivalent) to prevent the trade in Burmese jadeite, rubies, or jewelry containing such jadeite or rubies, such as system of verifiable controls, recordkeeping, penalties, etc.

Exceptions for Certain Re-imports into U.S., Certain Personal Use Imports

The import ban and import conditions summarized above do not apply to jadeite or rubies, or articles of jewelry containing jadeite or rubies, that were previously exported from the U.S., including those that accompanied an individual outside the U.S. for personal use, if they are reimported into the U.S. by the same person, without having been advanced in value or improved in condition by any process or other means while outside the U.S.

In addition, the import conditions outlined above do not apply to jadeite, rubies not mined in Burma, or articles of jewelry containing such jadeite or rubies, that are imported by or on behalf of an individual for personal use and accompanying an individual upon entry into the U.S.

International Arrangement Similar to Kimberly Process Should be Negotiated

P.L. 110-286 states that it is the sense of Congress that the President should take the necessary steps to seek to negotiate an international arrangement (similar to the Kimberley Process Certification Scheme for conflict diamonds) to prevent the trade in jadeite or rubies mined in Burma, or articles of jewelry containing such jadeite or rubies. Such an international arrangement should create an effective global system of controls and should contain certain specified measures (or their functional equivalent).

GAO Report on Effectiveness, Improvements to Import Ban, Conditions

Not later than 14 months after the date of the enactment of P.L. 110-286, the Government Accountability Office is required to submit to the appropriate congressional committees a report on the effectiveness of the implementation of the import ban and import conditions for jadeite, rubies, and articles of jewelry containing such jadeite or rubies and recommendations for improvement.

Exports, Reexports to SPDC, Military, Etc. Would be Prohibited

One of the activities prohibited by P.L. 110-286's sanctions is the export or reexport directly or indirectly, of any goods, technology, or services by a U.S. person to the SPDC, to any former and present leaders of the SPDC, the Burmese military, or the USDA, or to any entity owned, controlled, or operated by the SPDC, etc. (See P.L. 110-286 for description of persons subject to prohibition.)

State and Commerce Report on Burma's Timber Trade

P.L. 110-286 requires, not later than one year after the date of its enactment, and annually thereafter, the Secretary of State, in consultation with the Secretary of Commerce, and other Federal officials, as appropriate, to submit to the appropriate congressional committees a report on Burma's timber trade.

President Has Also Signed Annual Renewal of Burma Import Restrictions

On July 29, 2008, President Bush signed into law H.J. Res. 93 (P.L. 110-287), which renews the import restrictions contained in Section 3(a)(1) of the BFDA for another year, was passed by the House on July 23, 2008 and by the Senate on July 24, 2008.

¹The Tom Lantos Block Burmese JADE (Junta's Anti-Democratic Efforts) Act of 2008

²P.L. 110-286 states that the term 'jadeite' means any jadeite classifiable under HTS 7103; the term 'rubies' means any rubies classifiable under HTS 7103; and the term 'articles of jewelry containing jadeite or rubies' means: (i) any article of jewelry classifiable under HTS 7113 that contains jadeite or rubies; or (ii) any article of jadeite or rubies classifiable under HTS 7116.

See P.L. 110-286 for details on financial sanctions against Burma, World Trade Organization waiver and United Nations resolution, Special Representative and Policy Coordinator for Burma, sense of Congress on international arms sales to Burma, travel and other restrictions, etc.

(See ITT's Online Archives or 12/28/07 and 01/09/08 news, 07122810 and 08010915, for BP summaries on the different versions of H.R. 3890 passed by the House and Senate.

See ITT's Online Archives or 07/28/08 news, 08072815, for most recent summary on H.R. 3890 and H.J. Res. 93.)

P.L. 110-286 available at http://frwebgate.access.gpo.gov/cgi-bin/getdoc.cgi?dbname=110_cong_bills&docid=f:h3890enr.txt.pdf.

House Foreign Affairs Committee press release (dated 07/22/08) available at http://foreignaffairs.house.gov/press_display.asp?id=536.