SUBSIDY NEGOTIATIONS.

SEC. 406. [19 U.S.C. 3436] SUBSIDY NEGOTIATIONS. In the case of any trade agreement which may be entered into by the President with a NAFTA country, the negotiating objectives of the United States with respect to subsidies shall include— (1) achievement of increased discipline on domestic subsidies provided by a foreign government, including— (A) the provision of capital, loans, or loan guarantees on terms inconsistent with commercial considerations; (B) the provision of goods or services at preferential rates; (C) the granting of funds or forgiveness of debt to cover operating losses sustained by a specific industry; and (D) the assumption of any costs or expenses of manufacture, production, or distribution; (2) achievement of increased discipline on export subsidies provided by a foreign government, particularly with respect to agricultural products; and (3) maintenance of effective remedies against subsidized imports, including, where appropriate, countervailing duties.