This bill helps companies move their manufacturing from China to Latin America and the Caribbean by providing financial support for relocation and workforce training.
Western Hemisphere Nearshoring Act This bill provides assistance for corporations to relocate operations from China to Latin America or Caribbean (LAC) countries and specifies actions to expand trade and nuclear energy agreements with LAC countries. Specifically, the U.S. International Development Finance Corporation must use at least 10% of its funding to finance moving, workforce development, and facility construction costs associated with such relocations. Tariffs collected by the United States on goods manufactured in China shall be used to fund such assistance. The President must provide duty-free or other preferential treatment for goods and services produced in a LAC country by a corporation that received relocation assistance under this bill. A corporation must meet certain conditions to receive these benefits, including creating sufficient jobs in the LAC country and guaranteeing that the corporation will not be controlled by China, Russia, or other foreign adversary government. State-owned enterprises are not eligible. Additionally, the Office of the U.S. Trade Representative must start trade negotiations with each LAC country that does not have a free trade agreement with the United States if the country meets certain conditions (such as reducing economic reliance on China). The President is authorized to start negotiations with a LAC country for the sale of nuclear reactors if these same conditions are met and the sale does not threaten U.S. national security. Neither Cuba nor Venezuela qualify as a LAC country unless the Department of State certifies that the country has taken certain actions, including holding free and fair elections.
