§ 53732. Eligible export vessels
(a)
Applicable Terms.—
The Administrator may guarantee an obligation for an eligible export vessel in accordance with—
(b)
Interagency Council.—
(3)
Functions.—
The council shall—
(A)
obtain information on shipbuilding loan guarantees, direct and indirect subsidies, and other favorable treatment of shipyards provided by foreign governments to shipyards in competition with United States shipyards;
(4)
Annual report.—
Not later than January 31 of each year, the Administrator shall submit to Congress a report on activities of the Administrator under this section during the preceding year. The report shall include—
(c)
Required Findings.—
(1)
Benefit to shipbuilding industry.—
The Administrator may not guarantee or make a commitment to guarantee an obligation for an eligible export vessel unless the Administrator finds that the construction, reconstruction, or reconditioning of the vessel will aid in the transition of United States shipyards to commercial activities or will preserve shipbuilding assets that would be essential in time of war or national emergency.
(2)
Priority of documented vessels.—
The Administrator may not make a commitment to guarantee an obligation for an eligible export vessel unless the Administrator determines that making the commitment will not result in denial of an economically sound application for a commitment to guarantee an obligation for a vessel documented under the laws of the United States and operating in the domestic or foreign commerce of the United States. The Administrator has sole discretion in making the determination. In making the determination, the Administrator shall consider—
(d)
Restriction on Transfer of Vessel.—
The Administrator may not guarantee or make a commitment to guarantee an obligation for an eligible export vessel unless the owner of the vessel agrees with the Administrator that the vessel will not be transferred to a country designated by the Secretary of Defense as a country whose interests are hostile to the interests of the United States.
(e)
Review by Secretary of Defense.—
(1)
Notification.—
The Administrator shall promptly notify the Secretary of Defense of the receipt of an application for a loan guarantee for an eligible export vessel.
(2)
Disapproval.—
The Secretary of Defense, within 30 days after receiving the notice, may disapprove the guarantee based on an assessment of the potential use of the vessel in a manner that may harm the national security interests of the United States. The Secretary of Defense may not disapprove a guarantee solely because of the type of vessel to be constructed.
(f)
Expiration of Authority.—
The Administrator may not issue a commitment to guarantee an obligation for an eligible export vessel under this chapter after the last date on which such a commitment may be issued under any treaty or convention entered into after November 30, 1993, that prohibits guarantee of such an obligation.