PROSPER in the Pacific Act

HR 6619 — PROSPER in the Pacific Act (Introduced in the House, December 11, 2025)

Overview
- Purpose: To authorize preferential (tariff) treatment for certain imports from Pacific Islands, and to promote sustainable prosperity, resilience, and stronger economic ties between the United States and Pacific Island nations.
- Short title: “Promoting Regional Opportunities for Sustainable Prosperity and Economic Resilience in the Pacific Act” (PROSPER in the Pacific Act).
- Current status: Introduced in the House and referred to the Committee on Ways and Means.

Key Provisions

1) Preference eligibility and administration (Sections 3–4)
- Eligibility for preferential treatment: The President may authorize preferential treatment for articles imported directly from a Pacific Islands country if the country:
- Meets the applicable criteria in section 104 of the African Growth and Opportunity Act (AGOA);
- Does not meet any bases for ineligibility under section 502(b)(2) of the Trade Act of 1974 or additional ineligibility grounds;
- Meets the eligibility criteria of section 502 (as adjusted by other factors) after considering specified factors.
- Trade-benefit scope: The President may designate eligible articles from Pacific Islands countries to receive preferential treatment, in parity with how such designations are made for beneficiary developing countries under the Trade Act of 1974.
- Exclusion of income thresholds: Income threshold requirements used for AGOA-like beneficiary designations would not apply to Pacific Islands country eligibility for these preferential treatments.

2) Ineligibility and baseline conditions (Section 3)
- Ineligibility bases: The President may not authorize preferential treatment if any of the following apply:
- The country fails to ensure internationally recognized worker rights (including in designated zones).
- The country engages in gross violations of international human rights.
- The country fails to effectively enforce environmental laws or to fulfill environmental obligations, including issues related to public health and illegal, unreported, and unregulated (IUU) fishing.
- Additional designation factors: When considering eligibility, the President shall assess:
- Protection of workers’ rights;
- Enforcement of environmental laws and obligations (including IUU fishing);
- Progress toward the rule of law, political pluralism, due process, and equal protection;
- Economic development policy, poverty reduction, healthcare and educational access, infrastructure, private sector development, and capital markets;
- Anti-corruption measures, including adherence to conventions on combating bribery.

3) Implementation mechanics (Section 4)
- Article designation: The President can designate articles from eligible Pacific Islands countries as eligible for preferential treatment, aligning with the treatment of articles from least developed beneficiary developing countries under the Trade Act of 1974.

4) Trade policy direction with Pacific Islands (Section 5)
- Policy declaration: Congress emphasizes pursuing free trade agreements where feasible with Pacific Islands countries to serve as catalysts for increased U.S.–Pacific trade.

Impact Outlook

• Affected parties: Pacific Island exporters (and their US importers) would be the primary beneficiaries, subject to eligibility and compliance with labor, human rights, and environmental standards. U.S. consumers could experience indirect benefits through lower-priced imports from the Pacific.
• Compliance and monitoring: The policy would require ongoing assessment of workers’ rights, environmental compliance, rule of law, and anti-corruption progress in eligible Pacific Islands.
• Strategic implications: The act aligns economic preferential treatment with broader U.S. objectives for a stable, open Indo-Pacific and strengthened regional economic resilience.

Procedural Timeline

• Introduced: December 11, 2025
• Referral: Committee on Ways and Means (and related committees as structured by subsequent actions)
• Next steps: Committee consideration, potential markups, and floor action as per normal legislative process.