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HR 8744

TREE Act

119th Congress Introduced by Yassamin Ansari and 24 co-sponsors

Prohibits import and interstate sale of deforestation goods in the U.S. starting 2029, unless products are deforestation-free and meet due-diligence and risk-based enforcement.

Introduced in House
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WeVote Research Nonpartisan
Bill Summary · HR 8744

Summary of HR 8744 (119th Congress) — Trade Responsibly for Environmental Emissions Act (TREE Act)

Purpose and intent

  • Establishes a U.S. import and interstate sale prohibition for goods determined to be produced, sourced, made, or derived from deforestation or forest degradation.
  • Aims to reduce global deforestation by tying access to the U.S. market to compliance with deforestation and forest-degradation standards, and to promote international cooperation and accountability.

Key provisions and changes

  • Prohibition on imports and interstate commerce (Section 2)

    • Effective date: January 1, 2029.
    • Prohibits:
    • Import into the United States of any deforestation good.
    • Introduction into, or sale/trade/advertising of deforestation goods in interstate commerce within the United States.
    • Prohibits false labeling or records related to deforestation goods.

  • Enforcement and due diligence (Section 3)

    • Customs and Border Protection (CBP) must require a due diligence statement from every operator or trader importing covered commodities.
    • The due diligence statement must include:
    • Description of each covered commodity (trade name, quantity, unit, wood species if applicable, country of origin and geolocation for Level I/II risk regions).
    • Supplier information (name, address, contact).
    • Conclusive evidence that products are deforestation-free.
    • Any other information needed to verify compliance with deforestation laws in the country of origin.
    • Civil penalties for violations:
    • Up to 4% of the violator’s total U.S. revenue for the preceding fiscal year.
    • Seizure of deforestation goods.
    • Ineligibility for federal procurement and certain federal funding/contracts for up to 12 months (for violations).
    • Penalties may be adjusted upward for repeat or serious violations; seriousness factors include culpability and scope of harm.
    • Serious or repeat violations can trigger a ban on importing any deforestation goods for up to 12 months.

  • Increased inspections (Section 4)

    • Beginning December 31, 2029, CBP must increase inspection rates for deforestation goods based on country risk level:
    • Level I (high risk): at least 9% of such imports inspected.
    • Level II (moderate risk): at least 3%.
    • Level III (low risk): at least 1%.
    • Rulemaking authority to implement procedures, in consultation with relevant agencies.

  • Interstate commerce enforcement plan (Section 3(e))

    • By January 1, 2029, Secretary of the Interior must establish a plan to enforce the interstate prohibition.

  • Country risk categorization and notification (Section 4)

    • USTR must categorize every country (Level I, II, III) by risk of deforestation goods, by December 1, 2029 and biennially thereafter.
    • Regions within a country can have different risk levels.
    • Interim categorization: from Jan 1, 2029 until final categorization, all countries/regions default to Level II.
    • USTR must publish risk categorizations and notify countries, including reasons for risk level changes and opportunities to respond, with deadlines.

  • Engagement and updates (Section 4)

    • USTR to engage with Level I risk countries to encourage lowering risk levels.
    • Requires timely updates if new evidence affects risk categorization.

  • International assistance and penalties revenue (Section 5)

    • State Department to provide preference in funding for Level I countries for deforestation-related aid.
    • Penalty revenue: half of civil penalties collected in the prior year to be used to assist underdeveloped countries with deforestation/forest-degradation management.

  • Definitions (Section 6)

    • Clear definitions for:
    • Agriculture use, covered commodity (cattle, cocoa, palm oil, rubber, soy, wood), covered product, covered source.
    • Deforestation and forest degradation (including conversion of forests to agriculture or plantations, and degradation affecting carbon and biodiversity).
    • Forest (0.5 hectares minimum with specific tree height/canopy criteria).
    • Operator and trader (definitions in the supply chain).

Who is affected

  • Importers, traders, and operators of covered commodities and products (e.g., cattle, cocoa, palm oil, rubber, soy, wood) entering or circulating in U.S. interstate commerce.
  • Countries and regions exporting deforestation goods, subject to USTR risk categorization and potential trade and enforcement consequences.
  • Federal agencies (CBP, USTR, Department of the Interior) implementing import controls, due diligence, and enforcement.
  • Potential recipients of international assistance (Level I country aid) and recipients of penalties-revenue-based funding.

Procedural and timeline highlights

  • Effective date for import/sale ban: January 1, 2029.
  • Interim risk categorization: January 1, 2029 until final categorization is completed.
  • Final risk categorization to be updated every two years (biennially) after December 1, 2029.
  • Increased CBP inspection rates take effect for Level I/II/III categories after December 31, 2029.
  • Plan for interstate enforcement to be established by January 1, 2029.
  • Formal notifications to countries and responses window of up to 6 months accompany risk-level changes.

Observations

  • The TREE Act creates a mandatory due diligence framework for importers of deforestation-related goods and imposes penalties, enhanced inspections, and a dynamic country-risk categorization system to guide enforcement.
  • It integrates international engagement and aid to incentivize compliance and deforestation reduction abroad.
  • The bill relies on a risk-based categorization system and USTR-led assessments, with iterative updates and country notifications.

Compiled from official sources — confirm details with the bill’s official record.

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