### Question
How does TRADE ACT OF 1974 define ad valorem equivalent?


### Answer
Under *19 U.S.C. § 2481*, **ad valorem equivalent** is defined as:

> the ad valorem equivalent of a specific rate or, in the case of a combination of rates including a specific rate, the sum of the ad valorem equivalent of the specific rate and of the ad valorem rate

#### Citation:
  - *19 U.S.C. § 2481*
  - Heading: **CHAPTER 12-TRADE ACT OF 1974 > SUBCHAPTER VI-GENERAL PROVISIONS**

