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(A) the foreign shipyard concerned is located in a North Atlantic Treaty Organization member country or a country in the Indo-Pacific Region that is party to a mutual defense treaty with the United States; and(B) the cost of the construction concerned is less than the cost would be if such construction occurred in a domestic shipyard.
(3) Before the construction of a naval vessel, or a major component of the hull or superstructure of a naval vessel, may commence at a foreign shipyard pursuant to this subsection, the Secretary of the Navy shall submit to Congress a certification that the foreign shipyard is not owned or operated by a Chinese company or a multinational company domiciled in the People’s Republic of China.