; (2) in clause (ii), by striking the period at the end and inserting ; or ; and (3) by adding at the end the following: (iii) a bullet or projectile which is coated with Teflon or any chemical compound with properties similar to Teflon. . (b) Banning incendiary ammunition (1) Definition Section 921(a) of title 18, United States Code, is amended by adding at the end the following: (36) The term incendiary ammunition — (A) means a bullet that is designed for the purpose of, held out by the manufacturer or distributor as, or generally recognized as having a specialized capability to ignite upon impact; and (B) includes such bullets commonly designated as M1 Incendiary , M23 Incendiary , M8 Armor-Piercing Incendiary , API , M20 Armor-Piercing Incendiary Tracer , or APIT . . (2) Prohibition Chapter 44 of title 18, United States Code, is amended— (A) by inserting or incendiary ammunition after armor piercing ammunition each place it appears, except— (i) in section 921; and (ii) in section 923(k); (B) in section 922(b)(5), by inserting or incendiary ammunition after armor-piercing ammunition ; and (C) in section 923(k)— (i) by inserting , incendiary projectiles, and after armor piercing projectiles ; and (ii) by inserting or incendiary ammunition as defined in section 921(a)(36) before the period at the end. (c) Prohibition on possession and transfer Section 922(a)(7) of title 18, United States Code, is amended— (1) in the matter proceeding subparagraph (A), by striking or import and inserting import, transfer, or possess ; (2) in subparagraph (A)— (A) by inserting , transfer, or possession after manufacture ; and (B) by inserting or the transfer or possession of such ammunition relates to use on behalf of after for the use of ; (3) in subparagraph (B), by inserting , transfer, or possession after manufacture