; or (B) mere dilution with water or mere dilution with another substance that does not materially alter the characteristics of the article. (c) Verification with respect to transshipment for textile and apparel articles (1) In general Not later than April 1, July 1, October 1, and January 1 of each year, the Commissioner of U.S. Customs and Border Protection shall verify that textile and apparel articles imported from Mongolia to which duty-free treatment is extended under this Act are not being unlawfully transshipped into the United States. (2) Report to President If the Commissioner determines pursuant to paragraph (1) that textile and apparel articles imported from Mongolia to which duty-free treatment is extended under this Act are being unlawfully transshipped into the United States, the Commissioner shall report that determination to the President. (d) Eligibility requirements Duty-free treatment may be provided under this Act only if the President determines and certifies to Congress that— (1) Mongolia meets the requirements set forth in paragraphs (1), (2), and (3) of section 104 of the African Growth and Opportunity Act ( 19 U.S.C. 3703 ); and (2) after taking into account the factors set forth in paragraphs (1) through (7) of subsection (c) of section 502 of the Trade Act of 1974 ( 19 U.S.C. 2462 ), Mongolia meets the eligibility requirements of such section 502. (e) Withdrawal, suspension, or limitation of preferential treatment