96-3172. Section 304 Determinations: Certain Discriminatory Canadian Communications Practices  

  • [Federal Register Volume 61, Number 30 (Tuesday, February 13, 1996)]
    [Notices]
    [Pages 5603-5604]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 96-3172]
    
    
    
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    OFFICE OF THE UNITED STATES TRADE REPRESENTATIVE
    
    [Docket No. 301-98]
    
    
    Section 304 Determinations: Certain Discriminatory Canadian 
    Communications Practices
    
    AGENCY: Office of the United States Trade Representative.
    
    ACTION: Notice of determinations.
    
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    SUMMARY: The United States Trade Representative (USTR) has determined 
    
    [[Page 5604]]
    pursuant to section 304(a)(1)(A)(ii) of the Trade Act of 1974 (19 
    U.S.C. 2414(a)(1)(A)(ii)) that certain acts, policies and practices of 
    the Government of Canada with respect to the granting or termination of 
    authorizations for U.S.-owned programming services to be distributed in 
    Canada via cable carriage deny market access for such services and are 
    unreasonable and discriminatory and constitute a burden or restriction 
    on U.S. commerce. The USTR has further determined pursuant to section 
    304(a)(1)(B) of the Trade Act that, as commercial negotiations to 
    restore the market access previously denied a U.S. programming service 
    are ongoing and the Government of Canada has taken no subsequent action 
    to terminate the authorizations of other U.S.-owned programming 
    services in Canada, the appropriate action at this time is to direct 
    the Section 301 Committee to recommend the implementation of 
    appropriate responsive action pursuant to section 301 should market 
    access not be restored to the U.S.-owned programming service and to 
    monitor pursuant to section 306 Canadian Government measures with 
    respect to the restoration of this market access and with respect to 
    the granting or termination of authorizations for other U.S.-owned 
    programming services in Canada.
    
    DATES: The sections 304 determinations were made and the investigation 
    was terminated on February 6, 1996.
    
    ADDRESSES: Office of the United States Trade Representative, 600 17th 
    Street NW., Washington, DC 20508.
    
    FOR FURTHER INFORMATION CONTACT: Claude Burcky, Director for Canadian 
    Affairs, (202) 395-3412, or William Kane, Assistant General Counsel, 
    (202) 395-7305.
    
    SUPPLEMENTARY INFORMATION: On February 6, 1995, the USTR initiated an 
    investigation under section 302(a) of the Trade Act in response to a 
    petition filed on December 23, 1994, by Country Music Television (CMT) 
    pursuant to Section 302(a) of the Trade Act to determine whether 
    certain acts, policies or practices of the Government of Canada 
    regarding the authorization for distribution via cable carriage of 
    U.S.-owned programming services that have resulted in the denial of 
    market access for U.S.-owned programming services to distribute in 
    Canada via cable carriage and in the termination of the authorization 
    of a U.S.-owned programming service are unreasonable or discriminatory 
    and burden or restrict U.S. commerce. By Federal Register notice dated 
    February 10, 1995 (60 FR 8101), the USTR requested public comment on 
    the issues raised in the investigation, including on (i) the acts, 
    policies and practices that are the subject of the investigation, (ii) 
    the amount of burden or restriction on U.S. commerce caused by them, 
    (iii) the determinations required under section 304 of the Trade Act, 
    and (iv) appropriate action under Section 301 which could be taken in 
    response. Numerous comments were received in response.
        Pursuant to section 303(a) of the Trade Act, the USTR requested 
    consultations with the Government of Canada concerning the issues under 
    investigation. On July 22, 1995, CMT and the Canadian network, New 
    Country Network (NCN), reached a tentative agreement to form a single 
    Canadian country music network, to be called CMT: Country Music 
    Television (Canada), which if it were to become final and be approved 
    by the Canadian Government, could result in the restoration of CMT's 
    market access and resolution of this dispute. To date the parties have 
    not reached a final agreement.
        Section 304(a)(1)(A) of the Trade Act requires the USTR to 
    determine whether any act, policy or practice of the Government of 
    Canada described in section 301(b)(1) exists. If that determination is 
    affirmative, the USTR must determine, subject to the specific direction 
    of the President, what action, if any, is appropriate in response to 
    any such act, policy or practice.
    
    Reasons for Determinations
    
    (1) Canada's Acts, Policies and Practices
    
        Having concluded the investigation undertaken pursuant to section 
    302 of the Trade Act and on the basis of public comments received and 
    the consultations with the Government of Canada, affected U.S. firms 
    and the relevant private sector advisory committees, the USTR has 
    determined pursuant to section 304(a)(1)(A)(ii) of the Trade Act that 
    certain acts, policies and practices of the Government of Canada with 
    respect to the granting or termination of authorizations for U.S.-owned 
    programming services to be distributed in Canada via cable carriage 
    deny market access for such services and are unreasonable and 
    discriminatory and constitute a burden or restriction on U.S. commerce. 
    Pursuant to the policy set forth in Public Notice CRTC 1984-81 of the 
    Canadian Radio-television and Telecommunications Commission (CRTC), the 
    CRTC may terminate authorizations of non-Canadian-owned programming 
    services which, in the CRTC's opinion, could be considered either 
    totally or partially competitive with existing or newly-available 
    Canadian-owned programming services. On June 6, 1994, following a 
    regulatory proceeding to consider new applications for authority to 
    distribute programs over cable television in Canada, the CRTC at the 
    request of NCN revoked CMT's authorization to be distributed in Canada 
    once NCN began distribution. NCN began distribution on January 1, 1995 
    and, at that time, CMT was evicted from the Canadian market.
    
    (2) U.S. Action
    
        As negotiations to restore the market access previously denied a 
    U.S. programming service are ongoing and the Government of Canada has 
    taken no subsequent action to terminate the authorizations of other 
    U.S.-owned programming services in Canada, the USTR has further 
    determined pursuant to section 304(a)(1)(B) of the Trade Act that the 
    appropriate action at this time is to direct the Section 301 Committee 
    to recommend the implementation of appropriate responsive action 
    pursuant to section 301 should market access not be restored to the 
    U.S.-owned programming service and to monitor pursuant to section 306 
    Canadian Government measures with respect to the restoration of this 
    market access and with respect to the granting or termination of 
    authorizations for other U.S.-owned programming services in Canada.
    Irving A. Williamson,
    Chairman, Section 301 Committee.
    [FR Doc. 96-3172 Filed 2-12-96; 8:45 am]
    BILLING CODE 3190-01-M
    
    

Document Information

Published:
02/13/1996
Department:
Trade Representative, Office of United States
Entry Type:
Notice
Action:
Notice of determinations.
Document Number:
96-3172
Dates:
The sections 304 determinations were made and the investigation was terminated on February 6, 1996.
Pages:
5603-5604 (2 pages)
Docket Numbers:
Docket No. 301-98
PDF File:
96-3172.pdf