98-4633. Generalized System of Preferences; Imports Statistics Relating to Competitive Need Limitations; Invitation for Public Comment  

  • [Federal Register Volume 63, Number 36 (Tuesday, February 24, 1998)]
    [Notices]
    [Pages 9281-9291]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 98-4633]
    
    
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    OFFICE OF THE UNITED STATES TRADE REPRESENTATIVE
    
    
    Generalized System of Preferences; Imports Statistics Relating to 
    Competitive Need Limitations; Invitation for Public Comment
    
    AGENCY: Office of the United States Trade Representative.
    
    ACTION: Notice; invitation for public comment.
    
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    SUMMARY: The Trade Policy Staff Committee (TPSC) is informing the 
    public of interim 1997 import statistics relating to Competitive Need 
    Limitations (CNL) under the Generalized System of Preferences (GSP) 
    program. The TPSC also invites public comments by 5:00 p.m. March 20, 
    regarding possible de minimis CNL waivers with respect to particular 
    articles, and possible redesignations under the GSP program of articles 
    currently subject to CNLs.
    
    FOR FURTHER INFORMATION CONTACT:
    GSP Subcommittee, Office of the United States Trade Representative, 600 
    17th Street, N.W., Room 518, Washington, DC 20508. The telephone number 
    is (202) 395-6971.
    
    SUPPLEMENTARY INFORMATION: 
    
    I. Competitive Need Limitations
    
        Section 503(c)(2)(A) of the Trade Act of 1974, as amended (the 
    ``1974 Act'') (19 U.S.C. 2463(c)(2)(A)), provides for Competitive Need 
    Limitations on duty-free treatment under the GSP program. When the 
    President determines that a beneficiary developing country exported to 
    the United States during a calendar year either (1) a quantity of a 
    GSP-eligible article having a value in excess of the applicable amount 
    for that year ($80 million for 1997), or (2) a quantity of a GSP-
    eligible article having a value equal to or greater than 50 percent of 
    the value of total U.S. imports of the article from all countries (the 
    ``50 percent'' CNL), the President shall terminate GSP duty-free 
    treatment for that article from that beneficiary developing country by 
    no later than July 1 of the next calendar year.
    
    II. Discretionary Decisions
    
    A. De Minimis Waivers
    
        Section 503(c)(2)(F) of the 1974 Act provides the President with 
    discretion to waive the 50 percent CNL with respect to an eligible 
    article imported from a beneficiary developing country if the value of 
    total imports of that article from all countries during the calendar 
    year did not exceed the applicable amount for that year ($13.5 million 
    for 1997).
    
    B. Redesignation of Eligible Articles
    
        Where an eligible article from a beneficiary developing country 
    ceased to receive duty-free treatment due to exceeding the CNL in a 
    prior year, Section 503(c)(2)(C) of the 1974 Act provides the President 
    with discretion to redesignate such an article for duty-free treatment 
    if imports in the most recently completed calendar year did not exceed 
    the CNLs.
    
    III. Implementation of Competitive Need Limitations, Waivers, and 
    Redesignations
    
        Exclusions from GSP duty-free treatment where CNLs have been 
    exceeded, as well as the return of GSP duty-free treatment to products 
    for which the President has used his discretionary authority to grant 
    redesignations will be effective July 1, 1998. Decisions on these 
    matters, as well as decisions with respect to de minimis waivers, will 
    be based on full 1997 calendar year import statistics.
    
    IV. Interim 1997 Import Statistics
    
        In order to provide advance indication of possible changes in the 
    list of eligible articles pursuant to exceeding CNLs, and to afford an 
    earlier opportunity for comment regarding possible de minimis waivers 
    and redesignations, interim import statistics covering the first 10 
    months of 1997 are included with this notice.
        The following lists contain the HTSUS numbers and beneficiary 
    country of origin for GSP-eligible articles, the value of imports of 
    such articles for the first ten months of 1997, and their percentage of 
    total imports of that product from all countries. The flags indicate 
    the status of GSP eligibility.
        Articles marked with an ``*'' are those that have been excluded 
    from GSP eligibility for the entire past calendar year. Flags ``1'' or 
    ``2'' indicate products that were not eligible for duty-free treatment 
    under GSP for the first six months or last six months, respectively, of 
    1997.
        The flag ``D'' identifies articles with total U.S. imports from all 
    countries, based on interim 1997 data, less than the applicable amount 
    ($13.5 million in 1997) for eligibility for a de minimis waiver of the 
    50 percent CNL.
        List I shows GSP-eligible articles from beneficiary developing 
    countries that have exceeded the CNL of $80 million in 1997. Those 
    articles without a flag identify articles that were GSP eligible during 
    1997 but stand to lose GSP duty-free treatment on July 1, 1998. In 
    addition, List I shows articles (denoted with a flag ``*'' or ``2'') 
    which did not have GSP duty-free treatment in all or the last half of 
    1997.
        List II shows GSP-eligible articles from beneficiary developing 
    countries that (1) Have not yet exceeded, but are approaching, the $80 
    million CNL during the period from January through October 1997, or (2) 
    are close to or above the 50 percent CNL.
        Depending on final calendar year 1997 import data, these products 
    also
    
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    stand to lose GSP duty-free treatment on July 1, 1998.
        List III is a subset of List II. List III identifies GSP-eligible 
    articles from beneficiary developing countries that are near or above 
    the 50 percent CNL, but that may be eligible for a de minimis waiver of 
    the 50 percent CNL. Actual eligibility for de minimis waivers will 
    depend on final calendar year 1997 import data.
        List IV shows GSP articles from beneficiary developing countries 
    which are currently not receiving GSP duty-free treatment, but which 
    have import levels (based on interim 1997 data) below the CNLs and 
    which thus may be eligible for redesignation pursuant to the 
    President's discretionary authority. Articles with a ``D'' exceed the 
    50 percent CNL and would require both de minimis waivers and 
    redesignation to receive GSP duty-free treatment. The list may contain 
    articles that may not be redesignated until certain conditions are 
    fulfilled, as for example, where GSP eligibility for articles was 
    suspended because of deficiencies in beneficiary countries' protection 
    of the rights of workers or owners of intellectual property. This list 
    does not include articles from India which do not receive GSP treatment 
    as a result of Presidential Proclamation 6425 of April 29, 1992 (57 FR 
    19067).
        Each list is followed by a summary table that indicates the number 
    of products cited from each beneficiary developing country and the 
    total value of imports of those products from the beneficiary 
    developing country.
        The lists appended to this notice are provided for informational 
    purposes only. The attached lists are computer-generated and, based on 
    interim 1997 data, may not include all articles that may be affected by 
    the GSP CNLs. Regardless of whether or not an article is included on 
    the lists, all determinations and decisions regarding the CNLs of the 
    GSP program will depend on full calendar year 1997 import data with 
    respect to each GSP eligible article. Each interested party is advised 
    to conduct its own review of 1997 import data with regard to the 
    possible application of GSP CNLs.
    
    IV. Public Comments
    
        All written comments with regard to the matters discussed should be 
    addressed to: GSP Subcommittee, Office of the U.S. Trade 
    Representative, 600 17th Street, N.W., Room 518, Washington, DC 20508. 
    All submissions must be in English and should conform to the 
    information requirements of 15 CFR 2007. Furthermore, each party 
    providing comments should indicate on the first page of the submission 
    its name, the relevant Harmonized Tariff Schedule subheading(s), the 
    beneficiary country or territory of interest, and the type of action 
    (e.g., the use of the President's de minimis waiver authority, etc.) in 
    which the party is interested.
        A party must provide fourteen copies of its statement which must be 
    received by the Chairman of the GSP Subcommittee no later than 5 p.m., 
    Friday, March 20. Comments received after the deadline will not be 
    accepted. If the comments contain business confidential information, 
    fourteen copies of a non-confidential version must also be submitted. A 
    justification as to why the information contained in the submission 
    should be treated confidentially must be included in the submission. In 
    addition, the submissions containing confidential information should be 
    clearly marked ``confidential'' at the top and bottom of each page of 
    the submission. The version that does not contain confidential 
    information should also be clearly marked, at the top and bottom of 
    each page, ``public version'' or ``non-confidential''.
        Written comments submitted in connection with these decisions, 
    except for information granted ``business confidential'' status 
    pursuant to 15 CFR 2007.7, will be available for public inspection 
    shortly after the filing deadline by appointment only with the staff of 
    the USTR Public Reading Room (202) 395-6186. Other requests and 
    questions should be directed to the GSP Information Center at USTR by 
    calling (202) 395-6971.
    Frederick L. Montgomery,
    Chairman, Trade Policy Staff Committee.
    
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    [FR Doc. 98-4633 Filed 2-23-98; 8:45 am]
    BILLING CODE 3190-01-C
    
    
    

Document Information

Published:
02/24/1998
Department:
Trade Representative, Office of United States
Entry Type:
Notice
Action:
Notice; invitation for public comment.
Document Number:
98-4633
Pages:
9281-9291 (11 pages)
PDF File:
98-4633.pdf