[Federal Register Volume 61, Number 158 (Wednesday, August 14, 1996)]
[Notices]
[Pages 42264-42265]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-20724]
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INTERNATIONAL TRADE COMMISSION
Report to the President on Investigations Nos. TA-201-65 and
NAFTA-302-1; Broom Corn Brooms \1\
Investigation No. TA-201-65
Determinations and Findings With Respect to Injury
On the basis of the information in the investigation--
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1 Broom corn brooms are provided for in subheadings
9603.10.05, 9603.10.15, 9603.10.35, 9603.10.40, 9603.10.50, and
9603.10.60 of the Harmonized Tariff Schedule of the United States
(HTS).
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Chairman Rohr and Commissioners Newquist, Nuzum, and Bragg--
(1) Determine that broom corn brooms are being imported into the
United States in such increased quantities as to be a substantial
cause of serious injury to the domestic industry producing an
article like or directly competitive with the imported article; and
(2) find, pursuant to section 311(a) of the North American Free-
Trade Agreement (NAFTA) Implementation Act, that imports of broom
corn brooms produced in Mexico account for a substantial share of
total imports of such brooms and contribute importantly to the
serious injury caused by imports; but find that imports of broom
corn brooms produced in Canada do not account for a substantial
share of total imports and thus do not contribute importantly to the
serious injury caused by imports.
Commissioners Crawford and Watson determine that broom corn brooms
are not being imported into the United States in such increased
quantities as to be a substantial cause of serious injury or threat of
serious injury to the domestic industry producing an article like or
directly competitive with the imported article.
Findings and Recommendations With Respect to Remedy
Chairman Rohr and Commissioner Newquist--
(1) Recommend that the President increase the rate of duty, for
a 4-year period, on each of the categories of imports of broom corn
brooms that are the subject of this investigation to a rate equal to
the column 1 general rate of duty plus 12 percent ad valorem in the
first year, 9 percent ad valorem in the second year, 6 percent ad
valorem in the third year, and 3 percent ad valorem in the fourth
year;
(2) having found that imports the product of Mexico account for
a substantial share of total imports and have contributed
importantly to the serious injury, recommend that Mexico not be
excluded from this relief action; but having made a negative finding
with respect to imports the product of Canada, recommend that such
imports be excluded from any relief action;
(3) recommend that the President, for the duration of the relief
action, suspend duty-free treatment on the subject articles entered
from Caribbean Basin and Andean countries and apply the column 1
general rate plus the additional ad valorem rates of duty described
above to imports from such countries; and
(4) recommend that this import relief action not apply to
imports the product of Israel.
They find that this remedy will address the serious injury that
they have found to exist and will be the most effective in facilitating
the efforts of the domestic industry to make a positive adjustment to
import competition. This remedy recommendation incorporates their
separate recommendation with regard to NAFTA-302-1, discussed below.
Commissioners Nuzum and Bragg--
(1) Recommend that the President impose a rate of duty, in lieu
of the current column
[[Page 42265]]
1 general rate of duty or preferential rate of duty in effect under
NAFTA, the Caribbean Basin Economic Recovery Act, or the Andean
Trade Preference Act, as the case may be, on imports of broom corn
brooms other than whisk brooms, as follows--
40 percent in the first year of relief;
32 percent in the second year of relief;
24 percent in the third year of relief; and
16 percent in the fourth year of relief.
Where a higher rate of duty would otherwise apply to imports
from any country, in any year, that higher rate would take effect.
(2) Recommend that this import relief action not apply to
imports produced in Israel or Canada.
They find that this remedy will address the serious injury that
they have found to exist and will be the most effective in facilitating
the efforts of the domestic industry to make a positive adjustment to
import competition.
Investigation No. NAFTA-302-1
Determinations With Respect to Injury
On the basis of the information in the investigation--
Chairman Rohr and Commissioners Newquist, Crawford, Nuzum, and
Bragg determine that, as a result of the reduction or elimination of a
duty provided for under the NAFTA, broom corn brooms produced in Mexico
are being imported into the United States in such increased quantities
(in absolute terms) and under such conditions so that imports of the
article, alone, constitute a substantial cause of serious injury to the
domestic industry producing an article that is like, or directly
competitive with, the imported article.
Commissioner Watson determines that broom corn brooms from Mexico
are not, as a result of the reduction or elimination of a duty provided
for under the NAFTA, being imported into the United States in such
increased quantities (in absolute terms) and under such conditions so
that imports of the article, alone, constitute a substantial cause of
serious injury or threat of serious injury to the domestic industry
producing an article that is like, or directly competitive with, the
imported article.
Findings and Recommendations With Respect To Remedy
Chairman Rohr and Commissioners Newquist and Bragg find and
recommend that, in order to remedy serious injury, it is necessary for
the President, for a 3-year period, to increase the rate of duty on
imports of broom corn brooms produced in Mexico receiving tariff
preferences under NAFTA to the column 1 general rate of duty currently
imposed under the HTS on such brooms. This remedy recommendation is
incorporated into Chairman Rohr's and Commissioner Newquist's various
recommendations with regard to TA-201-65, discussed above. Commissioner
Bragg excludes whisk brooms from this remedy recommendation.
Commissioner Crawford finds and recommends that, in order to remedy
serious injury, it is necessary for the President, for a 2-year period,
to increase the rate of duty on imports of broom corn brooms from
Mexico receiving tariff preferences under NAFTA to the column 1 general
rate of duty currently imposed under the HTS on such brooms.
Commissioner Nuzum finds and recommends that, in order to remedy
serious injury, it is necessary for the President, for a 3-year period,
to increase the rate of duty on imports of broom corn brooms, except
whisk brooms, from Mexico receiving tariff preferences under NAFTA as
follows--
(1) For the first 2 years, to the column 1 general rate of duty
currently imposed under the HTS on such brooms; and
(2) For the third year, to a rate that is one-half the
difference between the current column 1 general rate of duty and the
rate of duty that is currently scheduled to be in effect at the end
of the 3-year period.
Background
Following receipt of petitions filed on March 4, 1996, on behalf of
the U.S. Cornbroom Task Force and its individual members, the
Commission instituted Investigations Nos. TA-201-65 and NAFTA-302-1.
Notice of the institution of the Commission's investigations and of
public hearings to be held in connection therewith was given by posting
copies of the notice in the Office of the Secretary, U.S. International
Trade Commission, Washington, DC and by publishing the notice in the
Federal Register of March 18, 1996 (61 FR 11061). The hearings (May 30,
1996, for the injury phase and July 11, 1996, for the remedy phase)
were held in Washington, DC, and all persons who requested the
opportunity were permitted to appear in person or by counsel.
The Commission transmitted its determinations in these
investigations to the President on August 1, 1996. The views of the
Commission are contained in USITC Publication 2984 (August 1996),
entitled ``Broom Corn Brooms: Investigations Nos. TA-201-65 and NAFTA-
302-1.''
Dated: Issued: August 7, 1996.
By order of the Commission.
Donna R. Koehnke,
Secretary.
[FR Doc. 96-20724 Filed 8-13-96; 8:45 am]
BILLING CODE 7020-02-P
