To Modify Duty-Free Treatment Under the Generalized System of Preferences, and for Other Purposes, 39885-39888 [X12-10705]

Agencies

• Executive Office of the President

[Federal Register Volume 77, Number 129 (Thursday, July 5, 2012)]
[Presidential Documents]
[Pages 39885-39888]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: X12-10705]



[[Page 39883]]

Vol. 77

Thursday,

No. 129

July 5, 2012

Part IV





The President





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Proclamation 8840--To Modify Duty-Free Treatment Under the Generalized 
System of Preferences, and for Other Purposes


                        Presidential Documents 



Federal Register / Vol. 77, No. 129 / Thursday, July 5, 2012 / 
Presidential Documents

___________________________________________________________________

Title 3--
The President

[[Page 39885]]

                Proclamation 8840 of June 29, 2012

                
To Modify Duty-Free Treatment Under the 
                Generalized System of Preferences, and for Other 
                Purposes

                By the President of the United States of America

                A Proclamation

                1. Pursuant to sections 501 and 503(a)(1)(B) of the 
                Trade Act of 1974, as amended (the ``1974 Act'') (19 
                U.S.C. 2461 and 2463(a)(1)(B)), the President may 
                designate certain articles as eligible for preferential 
                tariff treatment under the Generalized System of 
                Preferences (GSP) when imported from a least-developed 
                beneficiary developing country.

                2. Pursuant to sections 501 and 503(a)(1)(B) of the 
                1974 Act, and after receiving advice from the United 
                States International Trade Commission (the 
                ``Commission'') in accordance with section 503(e) of 
                the 1974 Act (19 U.S.C. 2463(e)), I have determined to 
                designate certain articles as eligible articles when 
                imported from a least-developed beneficiary developing 
                country.

                3. Section 503(c)(2)(C) of the 1974 Act (19 U.S.C. 
                2463(c)(2)(C)) provides that a country that is no 
                longer treated as a beneficiary developing country with 
                respect to an eligible article may be redesignated as a 
                beneficiary developing country with respect to such 
                article, subject to the considerations set forth in 
                sections 501 and 502 of the 1974 Act (19 U.S.C. 2462), 
                if imports of such article from such country did not 
                exceed the competitive need limitations in section 
                503(c)(2)(A) of the 1974 Act (19 U.S.C. 2463(c)(2)(A)) 
                during the preceding calendar year.

                4. Pursuant to section 503(c)(2)(C) of the 1974 Act, 
                and having taken into account the considerations set 
                forth in sections 501 and 502 of the 1974 Act, I have 
                determined to redesignate certain countries as 
                beneficiary developing countries with respect to 
                certain eligible articles that previously had been 
                imported in quantities exceeding the competitive need 
                limitations of section 503(c)(2)(A) of the 1974 Act.

                5. Section 503(c)(2)(A) of the 1974 Act provides that 
                beneficiary developing countries, except those 
                designated as least-developed beneficiary developing 
                countries or beneficiary sub-Saharan African countries 
                as provided in section 503(c)(2)(D) of the 1974 Act (19 
                U.S.C. 2463(c)(2)(D)), are subject to competitive need 
                limitations on the preferential treatment afforded 
                under the GSP to eligible articles.

                6. Pursuant to section 503(c)(2)(A) of the 1974 Act, I 
                have determined that in 2011 certain beneficiary 
                developing countries exported eligible articles in 
                quantities exceeding the applicable competitive need 
                limitations, and I therefore terminate the duty-free 
                treatment for such articles from such beneficiary 
                developing countries.

                7. Section 503(d)(4)(B)(ii) of the 1974 Act (19 U.S.C. 
                2463(d)(4)(B)(ii)) provides that the President should 
                revoke any waiver of the application of the competitive 
                need limitations that has been in effect with respect 
                to an article for 5 years or more if the beneficiary 
                developing country has exported to the United States 
                during the preceding calendar an amount that exceeds 
                the quantity set forth in section 503(d)(4)(B)(ii)(I) 
                or section 503(d)(4)(B)(ii)(II) of the 1974 Act (19 
                U.S.C. 2463(d)(4)(B)(ii)(I) and 19 U.S.C. 
                2463(d)(4)(B)(ii)(II)).

[[Page 39886]]

                8. Pursuant to section 503(d)(4)(B)(ii) of the 1974 
                Act, I have determined that in 2011 certain beneficiary 
                developing countries exported eligible articles for 
                which a waiver has been in effect for 5 years or more 
                in quantities exceeding the applicable limitation set 
                forth in section 503(d)(4)(B)(ii)(I) or section 
                503(d)(4)(B)(ii)(II) of the 1974 Act, and I therefore 
                revoke said waivers.

                9. Section 503(c)(2)(F)(i) of the 1974 Act (19 U.S.C. 
                2463(c)(2)(F)(i)) provides that the President may 
                disregard the competitive need limitation provided in 
                section 503(c)(2)(A)(i)(II) of the 1974 Act (19 U.S.C. 
                2463(c)(2)(A)(i)(II)) with respect to any eligible 
                article from any beneficiary developing country, if the 
                aggregate appraised value of the imports of such 
                article into the United States during the preceding 
                calendar year does not exceed an amount set forth in 
                section 503(c)(2)(F)(ii) of the 1974 Act (19 U.S.C. 
                2463(c)(2)(F)(ii)).

                10. Pursuant to section 503(c)(2)(F)(i) of the 1974 
                Act, I have determined that the competitive need 
                limitation provided in section 503(c)(2)(A)(i)(II) of 
                the 1974 Act should be disregarded with respect to 
                certain eligible articles from certain beneficiary 
                developing countries.

                11. Section 503(d)(1) of the 1974 Act (19 U.S.C. 
                2463(d)(1)) provides that the President may waive the 
                application of the competitive need limitations in 
                section 503(c)(2) of the 1974 Act with respect to any 
                eligible article from any beneficiary developing 
                country if certain conditions are met.

                12. Pursuant to section 503(d)(1) of the 1974 Act, I 
                have received the advice of the Commission on whether 
                any industry in the United States is likely to be 
                adversely affected by waivers of the competitive need 
                limitations provided in section 503(c)(2), and I have 
                determined, based on that advice and on the 
                considerations described in sections 501 and 502(c) of 
                the 1974 Act (19 U.S.C. 2462(c)) and after giving great 
                weight to the considerations in section 503(d)(2) of 
                the 1974 Act (19 U.S.C. 2463(d)(2)), that such waivers 
                are in the national economic interest of the United 
                States. Accordingly, I have determined that the 
                competitive need limitations of section 503(c)(2) of 
                the 1974 Act should be waived with respect to certain 
                eligible articles from certain beneficiary developing 
                countries.

                13. Section 502(e) of the 1974 Act (19 U.S.C. 2462(e)) 
                provides that the President shall terminate the 
                designation of a country as a beneficiary developing 
                country if the President determines that such country 
                has become a ``high income'' country as defined by the 
                official statistics of the International Bank for 
                Reconstruction and Development. Termination is 
                effective on January 1 of the second year following the 
                year in which such determination is made.

                14. Pursuant to section 502(e) of the 1974 Act, I have 
                determined that Gibraltar has become a ``high income'' 
                country, and I am terminating the designation of that 
                country as a beneficiary developing country for 
                purposes of the GSP, effective January 1, 2014, and I 
                will so notify the Congress.

                15. Pursuant to section 502(e) of the 1974 Act, I have 
                also determined that the Turks and Caicos Islands has 
                become a ``high income'' country, and I am terminating 
                the designation of that country as a beneficiary 
                developing country for purposes of the GSP, effective 
                January 1, 2014, and I will so notify the Congress.

                16. Pursuant to section 502(a)(2) of the 1974 Act (19 
                U.S.C. 2462(a)(2)), the President is authorized to 
                designate any beneficiary developing country as a 
                least-developed beneficiary developing country for 
                purposes of the GSP. Section 502(f)(1)(B) of the 1974 
                Act (19 U.S.C. 2462(f)(1)(B)) requires the President to 
                notify the Congress at least 60 days before designating 
                any country as a least-developed beneficiary developing 
                country.

                17. Pursuant to section 502(a)(2) of the 1974 Act, 
                having considered the factors set forth in section 501 
                and section 502(c) of the 1974 Act (19 U.S.C. 2462(c)), 
                I have determined that the Republic of Senegal 
                (Senegal) should be designated as a least-developed 
                beneficiary developing country for purposes of the GSP, 
                and I will so notify the Congress.

[[Page 39887]]

                18. Section 604 of the 1974 Act (19 U.S.C. 2483) 
                authorizes the President to embody in the Harmonized 
                Tariff Schedule of the United States (HTS) the 
                substance of the relevant provisions of that Act, and 
                of other Acts affecting import treatment, and actions 
                thereunder, including removal, modification, 
                continuance, or imposition of any rate of duty or other 
                import restriction.

                19. The short form name of East Timor has been changed 
                to Timor-Leste, and I have determined that general note 
                4 to the HTS should be modified to reflect this change.

                20. Presidential Proclamation 7011 of June 30, 1997, 
                implemented the World Trade Organization Ministerial 
                Declaration on Trade in Information Technology Products 
                (the ``ITA'') for the United States. Products included 
                in Attachment B to the ITA are entitled to duty-free 
                treatment wherever classified. In order to maintain the 
                intended tariff treatment for certain products covered 
                in Attachment B, I have determined that technical 
                corrections to the HTS are necessary.

                NOW, THEREFORE, I, BARACK OBAMA, President of the 
                United States of America, by virtue of the authority 
                vested in me by the Constitution and the laws of the 
                United States of America, including but not limited to 
                title V and section 604 of the 1974 Act, do proclaim 
                that:

                (1) In order to designate certain articles as eligible 
                articles only when imported from a least-developed 
                beneficiary developing country for purposes of the GSP, 
                the Rates of Duty 1-Special subcolumn for the 
                corresponding HTS subheadings is modified as set forth 
                in section A of Annex I to this proclamation.

                (2) In order to redesignate certain articles as 
                eligible articles for purposes of the GSP, the Rates of 
                Duty 1-Special subcolumn for the corresponding HTS 
                subheadings and general note 4(d) to the HTS are 
                modified as set forth in section B of Annex I to this 
                proclamation.

                (3) In order to provide that one or more countries 
                should no longer be treated as beneficiary developing 
                countries with respect to one or more eligible articles 
                for purposes of the GSP, the Rates of Duty 1-Special 
                subcolumn for the corresponding HTS subheadings and 
                general note 4(d) to the HTS is modified as set forth 
                in section C of Annex I to this proclamation.

                (4) In order to reflect the change in the name of East 
                Timor, general notes 4(a) and 4(b)(i) to the HTS are 
                modified as provided in section D of Annex I to this 
                proclamation.

                (5) The modifications to the HTS set forth in Annex I 
                to this proclamation shall be effective with respect to 
                articles entered, or withdrawn from warehouse for 
                consumption, on or after the dates set forth in the 
                relevant sections of Annex I.

                (6) The competitive need limitation provided in section 
                503(c)(2)(A)(i)(II) of the 1974 Act is disregarded with 
                respect to the eligible articles in the HTS subheadings 
                and to the beneficiary developing countries listed in 
                Annex II to this proclamation.

                (7) A waiver of the application of section 503(c)(2) of 
                the 1974 Act shall apply to the articles in the HTS 
                subheadings and to the beneficiary developing countries 
                set forth in Annex III to this proclamation.

                (8) The designation of Gibraltar as a beneficiary 
                developing country for purposes of the GSP is 
                terminated, effective on January 1, 2014.

                (9) In order to reflect this termination in the HTS, 
                general note 4(a) to the HTS is modified by deleting 
                ``Gibraltar'' from the list of non-independent 
                countries and territories, effective with respect to 
                articles entered, or withdrawn from warehouse for 
                consumption, on or after January 1, 2014.

                (10) The designation of the Turks and Caicos Islands as 
                a beneficiary developing country for purposes of the 
                GSP is terminated, effective on January 1, 2014.

[[Page 39888]]

                (11) In order to reflect this termination in the HTS, 
                general note 4(a) to the HTS is modified by deleting 
                ``Turks and Caicos Islands'' from the list of non-
                independent countries and territories, effective with 
                respect to articles entered, or withdrawn from 
                warehouse for consumption, on or after January 1, 2014.

                (12) Senegal is designated as a least-developed 
                beneficiary developing country for purposes of the GSP, 
                effective 60 days after the date this proclamation is 
                published in the Federal Register.

                (13) In order to reflect this designation in the HTS, 
                general note 4(b)(i) is modified by adding in 
                alphabetical order ``Senegal,'' effective with respect 
                to articles entered, or withdrawn from warehouse for 
                consumption, on or after the date that is 60 days after 
                the date this proclamation is published in the Federal 
                Register.

                (14) In order to provide the intended tariff treatment 
                to certain products covered by the ITA, the HTS is 
                modified as set forth in Annex IV to this proclamation.

                (15) The modifications to the HTS set forth in Annex IV 
                to this proclamation shall be effective with respect to 
                articles entered, or withdrawn from warehouse for 
                consumption, on or after the date set forth in Annex 
                IV.

                (16) Any provisions of previous proclamations and 
                Executive Orders that are inconsistent with the actions 
                taken in this proclamation are superseded to the extent 
                of such inconsistency.

                IN WITNESS WHEREOF, I have hereunto set my hand this 
                twenty-ninth day of June, in the year of our Lord two 
                thousand twelve, and of the Independence of the United 
                States of America the two hundred and thirty-sixth.
                
                
                    (Presidential Sig.)

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