To Facilitate Positive Adjustment to Competition From Imports of Large Residential Washers, 3553-3556 [X18-80125]

Agencies

• Executive Office of the President

[Federal Register Volume 83, Number 17 (Thursday, January 25, 2018)]
[Presidential Documents]
[Pages 3553-3556]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: X18-80125]




                        Presidential Documents 



Federal Register / Vol. 83, No. 17 / Thursday, January 25, 2018 / 
Presidential Documents

[[Page 3553]]


                Proclamation 9694 of January 23, 2018

                
To Facilitate Positive Adjustment to Competition 
                From Imports of Large Residential Washers

                By the President of the United States of America

                A Proclamation

                1. On December 4, 2017, the United States International 
                Trade Commission (ITC) transmitted to the President a 
                report (the ``ITC Report'') on its investigation under 
                section 202 of the Trade Act of 1974, as amended (the 
                ``Trade Act'') (19 U.S.C. 2252), with respect to 
                imports of large residential washers (``washers''). The 
                product subject to the ITC's investigation and 
                determination excluded certain washers described in the 
                ITC Notice of Institution, 82 FR 27075 (June 13, 2017), 
                and listed in subdivision (c)(2) of Note 17 in the 
                Annex to this proclamation.

                2. The ITC reached an affirmative determination under 
                section 202(b) of the Trade Act (19 U.S.C. 2252(b)) 
                that the following products are 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 industries producing 
                like or directly competitive articles:

                    (a) washers; and
                    (b) certain washer parts, including (i) all 
                cabinets, or portions thereof, designed for use in 
                washers; (ii) all assembled tubs designed for use in 
                washers which incorporate, at a minimum, a tub and a 
                seal; (iii) all assembled baskets designed for use in 
                washers which incorporate, at a minimum, a side 
                wrapper, a base, and a drive hub; and (iv) any 
                combination of the foregoing parts or subassemblies.

                3. Pursuant to section 311(a) of the North American 
                Free Trade Agreement Implementation Act (the ``NAFTA 
                Implementation Act'') (19 U.S.C. 3371(a)), the ITC made 
                findings as to whether imports from Canada and Mexico, 
                considered individually, account for a substantial 
                share of total imports and contribute importantly to 
                the serious injury, or threat thereof, caused by 
                imports. The ITC made negative findings of contribution 
                to injury with respect to imports of washers from 
                Canada and Mexico.

                4. The ITC transmitted to the President its 
                recommendations made pursuant to section 202(e) of the 
                Trade Act (19 U.S.C. 2252(e)) with respect to the 
                actions that, in its view, would address the serious 
                injury, or threat of serious injury, to the domestic 
                industry and be most effective in facilitating the 
                efforts of the industry to make a positive adjustment 
                to import competition.

                5. Pursuant to section 203 of the Trade Act (19 U.S.C. 
                2253), and after taking into account the considerations 
                specified in section 203(a)(2) of the Trade Act (19 
                U.S.C. 2253(a)(2)) and the ITC Report, I have 
                determined to implement action of a type described in 
                section 203(a)(3) of the Trade Act (19 U.S.C. 
                2252(a)(3)) (a ``safeguard measure''), with regard to 
                the following washers and covered washer parts:

                    (a) washers provided for in subheadings 8450.11.00 
                and 8450.20.00 in the Annex to this proclamation;
                    (b) all cabinets, or portions thereof, designed for 
                use in washers, and all assembled baskets designed for 
                use in washers that incorporate, at a

[[Page 3554]]

                minimum, a side wrapper, a base, and a drive hub, 
                provided for in subheading 8450.90.60 in the Annex to 
                this proclamation;
                    (c) all assembled tubs designed for use in washers 
                that incorporate, at a minimum, a tub and a seal, 
                provided for in subheading 8450.90.20 in the Annex to 
                this proclamation;
                    (d) any combination of the foregoing parts or 
                subassemblies, provided for in subheadings 8450.90.20 
                or 8450.90.60 in the Annex to this proclamation.

                6. Pursuant to section 312(a) of the NAFTA 
                Implementation Act (19 U.S.C. 3372(a)), I have 
                determined after considering the ITC Report that (a) 
                imports from Canada of washers and covered washer 
                parts, considered individually, do not account for a 
                substantial share of total imports and do not 
                contribute importantly to the serious injury or threat 
                of serious injury found by the ITC; and (b) imports 
                from Mexico of washers and covered washer parts, 
                considered individually, account for a substantial 
                share of total imports and have contributed importantly 
                to the serious injury or threat of serious injury found 
                by the ITC. Accordingly, pursuant to section 312(b) of 
                the NAFTA Implementation Act (19 U.S.C. 3372(b)), I 
                have excluded washers and covered washer parts that are 
                the product of Canada from the actions I am taking 
                under section 203 of the Trade Act.

                7. Pursuant to section 203 of the Trade Act, the action 
                I have determined to take shall be a safeguard measure 
                in the form of:

                    (a) a tariff-rate quota on imports of washers 
                described in subparagraph (a) of paragraph 5 of this 
                proclamation, imposed for a period of 3 years plus 1 
                day, with unchanging within-quota quantities, annual 
                reductions in the rates of duties entered within those 
                quantities in the second and third years, and annual 
                reductions in the rates of duty applicable to goods 
                entered in excess of those quantities in the second and 
                third years; and
                    (b) a tariff-rate quota on imports of covered 
                washer parts described in subparagraphs (b), (c), and 
                (d) of paragraph 5 of this proclamation, imposed for a 
                period of 3 years plus 1 day, with increasing within-
                quota quantities and annual reductions in the rates of 
                duty applicable to goods entered in excess of those 
                quantities in the second and third years.

                8. This safeguard measure shall apply to imports from 
                all countries, except for products of Canada and except 
                as provided in paragraph 9 of this proclamation.

                9. This safeguard measure shall not apply to imports of 
                any product described in paragraph 5 of this 
                proclamation of a developing country that is a Member 
                of the World Trade Organization (WTO), as listed in 
                subdivision (b)(2) of Note 17 in the Annex to this 
                proclamation, as long as such a country's share of 
                total imports of the product, based on imports during a 
                recent representative period, does not exceed 3 
                percent, provided that imports that are the product of 
                all such countries with less than 3 percent import 
                share collectively account for not more than 9 percent 
                of total imports of the product. If I determine that a 
                surge in imports of a product described in paragraph 5 
                of this proclamation of a developing country that is a 
                WTO Member results in imports of that product from that 
                developing country exceeding either of the thresholds 
                described in this paragraph, the safeguard measure 
                shall be modified to apply to such product from such 
                country.

                10. The in-quota quantity in each year under the 
                tariff-rate quotas described in paragraph 7 of this 
                proclamation shall be allocated among all countries 
                except those countries the products of which are 
                excluded from such tariff-rate quota pursuant to 
                paragraphs 8 and 9 of this proclamation.

                11. Pursuant to section 203(a)(1)(A) of the Trade Act 
                (19 U.S.C. 2253(a)(1)(A)), I have determined that this 
                safeguard measure will facilitate efforts by the 
                domestic industry to make a positive adjustment to 
                import competition and provide greater economic and 
                social benefits than costs. If I determine that further 
                action is appropriate and feasible to facilitate 
                efforts by the domestic industry to make a positive 
                adjustment to import competition

[[Page 3555]]

                and to provide greater economic and social benefits 
                than costs, or if I determine that the conditions under 
                section 204(b)(1) of the Trade Act (19 U.S.C. 
                2254(b)(1)) are met, I shall reduce, modify, or 
                terminate the action established in this proclamation 
                accordingly. In addition, if I determine within 30 days 
                of the date of this proclamation, as a result of 
                consultations between the United States and other WTO 
                Members pursuant to Article 12.3 of the WTO Agreement 
                on Safeguards, that it is necessary to reduce, modify, 
                or terminate the safeguard measure, I shall proclaim 
                the corresponding reduction, modification, or 
                termination of the safeguard measure within 40 days.

                12. If I determine that a surge in imports of covered 
                washer parts described in subparagraphs (b), (c), and 
                (d) of paragraph 5 of this proclamation undermines the 
                effectiveness of the safeguard measure, the safeguard 
                measure shall be modified by imposing a quantitative 
                restriction in lieu of the tariff-rate quota.

                13. Section 604 of the Trade 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 the removal, modification, 
                continuance, or imposition of any rate of duty or other 
                import restriction.

                NOW, THEREFORE, I, DONALD J. TRUMP, President of the 
                United States of America, acting under the authority 
                vested in me by the Constitution and the laws of the 
                United States, including but not limited to sections 
                203 and 604 of the Trade Act, section 312 of the NAFTA 
                Implementation Act (19 U.S.C. 3372), and section 301 of 
                title 3, United States Code, do proclaim that:

(1) In order to establish increases in duty and a tariff-rate quota on 
imports of the washers and covered washer parts described in paragraph 5 of 
this proclamation (other than excluded products), subchapter III of chapter 
99 of the HTS is modified as provided in the Annex to this proclamation. 
Any merchandise subject to the safeguard measure that is admitted into U.S. 
foreign trade zones on or after 12:01 a.m. eastern standard time, on 
February 7, 2018, must be admitted as ``privileged foreign status'' as 
defined in 19 CFR 146.41, and will be subject upon entry for consumption to 
any quantitative restrictions or tariffs related to the classification 
under the applicable HTS subheading.

(2) Imports of washers and covered washer parts that are the product of 
Canada shall be excluded from the safeguard measure established in this 
proclamation, and such imports shall not be counted toward the tariff-rate 
quota limits that trigger the over-quota rates of duty.

(3) Except as provided in clause (4) below, imports of washers and covered 
washer parts that are the product of WTO Member developing countries, as 
listed in subdivision (b)(2) of Note 17 in the Annex to this proclamation, 
shall be excluded from the safeguard measure established in this 
proclamation, and such imports shall not be counted toward the tariff-rate 
quota limits that trigger the over-quota rates of duties.

(4) If, after the safeguard measure established in this proclamation takes 
effect, the United States Trade Representative (USTR) determines that:

                    (a) the share of total imports of the product of a 
                country listed in subdivision (b)(2) of Note 17 in the 
                Annex to this proclamation exceeds 3 percent,
                    (b) imports of the product from all listed 
                countries with less than 3 percent import share 
                collectively account for more than 9 percent of total 
                imports of the product, or
                    (c) a country listed in subdivision (b)(2) of Note 
                17 in the Annex to this proclamation is no longer a 
                developing country for purposes of this proclamation;

[[Page 3556]]

                    the USTR is authorized, upon publication of a 
                notice in the Federal Register, to revise subdivision 
                (b)(2) of Note 17 in the Annex to this proclamation to 
                remove the relevant country from the list or suspend 
                operation of that subdivision, as appropriate.

(5) If, after the safeguard measure established in this proclamation takes 
effect, the USTR determines that the out-of-quota quantity in units of 
covered washer parts entered under the tariff lines in chapter 99 
enumerated in the Annex to this proclamation has increased by an 
unjustifiable amount and undermines the effectiveness of the safeguard 
measure, the USTR is authorized, upon publishing a notice of such 
determination in the Federal Register, to modify the HTS provisions created 
by the Annex to this proclamation so as to modify the tariff-rate quota on 
covered washer parts with a quantitative restriction on covered washer 
parts at a level that the USTR considers appropriate.

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

(7) The modifications to the HTS made in this proclamation, including the 
Annex hereto, shall be effective with respect to goods entered, or 
withdrawn from warehouse for consumption, on or after 12:01 a.m. eastern 
standard time on February 7, 2018, and shall continue in effect as provided 
in the Annex to this proclamation, unless such actions are earlier 
expressly reduced, modified, or terminated. One year from the termination 
of the safeguard measure established in this proclamation, the U.S. note 
and tariff provisions established in the Annex to this proclamation shall 
be deleted from the HTS.

                IN WITNESS WHEREOF, I have hereunto set my hand this 
                twenty-third day of January, in the year of our Lord 
                two thousand eighteen, and of the Independence of the 
                United States of America the two hundred and forty-
                second.
                
                
                    (Presidential Sig.)

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