Proclamation 7007

By the President of the United States of America A Proclamation

1. Pursuant to sections 501, 503(a)(1)(A), and 503(c)(1) of title V of the Trade Act of 1974 ("the 1974 Act"), 19 U.S.C. 2461-2466, as amended, the President may designate or withdraw designation of specified articles provided for in the Harmonized Tariff Schedule of the United States (HTS) as eligible for preferential tariff treatment under the Generalized System of Preferences (GSP) when imported from designated beneficiary developing countries.

2. Pursuant to sections 501 and 502 of the 1974 Act, the President is authorized to designate countries as beneficiary developing countries for purposes of the GSP.

3. Pursuant to section 503(c)(2)(A) of the 1974 Act, some beneficiary developing countries are subject to the competitive need limitation on the preferential treatment afforded under the GSP to eligible products.

4. Pursuant to section 503(c)(2)(C) of the 1974 Act, 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 if imports of such article from such country did not exceed the competitive need limitation in section 503(c)(2)(A) during the preceding calendar year.

5. Pursuant to section 503(c)(2)(F) of the 1974 Act, the President may disregard the competitive need limitation provided in section 503(c)(2)(A)(i)(II) with respect to any eligible article if the aggregate appraised value of the imports of such article into the United States during the preceding calendar year does not exceed the applicable amount set forth in section 503(c)(2)(F)(ii).

6. Further, pursuant to subsection 503(d) of the 1974 Act, the President may waive the application of the competitive need limitation in section 503(c)(2)(A) with respect to any eligible article of any beneficiary developing country.

7. Pursuant to section 503(a)(1)(B) of the 1974 Act, the President may designate articles as eligible articles only for countries designated as least-developed beneficiary developing countries under section 502(a)(2), if the President determines that such articles are not import-sensitive in the context of imports from such least-developed beneficiary developing countries.

8. Pursuant to sections 501, 503(a)(1)(A), and 503(c)(1) of the 1974 Act, I have determined, after taking into account information and advice received from the United States International Trade Commission under section 503(a)(1)(A), to designate additional articles as eligible articles for purposes of the GSP. In order to do so, it is necessary to subdivide and amend the nomenclature of existing provisions of the HTS.

9. Pursuant to sections 501 and 502 of the 1974 Act, and having due regard for the eligibility criteria set forth therein, I have determined that it is appropriate to designate Cambodia as a beneficiary developing country and a least-developed beneficiary developing country for purposes of the GSP.

10. Pursuant to sections 503(c)(2)(A) of the 1974 Act, I have determined that certain beneficiary countries should no longer receive preferential tariff treatment under the GSP with respect to certain eligible articles imported in quantities that exceed the applicable competitive need limitation.

11. Pursuant to section 503(c)(2)(C) of the 1974 Act, I have determined that certain countries should be redesignated as beneficiary developing countries with respect to certain eligible articles that had been imported previously in quantities that exceeded the competitive need limitation of section 503(c)(2)(A).

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

13. Pursuant to section 503(d) of the 1974 Act, I have determined that the competitive need limitation of section 503(c)(2)(A) should be waived with respect to certain eligible articles from certain beneficiary developing countries. I have received the advice of the United States International Trade Commission on whether any industries in the United States are likely to be adversely affected by such waivers and I have determined, based on that advice and on the considerations described in sections 501 and 502(c), that such waivers are in the national economic interest of the United States. In order to grant one of those waivers, it is necessary to subdivide and amend the nomenclature of existing provisions of the HTS.

14. Pursuant to section 503(a)(1)(B) of the 1974 Act, I have determined to designate certain articles as eligible articles under the GSP only for least-developed beneficiary developing countries.

15. Section 604 of the 1974 Act, 19 U.S.C. 2483, as amended, authorizes the President to embody in the 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, William J. Clinton, President of the United States of America, acting under 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 provide that Cambodia is designated as a beneficiary developing country and a least-developed beneficiary developing country for purposes of the GSP, that one or more countries that have not been treated as beneficiary developing countries with respect to one or more eligible articles should be redesignated as beneficiary developing countries with respect to such article or articles for purposes of the GSP, and that one or more countries should no longer be treated as beneficiary developing countries with respect to an eligible article for purposes of the GSP, general note 4 to the HTS is modified as provided in section A of Annex I to this proclamation.

(2) In order to designate certain articles as eligible articles for purposes of the GSP when imported from beneficiary developing countries, the HTS is modified as provided in section B of Annex I to this proclamation.

(3) (a) In order to designate an article as an eligible article for purposes of the GSP when imported from any beneficiary developing country other than India, the Rates of Duty 1-Special subcolumn for the HTS subheading enumerated in section C(1)(a) of Annex I to this proclamation is modified as provided in such Annex section.

(b) In order to designate an article as an eligible article for purposes of the GSP when imported from any beneficiary developing country, the Rates of Duty 1-Special subcolumn for the HTS subheading enumerated in section C(1)(b) of Annex I to this proclamation is modified as provided in such Annex section.

(c) In order to restore preferential tariff treatment under the GSP to a country that has been excluded from the benefits of the GSP for an eligible article, the Rates of Duty 1-Special subcolumn for each of the HTS subheadings enumerated in section C(1)(c) of Annex I to this proclamation is modified as provided in such Annex section.

(d) In order to provide that one or more countries should no longer be treated as a beneficiary developing country with respect to an eligible article for purposes of the GSP the Rates of Duty 1-Special subcolumn for each of the HTS provisions enumerated in section C(2) of Annex I to this proclamation is modified as provided in such Annex section.

(4) In order to designate certain articles as eligible articles for purposes of the GSP only when imported from designated least-developed beneficiary developing countries, the HTS is modified as provided in Annex II to this proclamation.

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

(6) In order to provide for the continuation of previously proclaimed staged reductions in the Rates of Duty 1-General subcolumn, for goods that fall in the HTS subheadings modified by section B(1) of Annex I to this proclamation and that are entered, or withdrawn from warehouse for consumption, on or after the dates specified in Annex IV to this proclamation, the rate of duty in the HTS set forth in such subcolumn for each of the HTS subheadings enumerated in Annex IV to this proclamation is deleted and the rate of duty provided in such Annex is inserted in lieu thereof.

(7) 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.

(8) (a) The modifications made by Annexes I, II, and IV 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 such Annexes.

(b) The action taken in Annex III to this proclamation shall be effective on May 31, 1997.

In Witness Whereof, I have hereunto set my hand this thirtieth day of May, in the year of our Lord nineteen hundred and ninety-seven, and of the Independence of the United States of America the two hundred and twenty-first.

William J. Clinton

[Filed with the Office of the Federal Register, 2:21 p.m., May 30, 1997]