[House Document 109-70]
[From the U.S. Government Publishing Office]




109th Congress, 1st Session - - - - - - - - - - - - - House Document 109-70

 
NOTIFICATION TO ENTER INTO AN AGREEMENT WITH THE EUROPEAN UNION, JAPAN, 
                   THE REPUBLIC OF KOREA, AND TAIWAN

                               __________

                                MESSAGE

                                  from

                   THE PRESIDENT OF THE UNITED STATES

                              transmitting

NOTICE OF INTENTION TO ENTER INTO AN AGREEMENT WITH THE EUROPEAN UNION, 
JAPAN, THE REPUBLIC OF KOREA, AND TAIWAN ON TARIFF TREATMENT FOR MULTI-
 CHIP INTEGRATED CIRCUITS IN ACCORDANCE WITH SECTION 2103(a)(1) OF THE 
                           TRADE ACT OF 2002




  November 16, 2005.--Message and accompanying papers referred to the 
         Committee on Ways and Means and ordered to be printed
To the Congress of the United States:
    Consistent with section 2103(a)(1) of the Trade Act of 
2002, I am pleased to notify the Congress of my intention to 
enter into an agreement with the European Union, Japan, the 
Republic of Korea, and Taiwan on tariff treatment for multi-
chip integrated circuits. Multi-chip integrated circuits are 
semiconductor devices used in computers, cell phones, and other 
high-technology products.
    United States-based companies are the principal suppliers 
to the world of multi-chip integrated circuits. In 2004, global 
sales of finished multi-chip integrated circuits were estimated 
to be $4.2 billion, and U.S. semiconductor companies account 
for roughly half of those sales.
    The United States, the European Union, the Republic of 
Korea, and Taiwan will apply zero duties on these products as 
of an agreed date. The target date for entry into force of the 
Agreement is January 1, 2006. Japan already applies zero duties 
on these products and expects to ratify the Agreement formally 
in 2006. Further, although all major producers of multi-chip 
integrated circuits will be parties to the Agreement, we will 
seek to build on this Agreement by joining together to work in 
the World Trade Organization to increase the number of 
countries granting duty-free treatment to these products.

                                                    George W. Bush.
    The White House, November 14, 2005.