[Congressional Record (Bound Edition), Volume 151 (2005), Part 19]
[Senate]
[Pages 25943-25944]
[From the U.S. Government Publishing Office, www.gpo.gov]




 REPORT OF THE 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--PM 31

  The PRESIDING OFFICER laid before the Senate the following message 
from the President of the United States, together with an accompanying 
report; which was referred to the Committee on Foreign Relations:

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

[[Page 25944]]

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.

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