[Federal Register Volume 59, Number 13 (Thursday, January 20, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-1364]


[[Page Unknown]]

[Federal Register: January 20, 1994]


-----------------------------------------------------------------------

INTERNATIONAL TRADE COMMISSION
[Investigation No. TA-406-13]

 

Honey From China

Determination

    On the basis of the information developed in the subject 
investigation, the Commission determines1 that market disruption 
exists with respect to imports of honey2 from China--that is, 
imports of honey from China are increasing rapidly so as to be a 
significant cause of threat of material injury to a domestic 
industry.3
---------------------------------------------------------------------------

    \1\Commissioner Brunsdale dissenting.
    \2\The honey products included in this investigation are imports 
of natural honey, artificial honey mixed with natural honey, and 
preparations of natural honey, provided for in heading 0409 and 
subheadings 1702.90 and 2106.90 of the Harmonized Tariff Schedule of 
the United States (HTS).
    \3\Section 406(e)(2) of the Trade Act of 1974 defines market 
disruption as existing whenever ``imports of an article, like or 
directly competitive with an article produced by such domestic 
industry, are increasing rapidly, either absolutely or relatively, 
so as to be a significant cause of material injury, or threat 
thereof, to such domestic industry.''
---------------------------------------------------------------------------

Findings and Recommendations

    Chairman Newquist, Commissioner Rohr and Commissioner Nuzum find 
and recommend that in order to remedy the market disruption found with 
respect to imports of honey from China, it is necessary to impose a 
tariff-rate quota on such honey for a 3-year period, to be administered 
on a quarterly basis, with imports entered within a quarterly quota of 
12.5 million pounds of honey from China to be dutiable at a rate of 25 
percent ad valorem, and over-quota imports entered during any calendar 
quarter to be dutiable at a rate of 50 percent ad valorem, with such 
duties imposed in lieu of the existing rate of duty. The Commissioners 
also recommend review after 3 years, or earlier, depending on the 
status of the federal honey loan support program.
    Vice Chairman Watson finds and recommends that in order to remedy 
the market disruption found with respect to imports of honey from 
China, it is necessary to impose a tariff-rate quota on such honey for 
a 2\1/2\ year period, with a rate of 15 percent ad valorem on the first 
60 million pounds of honey imported from China annually, and a rate of 
25 percent ad valorem on such honey that exceeds 60 million pounds. 
Such duties should be in addition to current duties on such honey. Vice 
Chairman Watson also recommends review not later than 2 years after 
imposition of relief, with interested parties given the right to 
petition the ITC for a review of the remedy proposed at any time after 
1 year following any relief granted by the President.
    Commissioner Brunsdale, although finding in the negative with 
respect to market disruption and honey from China, recommends that if 
the President imposes a remedy, it be a tariff-rate quota for a 3-year 
period on such honey, with no additional duty imposed on the first 60 
million pounds of honey from China entered annually, but with an 
additional duty of 10 percent ad valorem imposed on imports that exceed 
60 million pounds.
    Commissioner Crawford finds and recommends that in order to remedy 
the market disruption found with respect to imports of honey from 
China, it is necessary to impose a duty of 10 percent ad valorem, in 
lieu of the existing rate of duty, on all honey imported from China for 
a period of three years. Commissioner Crawford also recommends review 
after 3 years.

Background

    This report is being furnished to the President pursuant to section 
406(a)(3) of the Trade Act of 1974 (19 U.S.C. 2436(a)(3)) and is based 
on an investigation conducted under section 406(a)(1) of the Trade Act. 
The Commission instituted this investigation effective October 6, 1993, 
following receipt of a request from the United States Trade 
Representative.
    Notice of the institution of the Commission's investigation and of 
a public hearing to be held in connection therewith was given by 
posting copies of the notice in the Office of the Secretary, U.S. 
International Trade Commission, Washington, DC, and by publishing the 
notice in the Federal Register of October 20, 1993 (58 FR 54169). The 
hearing on injury and relief was held in Washington, DC, on December 2, 
1993, and all persons who requested the opportunity were permitted to 
appear in person or by counsel.
    The Commission transmitted its determination, findings and 
recommendations in this investigation to the President on January 7, 
1994. The views of the Commission are contained in USITC Publication 
2715 (January 1994), entitled ``Honey from China: Investigation No. TA-
406-13.''

    Issued: January 11, 1994.

    By order of the Commission.
Donna R. Koehnke,
Secretary.
[FR Doc. 94-1364 Filed 1-19-94; 8:45 am]
BILLING CODE 7020-02-P00