[Federal Register Volume 61, Number 200 (Tuesday, October 15, 1996)]
[Notices]
[Pages 53776-53777]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-26317]


=======================================================================
-----------------------------------------------------------------------

OFFICE OF THE UNITED STATES TRADE REPRESENTATIVE

[Docket No. 301-108]


Initiation of Section 302 Investigation and Request for Public 
Comment: Argentine Specific Duties and Non-Tariff Barriers Affecting 
Apparel, Textiles, Footwear

AGENCY: Office of the United States Trade Representative.

ACTION: Notice of initiation of investigation; request for written 
comments.

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

SUMMARY: The Acting United States Trade Representative (USTR) has 
initiated an investigation under section 302(b)(1) of the Trade Act of 
1974, as amended (the Trade Act), with respect to certain acts, 
policies and practices of the Government of Argentina concerning the 
imposition of (1) specific duties on apparel, textiles, footwear and 
other items above the 35 percent ad valorem rate to which Argentina is 
bound under the General Agreement on Tariffs and Trade 1994 (``GATT 
1994''); (2) a statistical tax of 3 percent ad valorem on imports from 
sources other than MERCOSUR countries; and (3) a burdensome labeling 
requirement on apparel, textiles and footwear. The United States 
alleges that these acts, policies and practices are inconsistent with 
certain provisions of the GATT 1994, the Agreement on Technical 
Barriers to Trade, the Agreement on the Implementation of Article VII 
of the GATT 1994, and the Agreement on Textiles and Clothing. USTR 
invites written comments from the public on the matters being 
investigated.

DATES: This investigation was initiated on October 4, 1996. Written 
comments from the public are due on or before noon on Wednesday, 
November 6, 1996.

ADDRESSES: Office of the United States Trade Representative, 600 17th 
Street, NW, Washington, DC 20508.

FOR FURTHER INFORMATION CONTACT: Karen James Chopra, Deputy Assistant 
United States Trade Representative for the Western Hemisphere, (202) 
395-5190, or Hal S. Shapiro, Assistant General Counsel, (202) 395-3582.

SUPPLEMENTARY INFORMATION: Section 302(b)(1) of the Trade Act, 19 
U.S.C. 2412(b)(1), authorizes the USTR to initiate an investigation 
under chapter 1 of Title III of the Trade Act (commonly referred to as 
``section 301'') with respect to any matter in order to determine 
whether the matter is actionable under section 301. Matters actionable 
under section 301 include, inter alia, the denial of rights of the

[[Page 53777]]

United States under a trade agreement, or acts, policies, and practices 
of a foreign country that violate or are inconsistent with the 
provisions of, or otherwise deny benefits to the United States under, 
any trade agreement.
    On October 4, 1996, having consulted with members of the relevant 
industries, the USTR determined that an investigation should be 
initiated to assess whether certain acts, policies and practices of 
Argentina regarding specific duties and non-tariff barriers affecting 
apparel, textiles and footwear are actionable under section 301(a). In 
1995 and 1996, Argentina adopted specific duties on apparel, textiles, 
footwear and other items that are greater than Argentina's GATT 1994 
tariff rate of 35 percent ad valorem.
    In addition, Argentina imposes a statistical tax of 3 percent ad 
valorem on imports, which is not tied to the value of any services 
performed. Finally, Argentina imposes a labeling requirement on 
apparel, textiles, footwear and certain other items that may be an 
unnecessary obstacle to trade. Exporters of these products are required 
to complete an affidavit identifying product components, and each 
affidavit must receive an assigned identification number from the 
Undersecretariat of Foreign Trade that, in turn, must appear in the 
labels of covered merchandise.
    The USTR believes that these acts, policies and practices are 
inconsistent with Articles II, VII, VIII and X of the GATT 1994; 
Article 2 of the Agreement on Technical Barriers to Trade; Articles 1 
through 8 of the Agreement on the Implementation of Article VII of the 
GATT 1994; and Article 7 of the Agreement on Textiles and Clothing.

Investigation and Consultations

    As required in section 303(a) of the Trade Act, the USTR has 
requested consultations with the Government of Argentina regarding the 
issues under investigation. The request was made pursuant to Article 4 
of the Understanding on Rules and Procedures Governing the Settlement 
of Disputes (DSU), Article XXII:1 of the GATT 1994, Article 14 of the 
Agreement on Technical Barriers to Trade, Article 19 of the Agreement 
on the Implementation of Article VII of the GATT 1994, and Article 7 of 
the Agreement on Textiles and Clothing. If the consultations do not 
result in a satisfactory resolution of the matter, the USTR will 
request the establishment of a panel pursuant to Article 6 of the DSU.
    Under section 304 of the Trade Act, the USTR must determine within 
18 months after the date on which this investigation was initiated, or 
within 30 days after the conclusion of World Trade Organization dispute 
settlement procedures, whichever is earlier, whether any act, policy, 
or practice or denial of trade agreement rights described in section 
301 of the Trade Act exists and, if that determination is affirmative, 
the USTR must determine what action, if any, to take under section 301 
of the Trade Act.

Public Comment: Requirements for Submissions

    Interested persons are invited to submit written comments 
concerning the acts, policies and practices of Argentina which are the 
subject of this investigation, the amount of burden or restriction on 
U.S. commerce caused by these acts, policies and practices, and the 
determinations required under section 304 of the Trade Act. Comments 
must be filed in accordance with the requirements set forth in 15 CFR 
2006.8(b) (55 FR 20593) and must be filed on or before noon on 
Wednesday, November 6, 1996. Comments must be in English and provided 
in twenty copies to: Sybia Harrison, Staff Assistant to the Section 301 
Committee, Room 223, Office of the U.S. Trade Representative, 600 17th 
Street, NW, Washington, D.C. 20508.
    Comments will be placed in a file (Docket 301-108) open to public 
inspection pursuant to 15 CFR 2006.13, except confidential business 
information exempt from public inspection in accordance with 15 CFR 
2006.15. Confidential business information submitted in accordance with 
15 CFR 2006.15 must be clearly marked ``BUSINESS CONFIDENTIAL'' in a 
contrasting color ink at the top of each page on each of 20 copies, and 
must be accompanied by a nonconfidential summary of the confidential 
information. The nonconfidential summary shall be placed in the file 
that is open to public inspection. An appointment to review the docket 
(Docket No. 301-108) may be made by calling Brenda Webb (202) 395-6186. 
The USTR Reading Room is open to the public from 10:00 a.m. to 12 noon 
and 1:00 p.m. to 4:00 p.m., Monday through Friday, and is located in 
Room 101.
Irving A. Williamson,
Chairman, Section 301 Committee.
[FR Doc. 96-26317 Filed 10-11-96; 8:45 am]
BILLING CODE 3190-01-M