[Federal Register Volume 61, Number 233 (Tuesday, December 3, 1996)]
[Notices]
[Pages 64148-64150]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-30749]


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INTERNATIONAL TRADE COMMISSION

[Investigation 332-373]


Advice on Providing Temporary Duty-Free Entry for Certain Suits 
and Suit-Type Jackets From Mexico

AGENCY: United States International Trade Commission.

ACTION: Institution of investigation and request for written 
submissions.

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EFFECTIVE DATE: November 26, 1996.

SUMMARY: Following receipt on November 21, 1996, of a letter from the 
United States Trade Representative (USTR), the Commission instituted 
investigation No. 332-373, Advice on Providing Temporary Duty-Free 
Entry for Certain Suits and Suit-Type Jackets from Mexico, under 
section 332 of the Tariff Act of 1930. USTR asked that the Commission 
provide advice as to the probable effect of providing temporary duty-
free entry under criteria similar to those of Harmonized Tariff 
Schedule of the United States (HTS) heading 9802.00.90 for the suits 
and suit-type jackets from Mexico classifiable in the HTS subheadings 
listed in the annex, but only where such garments contain interlining 
fabrics that are cut but not formed in the United States and that

[[Page 64149]]

otherwise meet the criteria of heading 9802.00.90. USTR requested that 
the Commission provide advice as to the probable effect of such action 
on affected segments of the U.S. textile and apparel industries, 
workers in these industries, and consumers of the affected goods.
    As requested by USTR, the Commission expects to submit its report 
by January 15, 1997.

FOR FURTHER INFORMATION CONTACT: Information on general topics may be 
obtained from Mary Elizabeth Sweet, Office of Industries (202-205-3455) 
and legal aspects, from William Gearhart, Office of the General Counsel 
(202-205-3091). The media should contact Margaret O'Laughlin, Office of 
Public Affairs (202-205-1819). Hearing impaired individuals are advised 
that information on this matter can be obtained by contacting the TDD 
terminal on (202-205-1810).

Background

    On December 17, 1992, the President entered into the North American 
Free Trade Agreement (NAFTA), approved by the Congress and implemented 
by Presidential Proclamation 6641 effective as of January 1, 1994. 
Among the provisions proclaimed to implement NAFTA obligations is 
heading 9802.00.90 which affords duty-free entry into the United States 
of apparel and other textile goods assembled in Mexico in which the 
textile components are made entirely from U.S.-formed-and-cut fabrics. 
According to USTR's letter, the impending loss of domestic supply of 
certain interlining fabrics has caused concern among U.S. firms that 
produce suits and suit-type jackets containing these interlining 
fabrics in production-sharing operations in Mexico and that import the 
finished garments under heading 9802.00.90. Because these U.S.-formed 
interlining fabrics will no longer be available when current 
inventories are exhausted, garments now imported by these U.S. firms 
under heading 9802.00.90 would no longer qualify for duty-free entry 
thereunder and would be dutiable to the extent of the value added in 
Mexico. Representatives of the U.S. textile and apparel industries have 
requested that the President authorize temporary duty-free entry for 
the suits and suit-type jackets from Mexico that contain imported 
interlining fabrics, provided that the fabrics are cut in the United 
States and that the garments otherwise meet the criteria of heading 
9802.00.90. Section 201(b)(1)(A) of the NAFTA Implementation Act (19 
U.S.C. 3331(b)(1)(A)) authorizes the President to proclaim such 
modifications or continuation of any duty as the President determines 
to be necessary or appropriate to maintain the general level of 
reciprocal and mutually advantageous concessions with respect to Canada 
or Mexico provided for by NAFTA, subject to the consultation and 
layover requirements of section 103(a) of the NAFTA Implementation Act 
(19 U.S.C. 3313(a)).
    After considering the Commission's advice and all other factors 
specified by the NAFTA Implementation Act, the President must submit 
the proposed temporary tariff changes and accompanying advice and 
explanations to the Congress pursuant to the layover requirements of 
section 103 (a) of the NAFTA Implementation Act. Although USTR's letter 
did not identify the interlining fabrics in question, these fabrics 
were identified by the Committee for the Implementation of Textile 
Agreements (CITA) in a Federal Register notice of September 20, 1996 
(61 FR 149439) in connection with similar changes to the Special Access 
Program for Caribbean Basin countries. According to CITA's notice, 
imported interlining fabrics may be used in the suit jackets and suit-
type jackets entered under the Special Access Program provided they are 
cut in the United States and are of a type described below:
    1. A chest plate, ``hymo'' piece or ``sleeve header'' of woven or 
weft-inserted warp knit construction of course animal hair or manmade 
filaments used in the manufacture of the specified garments;
    2. A weft-inserted warp knit fabric that contains and exhibits 
properties of elasticity and resilience which render the fabric 
especially suitable for attachment by fusing with a thermo-plastic 
adhesive to the coat-front, side body or back of the specified 
garments; and
    3. A woven fabric that contains and exhibits properties of 
resiliency which render the fabric especially suitable for attachment 
by fusing with a thermo-plastic adhesive to the coat-front, side body 
or back of the specified garments.

Written Submissions

    The Commission has not scheduled a public hearing in connection 
with this investigation. However, interested parties are invited to 
submit written statements regarding the matters to be addressed by the 
Commission in its report on this investigation. Commercial or financial 
information that a submitter desires the Commission to treat as 
confidential must be submitted on separate sheets of paper, each 
clearly marked ``Confidential Business Information'' at the top. All 
submissions requesting confidential treatment must conform with the 
requirements of section Sec. 201.6 of the Commission's Rules of 
Practice and Procedure (19 C.F.R. 201.6). All written submissions, 
except for confidential business information, will be made available in 
the Office of the Secretary to the Commission for inspection by 
interested parties. The Commission may include confidential business 
information submitted in the course of this investigation in the 
President and USTR. If the Commission is authorized to publish a 
report, the Commission will not publish confidential business 
information in a manner that would reveal the individual operations of 
the firm supplying the information. USTR has indicated that all or part 
of the Commission's report may be classified.
    To be assured of consideration by the Commission, written 
statements relating to the investigation should be submitted to the 
Commission at the earliest practical date and should be received no 
later than the close of business on December 16, 1996. All submissions 
should be addressed to the Secretary, United States International Trade 
Commission, 500 E Street SW, Washington, DC 20436.
    Persons with mobility impairments who will need special assistance 
in gaining access to the Commission should contact the Office of the 
Secretary at 200-205-2000.

    Issued: November 26, 1996.

    By order of the Commission.
Donna R. Koehnke,
Secretary.

Annex

    Men's, boys', women's, and girls' suits or suit-type jackets, of 
wool, fine animal hair, or manmade fibers and covered by the following 
HTS subheadings:

6103.11.0000
6103.12.1000
6103.12.2000
6103.19.1000
6103.19.1500
6103.19.9040
6103.19.9050
6103.21.0020
6103.23.0007
6103.23.0037
6103.29.1015
6103.31.0000
6103.33.1000
6103.33.2000
6103.39.1000
6103.39.8020
6103.39.8030
6104.11.0000
6104.13.1000
6104.13.2000
6104.19.1000

[[Page 64150]]

6104.19.1500
6104.19.8050
6104.19.8060
6104.21.0010
6104.23.0010
6104.23.0026
6104.29.1010
6104.29.2012
6104.29.2014
6104.31.0000
6104.33.1000
6104.33.2000
6104.39.1000
6104.39.2020
6104.39.2030
6203.11.1000
6203.11.2000
6203.12.1000
6203.12.2010
6203.12.2020
6203.19.2000
6203.19.3000
6203.19.9040
6203.19.9050
6203.21.0015
6203.23.0015
6203.23.0055
6203.29.2020
6203.31.0010
6203.31.0020
6203.33.1030
6203.33.1040
6203.33.1050
6203.33.1060
6203.33.2010
6203.33.2020
6203.39.1010
6203.39.1020
6203.39.2010
6203.39.2020
6203.39.9020
6203.39.9030
6204.11.0000
6204.13.1000
6204.13.2010
6204.13.2020
6204.19.1000
6204.19.2000
6204.19.8050
6204.19.8060
6204.21.0010
6204.23.0005
6204.23.0030
6204.29.2010
6204.29.4012
6204.29.4014
6204.31.1010
6204.31.1020
6204.31.2010
6204.31.2020
6204.33.1000
6204.33.2000
6204.33.4010
6204.33.4020
6204.33.5010
6204.33.5020
6204.39.2010
6204.39.2020
6204.39.3010
6204.39.3020
6204.39.8020
6204.39.8030

[FR Doc. 96-30749 Filed 11-27-96; 1:40 pm]
BILLING CODE 7020-02-M