[Federal Register Volume 67, Number 102 (Tuesday, May 28, 2002)]
[Notices]
[Pages 36858-36859]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-13273]


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COMMITTEE FOR THE IMPLEMENTATION OF TEXTILE AGREEMENTS


Designations under the Textile and Apparel Short Supply Provision 
of the United States-Caribbean Basin Trade Partnership Act (CBTPA)

May 22, 2002.
AGENCY: Committee for the Implementation of Textile Agreements (CITA).

ACTION: Determination.

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SUMMARY: The Committee for the Implementation of Textile Agreements 
(Committee) has determined, under the CBTPA, that yarn of combed 
cashmere, combed cashmere blends, or combed camel hair, classified in 
subheading 5108.20.60 of the Harmonized Tariff Schedule of the United 
States (HTS) for use in fabric for apparel, cannot be supplied by the 
domestic industry in commercial quantities in a timely manner. The 
Committee hereby designates apparel articles that are both cut and sewn 
in an eligible country, from fabric woven in the United States 
containing yarn of combed cashmere, combed cashmere blend, or combed 
camel hair not formed in the United States, as eligible for quota-free 
and duty-free treatment under the textile and apparel short supply 
provisions of the CBTPA, and eligible under HTS subheading 9820.11.27 
to enter free of quotas and duties, provided all other yarns are U.S. 
formed and all other fabrics are U.S. formed from yarns wholly formed 
in the U.S.

FOR FURTHER INFORMATION CONTACT: Martin J. Walsh, Office of Textiles 
and Apparel, U.S. Department of Commerce, (202) 482-3400.

SUPPLEMENTARY INFORMATION:

    Authority: Section 211 of the CBTPA, amending Section 
213(b)(2)(A)(v)(II) of the Caribbean Basin Economic Recovery Act 
(CBERA); Presidential Proclamation 7351 of October 2, 2000; 
Executive Order No. 13191 of January 17, 2001.

Background

    The short supply provision of the CBTPA provides for duty-free and 
quota-free treatment for apparel articles that are both cut (or knit-
to-shape) and

[[Page 36859]]

sewn or otherwise assembled in one or more beneficiary CBTPA country 
from fabric or yarn that is not formed in the United States or a 
beneficiary CBTPA country if it has been determined that such yarns or 
fabrics cannot be supplied by the domestic industry in commercial 
quantities in a timely manner and certain procedural requirements have 
been met. In Presidential Proclamation 7351, the President proclaimed 
that this treatment would apply to such apparel articles from fabrics 
or yarns designated by the appropriate U.S. government authority in the 
Federal Register. In Executive Order 13191, the President authorized 
the Committee to determine whether particular yarns or fabrics cannot 
be supplied by the domestic industry in commercial quantities in a 
timely manner.
    On January 4, 2002, the Committee received a request alleging that 
yarn of combed cashmere, combed cashmere blends, or combed camel hair, 
classified in subheading 5108.20.60 of the HTS for use in fabric for 
apparel, cannot be supplied by the domestic industry in commercial 
quantities in a timely manner under the CBTPA and requesting that 
apparel articles from U.S. formed-fabric containing such yarns be 
eligible for preferential treatment under the CBPTA. On January 10, 
2002, the Committee published a notice in the Federal Register 
requesting public comment on the request (67 FR 1330). On January 29, 
2002, the Committee and the U.S. Trade Representative (USTR) sought the 
advice of the Industry Sector Advisory Committee for Wholesaling and 
Retailing and the Industry Sector Advisory Committee for Textiles and 
Apparel. On January 29, 2002, the Committee and USTR offered to hold 
consultations with the Committee on Ways and Means of the House of 
Representatives and the Committee on Finance of the Senate 
(collectively, the Congressional Committees). On February 15, 2002, the 
U.S. International Trade Commission provided advice on the request. 
Based on the information and advice received and its understanding of 
the industry, the Committee determined that the yarn set forth in the 
request cannot be supplied by the domestic industry in commercial 
quantities in a timely manner. On March 5, 2002, the Committee and USTR 
submitted a report to the Congressional Committees that set forth the 
action proposed, the reasons for such action, and advice obtained. A 
period of 60 calendar days since this report was submitted has expired, 
as required by the CBTPA.
    The Committee hereby designates as eligible for preferential 
treatment under subheading 9820.11.27 of the HTS apparel articles that 
are both cut and sewn in one or more eligible CBTPA beneficiary 
countries from fabric woven in the United States containing yarn of 
combed cashmere, combed cashmere blends, or combed camel hair, 
classified in subheading 5108.20.60 in the HTS, not formed in the 
United States, provided that all other yarns are wholly formed in the 
United States and that all fabrics are wholly formed in the United 
States, that are imported directly into the customs territory of the 
United States from an eligible CBTPA beneficiary country. An article 
otherwise eligible for preferential treatment under this designation 
shall not be ineligible for such treatment because the article contains 
findings, trimmings, certain interlinings, or deminimus foreign yarn, 
as specified in Section 213(b)(2)(A)(vii)(I), (II), and (III) of the 
CBTPA.
    An ``eligible CBTPA beneficiary country'' means a country which the 
President has designated as a CBTPA beneficiary country under section 
213(b)(5)(B) of the CBERA (19 U.S.C. 2703(b)(5)(B)) and which has been 
the subject of a finding, published in the Federal Register, that the 
country has satisfied the requirements of section 213(b)(4)(A)(ii) of 
the CBERA (19 U.S.C. 2703(b)(4)(A)(ii)) and resulting in the 
enumeration of such country in U.S. note 1 to subchapter XX of chapter 
98 of the HTS.

James C. Leonard III,
Chairman, Committee for the Implementation of Textile Agreements.
[FR Doc. 02-13273 Filed 5-24-02; 8:45 am]
BILLING CODE 3510-DR-S