[Federal Register Volume 67, Number 169 (Friday, August 30, 2002)]
[Notices]
[Pages 55872-55874]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-22186]


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INTERNATIONAL TRADE COMMISSION


Possible Modifications to the International Harmonized System 
Nomenclature

AGENCY: International Trade Commission.

ACTION: Request for public comments on proposal to delete certain low-
trade categories from the Harmonized System.

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SUMMARY: The Commission is soliciting the views of interested parties 
on a proposal before the Review Subcommittee (RSC) of the World Customs 
Organization (WCO), Brussels, Belgium, to delete certain low-trade 
headings and subheadings from the international Harmonized Commodity 
Description and Coding System (Harmonized System or HS).

EFFECTIVE DATE: August 21, 2002.

FOR FURTHER INFORMATION CONTACT: Ronald H. Heller, Office of Tariff 
Affairs and Trade Agreements (O/TATA) (202/205-2596, E-Mail 
[email protected]). The O/TATA fax number is 202/205-2616.

Background

    The Harmonized System was established by an international 
Convention, which, inter alia, provides that the System should be kept 
up-to-date in light of changes in technology and patterns of 
international trade. The international HS nomenclature, which is 
maintained by the WCO, provides a uniform structural basis for the 
customs tariff and statistical nomenclatures of all major trading 
countries of the world, including the United States. The Commission, 
the U.S. Customs Service and the Bureau of the Census are responsible 
for the development of U.S. technical proposals concerning the HS under 
section 1210 of the Omnibus Trade and Competitiveness Act of 1988 (the 
1988 Act) (19 U.S.C. 3010). A 1988 notice issued by the United States 
Trade Representative (53 FR 45646, November 10, 1988), established the 
Commission as the lead U.S. agency in considering proposals for HS 
amendments that are intended to ensure that it reflects such changes in 
technology and trade. The WCO expects to implement the next series of 
amendments to the HS nomenclature by the year 2007. As part of each 
review cycle, the RSC considers simplifying the HS by removing lines 
for which trade falls below a threshold value. HS lines that are 
eliminated are merged with HS lines containing like products. Noting 
that the HS has expanded over the years and now comprises 1,244 four-
digit headings and

[[Page 55873]]

5,224 six-digit subheadings, the Subcommittee requested that the 
Secretariat examine relevant trade data and develop an initial list of 
four-digit headings and six-digit subheadings for which world trade in 
each category did not exceed US$100 million and US$50 million, 
respectively. Based on preliminary trade data for calendar years 1997-
2000 provided by the United Nations Statistical Division, the WCO 
Secretariat recently published a list of 124 headings and 728 six-digit 
subheadings that showed world trade below the threshold values. As 
requested by the RSC, the Secretariat also considered further criteria 
relating to consistency of low trade and special circumstances 
(relationship to international conventions, environmental or social 
concerns, relative importance for developing economies) that might 
provide justification for retaining an HS item in spite of its low 
trade value. In this manner, the Secretariat reduced the list of 
candidates for deletion to 27 four-digit headings and 276 six-digit 
subheadings. Member countries are invited to examine that ``short 
list'' of potential deletions and indicate to the Subcommittee which 
categories should be retained because (1) more recent trade data 
reveals that the category in fact exceeds the threshold or (2) 
international concern over environmental, social or economic issues 
necessitates monitoring global trade on products in the category 
despite the low volume of trade. At its 26th session (September 2002), 
the Subcommittee will begin to examine the Secretariat's list and all 
national requests for retention of individual categories. The following 
is a list of the 27 headings and 276 subheadings that meet the 
Secretariat's full criteria for deletion from the HS. We invite the 
public to submit comments on this list.

------------------------------------------------------------------------
 
------------------------------------------------------------------------
 
                Four-Digit Headings Proposed for Deletion
        0503               2838               7414              8004
        0509               4204               7416              8005
        1402               4815               7417              8006
        1403               5302               7611              9112
        2305               5304               7803              9203
        2611               6503               7805              9204
        2612               7012               7906
 
               Six-Digit Subheadings Proposed for Deletion
      010310             030265             030561            071130
      020820             030266             030563            071420
      030191             030373             040520            081030
      030233             030376             070910            091030
      030261             030377             070952            091040
      030263             030542             070970            091050
      110210             251319             283610            292112
      110230             251621             283670            292222
      110422             251622             283920            293010
      120710             270720             284110            293610
      120730             270760             284120            293921
      120760             280511             284150            293929
      120924             281123             290314            300110
      120926             282420             290362            310270
      121110             282520             290515            310320
      121210             282611             290614            310410
      121230             282620             290714            320630
      130110             282731             290715            320643
      130214             282733             290820            330111
      140410             282734             290942            330114
      151540             282735             291213            330121
      200320             282736             291242            330122
      230220             283020             291421            330123
      230670             283030             291522            330126
      250621             283323             291523            330130
      250629             283326             291534            340410
      250820             283522             291535            370220
      251311             283523             291731            370520
      380520             500390             530210            551433
      382420             520631             530290            551439
      392072             520632             530410            551592
      401013             520633             530490            560420
      401036             520634             530511            560710
      410310             520635             530519            570251
      420610             520641             530521            570252
      420690             520642             530529            570259
      430130             520643             530590            580310
      430170             520644             540320            580390
      430213             520645             540610            600510
      441131             520823             540620            610110
      441139             520853             550610            610311
      441223             521012             550992            610312
      470411             521022             551322            610319
      470419             521042             551332            610321
      480230             521052             551333            610411
      480910             521121             551342            610412
      481430             521122             551343            610421
      481610             521129             551413            610792
      481630             521141             551431            611110
      500310             521143             551432            611410
      611720             640330             811230            900620
      620321             650692             811240            900662
      620510             660310             842520            902740
      620792             680222             842850            903130
      620910             681130             843352            910112
      621131             720280             844841            910620
      621310             722520             845620            911220
      630252             722693             847040            911290
      630292             722694             847220            911410
      630293             722910             850530            911420
      630311             731413             850920            911440
      630611             731910             850930            920410
      630621             740110             851921            920420
      630631             740120             851929            920910
      630639             740323             851940            920920
      630641             740722             854340            920993
      630649             741420             860620            930610
      640191             741490             880110            960420
      640230             810195             880190            961490
------------------------------------------------------------------------

    Copies of the Harmonized Tariff Schedule of the United States 
Annotated (HTSUSA), which incorporates the international Harmonized 
System in its overall structure, can be found on the USITC's World Wide 
Web (WWW) site, http://www.usitc.gov. Hard copies and electronic copies 
of the HTSUSA can also be found at many of the 1,400 federal Depository 
Libraries located throughout the United States and its territories; 
further information about these locations can be found on the WWW at 
the following location (URL): http://www.access.gpo.gov/su_docs/fdlp/libpro.html, or by contacting GPO Access at the Government Printing 
Office, 1-888-293-6498. Copies of the WCO Secretariat's report on its 
analysis of trade data and other factors, its list of low-trade HS 
lines and its indications of suggested deletions (WCO Doc. NR0270E-B1) 
is available from the USITC Office of Tariff Affairs and Trade 
Agreements, as indicated above (See FOR FURTHER INFORMATION CONTACT). 
This proposal is part of a comprehensive review of the international HS 
being carried out by the RSC. Its implementation internationally would 
not require that domestic tariff rates or statistical coverage be 
eliminated from the Harmonized Tariff Schedule of the United States 
Annotated (HTSUSA). Any such consequential amendments would be 
separately considered by the Commission at a later date, pursuant to 
section 1205 of the 1988 Act. Section 1205 requires that existing duty 
treatment be retained whenever possible.

Request for Proposals

    The Commission is seeking comments on the list of proposed 
deletions from the HS and, in particular, on those categories for which 
the United States may request retention. Interested parties, 
associations and Government agencies should submit specific HS category 
numbers from the above list which they feel should be retained in the 
HS and, for each category, the reason for retaining the category in the 
international system (including, where relevant, trade data).

Deadline

    Suggestions must be received no later than the close of business, 
September 6, 2002, in order to be considered by the Commission.

Written Submissions

    All submissions should be addressed to the Secretary, United States 
International Trade Commission, 500 E St., SW., Washington, DC 20436. 
Commercial or financial information that a party 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 201.6 of the Commission's rules of practice and 
procedure (19 CFR 201.6). All written submissions, except for 
confidential business information, will be made available for 
inspection by interested persons. TDD Access: Hearing

[[Page 55874]]

impaired individuals are advised that information on this matter can be 
obtained by contacting our TDD terminal on (202) 205-1810. World Wide 
Web Access: This notice, and any subsequent notices published pursuant 
to section 1210 of the 1988 Act, may be obtained from the ITC Internet 
web server: http://www.usitc.gov.

    By order of the Commission.

    Issued: August 26, 2002.
Marilyn R. Abbott,
Secretary to the Commission.
[FR Doc. 02-22186 Filed 8-29-02; 8:45 am]
BILLING CODE 7020-02-P