[Federal Register Volume 69, Number 59 (Friday, March 26, 2004)]
[Notices]
[Pages 15818-15819]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-6940]


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COMMITTEE FOR THE IMPLEMENTATION OF TEXTILE AGREEMENTS


Denial of Commercial Availability Request under the African 
Growth and Opportunity Act (AGOA), the United States-Caribbean Basin 
Trade Partnership Act (CBTPA), and the Andean Trade Promotion and Drug 
Eradication Act (ATPDEA)

March 24, 2004.
AGENCY: The Committee for the Implementation of Textile Agreements 
(CITA).

ACTION: Denial of the request alleging that three patented fusible 
interlining fabrics, used in the construction of waistbands, cannot be 
supplied by the domestic industry in commercial quantities in a timely 
manner under the AGOA, the CBTPA, and the ATPDEA.

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SUMMARY: On January 20, 2004, the Chairman of CITA received a petition 
from Levi Strauss and Co. alleging that three patented fusible 
interlining fabrics, of the specifications detailed below, classified 
in subheading 5903.90.2500 of the Harmonized Tariff Schedule of the 
United States (HTSUS), cannot be supplied by the domestic industry in 
commercial quantities in a timely manner. The petition requested that 
apparel containing waistbands of such fabrics be eligible for 
preferential treatment under the AGOA, the CBTPA, and the ATPDEA.

FOR FURTHER INFORMATION CONTACT: Richard Stetson, International Trade 
Specialist, Office of Textiles and Apparel, U.S. Department of 
Commerce, 202-482-3400.

SUPPLEMENTARY INFORMATION:

    Authority: Section 112(b)(5)(B) of the AGOA; Section 
213(b)(2)(A)(v)(II) of the Caribbean Basin Economic Recovery Act, as 
added by Section 211(a) of the CBTPA; Sections 1 and 6 of Executive 
Order No. 13191 of January 17, 2001; Presidential Proclamations 7350 
and 7351 of October 4, 2000; Section 204 (b)(3)(B)(ii) of the 
ATPDEA, Presidential Proclamation 7616 of October 31, 2002, 
Executive Order 13277 of November 19, 2002, and the United States 
Trade Representative's Notice of Further Assignment of Functions of 
November 25, 2002.

BACKGROUND:

    The AGOA, the CBTPA, and the ATPDEA provide for quota- and duty-
free treatment for qualifying textile and apparel products. Such 
treatment is generally limited to products manufactured from yarns and 
fabrics formed in the United States or a beneficiary country. The AGOA, 
the CBTPA, and the ATPDEA also provide for quota- and duty-free 
treatment for apparel articles that are both cut (or knit-to-shape) and 
sewn or otherwise assembled in one or more beneficiary countries from 
fabric or yarn that is not formed in the United States, if it has been 
determined that such fabric or yarn cannot be supplied by the domestic 
industry in commercial quantities in a timely manner. In Executive 
Order No. 13191 (66 FR 7271) and pursuant to Executive Order No. 13277 
(67 FR 70305) and the United States Trade Representative's Notice of 
Redelegation of Authority and Further Assignment of Functions (67 FR 
71606), CITA has been delegated the authority to determine whether 
yarns or fabrics cannot be supplied by the domestic industry in 
commercial quantities in a timely manner under the AGOA, the CBTPA, or 
the ATPDEA. On March 6, 2001, CITA published procedures that it will 
follow in considering requests (66 FR 13502).
    On January 20, 2004, the Chairman of CITA received a petition from 
Levi Strauss and Co. alleging that certain fusible composition 
material, of the specifications detailed below, classified in HTSUS 
subheading 5903.90.2500, for use in waistbands of apparel articles, 
cannot be supplied by the domestic industry in commercial quantities in 
a timely manner and requesting quota- and duty-free treatment under the 
AGOA, the CBTPA, and the ATPDEA for apparel articles that are both cut 
and sewn in one or more beneficiary countries utilizing such fabrics.

The three fabrics at issue are:

Fusible A - Composition

    A knitted outer-fusible material. The fusible width variance is not 
less the 3/4 inches wide (18 to 20 mm) or more the 6 inches (153 to 155 
mm) wide. The fabric substrate is, synthetic fiber based (made of 49 
percent polyester / 43 percent elastomeric filament / 8 percent nylon 
with an average weight of 4.4 ounces, not greater than 5 ounces, a 110/
110 stretch, and a dull yarn), stretch elastomeric material with an 
adhesive (thermoplastic resin) coating. This fusible may have a fiber 
variance of up to 3 percent for each fiber.

Fusible B - Composition

    A knitted inner and outer fusible material with an adhesive 
(thermoplastic resin) coating that is applied after going through a 
finishing process to remove all shrinkage from the product. The fabric 
is a synthetic fiber based stretch elastomeric fusible consisting of 80 
percent nylon type 6 / 20 percent elastomeric filament with a weight of 
4.4 ounces, not greater than 5 ounces, a 110/110 stretch, and a dull 
yarn. The fusible width variance is not less the 3/4 inches wide (18 to 
20 mm) or more than 6 inches (153 to 155 mm) wide. This fusible may 
have a fiber variance of up to 3 percent for each fiber.

Fusible C - Composition

    A knitted fusible material used to shape countour waistbands and is 
applied on top of the main fusible only a reinforcement. The fusible 
width variance is not less than 1/4 inches wide (5 to 6 mm) or more 
than 1 inch (25 to 27 mm) wide. The fabric is 11.2 percent nylon / 34.4 
percent polyester / 54.4 percent elastomeric at a weight of 300 grams 
to not greater than 400 grams per square meter. This fusible may have a 
fiber variance of up to 3 percent for each fiber.

With each of these, the following applies:
    a) In the length it exhibits excellent stretch and recovery 
properties at low extension levels.
    b) It is delivered pre-shrunk with no potential for relaxation 
shrinkage during high temperature washing or fusing and deliveredlap 
laid, i.e., tension free.
    c) It is supplied pre-coated with an adhesive that will adhere to 
100 percent cotton and other composition materials such polyester/
cotton blend during fusing at a temperature of 180 degrees Celsius.
    d) The adhesive is of a melt flow index which will not strike back

[[Page 15819]]

through the interlining substrate or strike through the fabric to which 
it is fused and whose adhesion level will be maintained or improved 
through garment processing temperatures of up to 350 degrees Fahrenheit 
and dwell times of 20 minute durations.
    e) The duration and efficacy of the bond will be such that the 
adhesive will not, during industrial washing, later garment wear or 
after-care of 30 home washes, become detached from the fabric or base 
substrate.
    The finished interlining fabric is a fabric that has been coated 
with an adhesive coating after going through a finishing process to 
remove all shrinkage from the product and impart a stretch to the 
fabric. This finishing process of imparting stretch to fabric is 
patented, U.S. Patent 5,987,721.
    On February 2, 2004, CITA solicited public comments regarding this 
request, particularly with respect to whether these fabrics can be 
supplied by the domestic industry in commercial quantities in a timely 
manner. On February 18, 2004, CITA and the Office of the U.S. Trade 
Representative offered to hold consultations with the relevant 
Congressional committees. We also requested the advice of the U.S. 
International Trade Commission and the relevant Industry Sector 
Advisory Committees.
    CITA has determined that the domestic industry can supply a product 
substitutable for the three fabrics described above in commercial 
quantities in a timely manner. On the basis of currently available 
information, including review of the request, public comment and advice 
received, and its understanding of the industry, CITA has determined 
that there is domestic capacity to supply a substitutable product in 
commercial quantities in a timely manner. Levi Strauss and Co.'s 
request is denied.

D. Michael Hutchinson,
Acting Chairman, Committee for the Implementation of Textile 
Agreements.
[FR Doc.04-6940 Filed 3-24-04; 3:16 pm]
BILLING CODE 3510-DR-S