[Federal Register Volume 69, Number 183 (Wednesday, September 22, 2004)]
[Notices]
[Pages 56747-56748]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E4-2318]


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COMMITTEE FOR THE IMPLEMENTATION OF TEXTILE AGREEMENTS


Limitations of Duty- and Quota-Free Imports of Apparel Articles 
Assembled in Beneficiary Sub-Saharan African Countries From Regional 
and Third-Country Fabric

September 17, 2004.
AGENCY: Committee for the Implementation of Textile Agreements (CITA).

ACTION: Publishing the New 12-Month Cap on Duty- and Quota-Free 
Benefits.

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EFFECTIVE DATE: October 1, 2004.

FOR FURTHER INFORMATION CONTACT: Anna Flaaten, International Trade 
Specialist, Office of Textiles and Apparel, U.S. Department of 
Commerce, (202) 482-3400.

SUPPLEMENTARY INFORMATION:

    Authority: Title I, Section 112(b)(3) of the Trade and 
Development Act of 2000, as amended by Section 3108 of the Trade Act 
of 2002 and Section 7(b)(2) of the AGOA Acceleration Act of 2004; 
Presidential Proclamation 7350 of October 4, 2000 (65 FR 59321); 
Presidential Proclamation 7626 of November 13, 2002 (67 FR 69459).

    Title I of the Trade and Development Act of 2000 (TDA 2000) 
provides for duty- and quota-free treatment for certain textile and 
apparel articles imported from designated beneficiary sub-Saharan 
African countries. Section 112(b)(3) of TDA 2000 provides duty- and 
quota-free treatment for apparel articles wholly assembled in one or 
more beneficiary sub-Saharan African countries from fabric wholly 
formed in one or more beneficiary countries from yarn originating in 
the U.S. or one or more beneficiary countries. This preferential 
treatment is also available for apparel articles assembled in one or 
more lesser-developed beneficiary sub-Saharan African countries, 
regardless of the country of origin of the fabric used to make such 
articles. This special rule for lesser-developed countries applies 
through September 30, 2004. TDA 2000 imposed a quantitative limitation 
on imports eligible for preferential treatment under these two 
provisions.
    The Trade Act of 2002 amended TDA 2000 to extend preferential 
treatment to apparel assembled in a beneficiary sub-Saharan African 
country from components knit-to-shape in a beneficiary country from 
U.S. or beneficiary country yarns and to apparel formed on seamless 
knitting machines in a beneficiary country from U.S. or beneficiary 
country yarns, subject to the quantitative limitation. The Trade Act of 
2002 also increased the quantitative limitation but provided that this 
increase would not apply to apparel imported under the special rule for 
lesser-developed countries. Section 7(b)(2)(B) of the AGOA Acceleration 
Act extended the expiration of the quantitative limitations. It also 
further amended the percentages to be used in calculating the 
quantitative limitations for each twelve-month period, beginning on 
October 1, 2003. The AGOA Acceleration Act of 2004 provides that the 
quantitative limitation for the twelve-month period beginning October 
1, 2004 will be an amount not to exceed 5.31025 percent of the 
aggregate square meter equivalents of all apparel articles imported 
into the United States in the preceding 12-month period for which data 
are available. See Section 112(b)(3)(A)(ii) of TDA 2000, as amended by 
Section 7(b)(2)(B) of the AGOA Acceleration Act. Of this overall 
amount, apparel imported under the special rule for lesser-developed 
countries is limited to an amount not to exceed 2.6428 percent of 
apparel imported into the United States in the preceding 12-month 
period. See Section 112(b)(3)(B)(ii) of TDA 2000, as amended by Section 
7(b)(2)(B) of the AGOA Acceleration Act. For the purpose of this 
notice, the most recent 12-month period for which data are available is 
the 12-month period ending July 31, 2004.
    Presidential Proclamation 7350 directed CITA to publish the 
aggregate quantity of imports allowed during each 12-month period in 
the Federal Register. Presidential Proclamation 7626, published on 
November 18, 2002, modified the aggregate quantity of imports allowed 
during each 12-month period.
    For the one-year period, beginning on October 1, 2004, and 
extending through September 30, 2005, the aggregate quantity of imports 
eligible for preferential treatment under these provisions is 
1,076,876,652 square meters equivalent. Of this amount, 535,938,914 
square meters equivalent is available to apparel imported under the

[[Page 56748]]

special rule for lesser-developed countries. These quantities will be 
recalculated for each subsequent year. Apparel articles entered in 
excess of these quantities will be subject to otherwise applicable 
tariffs.
    These quantities are calculated using the aggregate square meter 
equivalents of all apparel articles imported into the United States, 
derived from the set of Harmonized System lines listed in the Annex to 
the World Trade Organization Agreement on Textiles and Clothing (ATC), 
and the conversion factors for units of measure into square meter 
equivalents used by the United States in implementing the ATC.

D. Michael Hutchinson,
Acting Chairman, Committee for the Implementation of Textile 
Agreements.
[FR Doc. E4-2318 Filed 9-21-04; 8:45 am]
BILLING CODE 3510-DR-S