[Federal Register Volume 69, Number 216 (Tuesday, November 9, 2004)]
[Notices]
[Pages 64911-64912]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E4-3085]



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COMMITTEE FOR THE IMPLEMENTATION OF TEXTILE AGREEMENTS


Solicitation of Public Comments on Request for Textile and 
Apparel Safeguard Action on Imports from China

November 3, 2004.
AGENCY: The Committee for the Implementation of Textile Agreements (the 
Committee)

ACTION: Solicitation of public comments concerning a request for 
safeguard action on imports from China of man-made fiber knit shirts 
and blouses (Category 638/639).

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SUMMARY: The Committee has received a request from the American 
Manufacturing Trade Action Coalition, National Council of Textile 
Organizations, the National Textile Association, SEAMS, and UNITE HERE! 
(Requestors) asking the Committee to limit imports from China of man-
made fiber knit shirts and blouses in accordance with the textile and 
apparel safeguard provision of the Working Party on the Accession of 
China to the World Trade Organization (the Accession Agreement). The 
Committee hereby solicits public comments on this request.

FOR FURTHER INFORMATION CONTACT: Jay Dowling, Office of Textiles and 
Apparel, U.S. Department of Commerce, (202) 482-4058.

SUPPLEMENTARY INFORMATION:

    Authority: Section 204 of the Agriculture Act of 1956, as 
amended; Executive Order 11651, as amended.

Background

    The textile and apparel safeguard provision of the Accession 
Agreement provides for the United States and other members of the World 
Trade Organization that believe imports of Chinese origin textile and 
apparel products are, due to market disruption, threatening to impede 
the orderly development of trade in these products to request 
consultations with China with a view to easing or avoiding the 
disruption. Pursuant to this provision, if the United States requests 
consultations with China, it must, at the time of the request, provide 
China with a detailed factual statement showing ``(1) the existence or 
threat of market disruption; and (2) the role of products of Chinese 
origin in that disruption.'' Beginning on the date that it receives 
such a request, China must restrict its shipments to the United States 
to a level no greater than 7.5 percent (6 percent for wool product 
categories) above the amount entered during the first 12 months of the 
most recent 14 months preceding the month in which the request was 
made. If exports from China exceed that amount, the United States may 
enforce the restriction.
    The Committee has published procedures (the Procedures) it follows 
in considering requests for Accession Agreement textile and apparel 
safeguard actions (68 FR 27787, May 21, 2003; 68 FR 49440, August 18, 
2003), including the information that must be included in such requests 
in order for the Committee to consider them.
    On October 13, 2004, the Requestors asked the Committee to impose 
an Accession Agreement textile and apparel safeguard action on imports 
from China of man-made fiber knit shirts and blouses (Category 638/639) 
on the ground that an anticipated increase in man-made fiber knit 
shirts and blouses imports after January 1, 2005, threatens to disrupt 
the U.S. market for man-made fiber knit shirts and blouses. The request 
is available at http://otexa.ita.doc.gov. In light of the 
considerations set forth in the Procedures, the Committee has 
determined that the Requestors have provided the information necessary 
for the Committee to consider the request.
    The Committee is soliciting public comments on the request, in 
particular with regard to whether there is a threat of disruption to 
the U.S. market for man-made fiber knit shirts and blouses and, if so, 
the role of Chinese-origin man-made fiber knit shirts and blouses in 
that disruption. To this end, the Committee seeks relevant information 
addressing factors such as the following, which may be relevant in the 
particular circumstances of this case, involving a product under a 
quota that will be removed on January 1, 2005: (1) Whether imports of 
man-made fiber knit shirts and blouses from China are entering, or are 
expected to enter, the United States at prices that are substantially 
below prices of the like or directly competitive U.S. product, and 
whether those imports are likely to have a significant depressing or 
suppressing effect on domestic prices of the like or directly 
competitive U.S. product or are likely to increase demand for further 
imports from China; (2) Whether exports of Chinese-origin man-made 
fiber knit shirts and blouses to the United States are likely to 
increase substantially and imminently (due to existing unused 
production capacity, to capacity that can easily be shifted from the 
production of other products to the production of man-made fiber knit 
shirts and blouses, or to an imminent and substantial increase in 
production capacity or investment in production capacity), taking into 
account the availability of other markets to absorb any additional 
exports; (3) Whether Chinese-origin man-made fiber knit shirts and 
blouses that are presently sold in the Chinese market or in third-
country markets will be diverted to the U.S. market in the imminent 
future (for example, due to more favorable pricing in the U.S. market 
or to existing or imminent import restraints into third country 
markets); (4) The level and the extent of any recent change in 
inventories of man-made fiber knit shirts and blouses in China or in 
U.S. bonded warehouses; (5) Whether conditions of the domestic industry 
of the like or directly competitive product demonstrate that market 
disruption is likely (as may be evident from any anticipated factory 
closures or decline in investment in the production of man-made fiber 
knit shirts and blouses, and whether actual or anticipated imports of 
Chinese-origin man-made fiber knit shirts and blouses are likely to 
affect the development and production efforts of the U.S. man-made 
fiber knit shirts and blouses industry; and (6) Whether U.S. managers, 
retailers, purchasers, importers, or other market participants have 
recognized Chinese producers of man-made fiber knit shirts and blouses 
as potential suppliers (for example, through pre-qualification 
procedures or framework agreements).
    Comments may be submitted by any interested person. Comments must 
be received no later than December 9, 2004. Interested persons are 
invited to submit ten copies of such comments to the Chairman, 
Committee for the Implementation of Textile Agreements, Room 3001A, 
U.S. Department of Commerce, 14th and Constitution Avenue N.W., 
Washington, DC 20230.
    The Committee will protect any business confidential information 
that is marked ``business confidential'' from disclosure to the full 
extent permitted by law. To the extent that business confidential 
information is provided, two copies of a non-confidential version must 
also be provided in which business confidential information is 
summarized or, if necessary, deleted. Comments received, with the 
exception of information marked ``business confidential'', will be 
available for inspection between Monday - Friday, 8:30 a.m and 5:30 p.m 
in the Trade Reference and Assistance Center Help Desk, Suite 800M, USA 
Trade Information Center, Ronald Reagan Building, 1300 Pennsylvania 
Avenue, NW, Washington, DC, (202) 482-3433.
    The Committee will make a determination within 60 calendar days

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of the close of the comment period as to whether the United States will 
request consultations with China. If the Committee is unable to make a 
determination within 60 calendar days, it will cause to be published a 
notice in the Federal Register, including the date by which it will 
make a determination. If the Committee makes a negative determination, 
it will cause this determination and the reasons therefore to be 
published in the Federal Register. If the Committee makes an 
affirmative determination that imports of Chinese origin man-made fiber 
knit shirts and blouses threaten to disrupt the U.S. market, the United 
States will request consultations with China with a view to easing or 
avoiding the disruption.

James C. Leonard III,
Chairman, Committee for the Implementation of Textile Agreements.
[FR Doc. E4-3085 Filed 11-8-04; 8:45 am]
BILLING CODE 3510-DS-S