[Federal Register Volume 71, Number 245 (Thursday, December 21, 2006)]
[Notices]
[Pages 76708-76709]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E6-21778]


=======================================================================
-----------------------------------------------------------------------

OFFICE OF THE UNITED STATES TRADE REPRESENTATIVE


Determination of Trade Surplus in Certain Sugar and Syrup Goods 
and Sugar Containing Products of Chile, Morocco, El Salvador, 
Guatemala, Honduras, and Nicaragua

AGENCY: Office of the United States Trade Representative.

ACTION: Notice.

-----------------------------------------------------------------------

SUMMARY: In accordance with relevant provisions of the Harmonized 
Tariff Schedule of the United States (HTS), the Office of the United 
States Trade Representative (USTR) is providing notice of its 
determination of the trade surplus in certain sugar and syrup goods and 
sugar-containing products of Chile, Morocco, El Salvador, Guatemala, 
Honduras, and Nicaragua. As described below, the level of a country's 
trade surplus in these goods relates to the quantity of sugar and syrup 
goods and sugar-containing products for which the United States grants 
preferential tariff treatment under (i) The United States--Chile Free 
Trade Agreement (Chile FTA), in the case of Chile; (ii) the United 
States--Morocco Free Trade Agreement (Morocco FTA), in the case of 
Morocco; and (iii) the Dominican Republic--Central America--United 
States Free Trade Agreement (CAFTA-DR), in the case of El Salvador, 
Guatemala, Honduras, and Nicaragua.

EFFECTIVE DATE: December 21, 2006.

ADDRESSES: Inquiries may be mailed or delivered to Leslie O'Connor, 
Director of Agricultural Affairs, Office of Agricultural Affairs, 
Office of the United States Trade Representative, 600 17th Street, NW., 
Washington, DC 20508.

FOR FURTHER INFORMATION CONTACT: Leslie O'Connor, Office of 
Agricultural Affairs, 202-395-6127.

SUPPLEMENTARY INFORMATION:
    Chile: Pursuant to section 201 of the United States--Chile Free 
Trade Agreement Implementation Act (Pub. Law 108-77; 19 U.S.C. 3805 
note), Presidential Proclamation No. 7746 of December 30, 2003 (68 FR 
75789) implemented the Chile FTA on behalf of the United States and 
modified the HTS to reflect the tariff and rules of origin treatment 
provided for in the Chile FTA.
    U.S. Note 12(a) to subchapter XI of HTS chapter 99 provides that 
USTR is required to publish annually in the Federal Register a 
determination of the amount of Chile's trade surplus, by volume, with 
all sources for goods in Harmonized System (HS) subheadings 1701.11, 
1701.12, 1701.91, 1701.99, 1702.20, 1702.30, 1702.40, 1702.60, 1702.90, 
1806.10, 2101.12, 2101.20, and 2106.90, except that Chile's imports of 
U.S. goods classified under HS subheadings 1702.40 and 1702.60 that 
qualify for preferential tariff treatment under the Chile FTA are not 
included in the calculation of Chile's trade surplus.
    U.S. Note 12(b) to subchapter XI of HTS chapter 99 provides duty-
free treatment for certain sugar and syrup goods and sugar-containing 
products of Chile entered under subheading 9911.17.05 in an amount 
equal to the lesser of Chile's trade surplus or the specific quantity 
set out in that note for that calendar year.
    U.S. Note 12(c) to subchapter XI of HTS chapter 99 provides 
preferential tariff treatment for certain sugar and syrup goods and 
sugar-containing products of Chile entered under subheading 9911.17.10 
through 9911.17.85 in an amount equal to the amount by which Chile's 
trade surplus exceeds the specific quantity set out in that note for 
that calendar year.
    During calendar year (CY) 2005, the most recent year for which data 
is available, Chile's imports of the sugar and syrup goods and sugar-
containing products described above exceeded its exports of those goods 
by 287,203 metric tons according to data published by its customs 
authority, the Servicio Nacional de Aduana. Based on this data, USTR 
determines that Chile's trade surplus is negative. Therefore, in 
accordance with U.S. Note 12(b) and U.S. Note 12(c) to subchapter XI of 
HTS chapter 99, goods of Chile are not eligible to enter the United 
States duty-free under subheading 9911.17.05 or at preferential tariff 
rates under subheading 9911.17.10 through 9911.17.85 in CY2006 or 
CY2007.
    Morocco: Pursuant to section 201 of the United States--Morocco Free 
Trade Agreement Implementation Act (Pub. Law 108-302; 19 U.S.C. 3805 
note), Presidential Proclamation No. 7971 of December 22, 2005 (70 FR 
76651) implemented the Morocco FTA on behalf of the United States and 
modified the HTS to reflect the tariff and rules of origin treatment 
provided for in the Morocco FTA.
    U.S. Note 12(a) to subchapter XII of HTS chapter 99 provides that 
USTR is required to publish annually in the Federal Register a 
determination of the amount of Morocco's trade surplus, by volume, with 
all sources for goods in HS subheadings 1701.11, 1701.12, 1701.91, 
1701.99, 1702.40, and 1702.60, except that Morocco's imports of U.S. 
goods classified under HS subheadings 1702.40 and 1702.60 that qualify 
for preferential tariff treatment under the Morocco FTA are not 
included in the calculation of Morocco's trade surplus.
    U.S. Note 12(b) to subchapter XII of HTS chapter 99 provides duty-
free treatment for certain sugar and syrup goods and sugar-containing 
products of Morocco entered under subheading 9912.17.05 in an amount 
equal to the lesser of Morocco's trade surplus or the specific quantity 
set out in that note for that calendar year.
    U.S. Note 12(c) to subchapter XII of HTS chapter 99 provides 
preferential tariff treatment for certain sugar and syrup goods and 
sugar-containing products of Morocco entered under subheading 
9912.17.10 through 9912.17.85 in an amount equal to the amount by which 
Morocco's trade surplus exceeds the specific quantity set out in that 
note for that calendar year.
    During CY2005, the most recent year for which data is available, 
Morocco's

[[Page 76709]]

imports of the sugar and syrup goods and sugar-containing products 
described above exceeded its exports of those goods by 553,535 metric 
tons according to data published by its Customs authority, the Office 
des Changes. Based on this data, USTR determines that Morocco's trade 
surplus is negative. Therefore, in accordance with U.S. Note 12(b) and 
U.S. Note 12(c) to subchapter XII of HTS chapter 99, goods of Morocco 
are not eligible to enter the United States duty-free under subheading 
9912.17.05 or at preferential tariff rates under subheading 9912.17.10 
through 9912.17.85 in CY2006 or CY2007.
    CAFTA-DR: Pursuant to section 201 of the Dominican Republic--
Central America--United States Free Trade Agreement Implementation Act 
(Pub. Law 109-53; 19 U.S.C. 4031), Presidential Proclamation No. 7987 
of February 28, 2006 (71 FR 10827), Presidential Proclamation No. 7991 
of March 24, 2006 (71 FR 16009), Presidential Proclamation No. 7996 of 
March 31, 2006 (71 FR 16971), and Presidential Proclamation No. 8034 of 
June 30, 2006 (71 FR 38509) implemented the CAFTA-DR on behalf of the 
United States and modified the HTS to reflect the tariff and rules of 
origin treatment provided for in the CAFTA-DR.
    U.S. Note 25(b)(i) to subchapter XXII of HTS chapter 98 provides 
that USTR is required to publish annually in the Federal Register a 
determination of the amount of each CAFTA-DR country's trade surplus, 
by volume, with all sources for goods in HS subheadings 1701.11, 
1701.12, 1701.91, 1701.99, 1702.40, and 1702.60, except that each 
CAFTA-DR country's exports to the United States of goods classified 
under HS subheadings 1701.11, 1701.12, 1701.91, and 1701.99 and its 
imports of U.S. goods classified under HS subheadings 1702.40 and 
1702.60 that qualify for preferential tariff treatment under the CAFTA-
DR are not included in the calculation of that country's trade surplus.
    U.S. Note 25(b)(ii) to subchapter XXII of HTS chapter 98 provides 
duty-free treatment for certain sugar and syrup goods and sugar-
containing products of each CAFTA-DR country entered under subheading 
9822.05.20 in an amount equal to the lesser of that country's trade 
surplus or the specific quantity set out in that note for that country 
and that calendar year.
    During CY2005, the most recent year for which data is available, El 
Salvador's exports of the sugar and syrup goods and sugar-containing 
products described above exceeded its imports of those goods by 293,500 
metric tons according to data published by the Salvadoran Central Bank. 
Based on this data, USTR determines that El Salvador's trade surplus is 
293,500 metric tons. Therefore, in accordance with U.S. Note 25(b)(ii) 
to subchapter XXII of HTS chapter 98, the aggregate quantity of goods 
of El Salvador that may be entered duty-free under subheading 
9822.05.20 in CY2007 is 24,480 metric tons (i.e., the amount set out in 
that note for El Salvador for 2007).
    During CY2005, the most recent year for which data is available, 
Guatemala's exports of the sugar and syrup goods and sugar-containing 
products described above exceeded its imports of those goods by 891,159 
metric tons according to data published by the World Trade Atlas. Based 
on this data, USTR determines that Guatemala's trade surplus is 891,159 
metric tons. Therefore, in accordance with U.S. Note 25(b)(ii) to 
subchapter XXII of HTS chapter 98, the aggregate quantity of goods of 
Guatemala that may be entered duty-free under subheading 9822.05.20 in 
CY2007 is 32,640 metric tons (i.e., the amount set out in that note for 
Guatemala for 2007).
    During CY2005, the most recent year for which data is available, 
Honduras' exports of the sugar and syrup goods and sugar-containing 
products described above exceeded its imports of those goods by 56,955 
metric tons according to data published by the Central Bank of 
Honduras. Based on this data, USTR determines that Honduras' trade 
surplus is 56,955 metric tons. Therefore, in accordance with U.S. Note 
25(b)(ii) to subchapter XXII of HTS chapter 98, the aggregate quantity 
of goods of Honduras that may be entered duty-free under subheading 
9822.05.20 in CY2007 is 8,160 metric tons (i.e., the amount set out in 
that note for Honduras for 2007).
    During CY2005, the most recent year for which data is available, 
Nicaragua's exports of the sugar and syrup goods and sugar-containing 
products described above exceeded its imports of those goods by 208,257 
metric tons according to data published by the World Trade Atlas. Based 
on this data, USTR determines that Nicaragua's trade surplus is 208,257 
metric tons. Therefore, in accordance with U.S. Note 25(b)(ii) to 
subchapter XXII of HTS chapter 98, the aggregate quantity of goods of 
Nicaragua that may be entered duty-free under subheading 9822.05.20 in 
CY2007 is 22,440 metric tons (i.e., the amount set out in that note for 
Nicaragua for 2007).

Richard T. Crowder,
Chief Agricultural Negotiator.
[FR Doc. E6-21778 Filed 12-20-06; 8:45 am]
BILLING CODE 3190-W7-P