[Federal Register Volume 77, Number 215 (Tuesday, November 6, 2012)]
[Notices]
[Pages 66662-66663]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-27083]


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OFFICE OF THE UNITED STATES TRADE REPRESENTATIVE


Generalized System of Preferences (GSP): Import Statistics 
Relating to Competitive Need Limitations

AGENCY: Office of the United States Trade Representative.

ACTION: Notice.

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SUMMARY: This notice is to inform the public of the availability of 
import statistics for the first eight months of 2012 relating to 
competitive need limitations (CNLs) under the Generalized System of 
Preferences (GSP) program. These import statistics identify some 
articles for which the 2012 trade levels may exceed statutory CNLs. 
Interested parties may find this information useful in deciding whether 
to submit a petition to waive the CNLs for individual beneficiary 
developing countries (BDCs) with respect to specific GSP-eligible 
articles. As previously announced in the Federal Register (77 FR 44704 
(July 30, 2012)), the deadline for submission of product petitions to 
waive the CNLs for individual BDCs with respect to GSP-eligible 
articles is 5 p.m., November 21, 2012.

FOR FURTHER INFORMATION CONTACT: Contact Marin Weaver, Director for 
GSP, Office of the United States Trade Representative, 600 17th Street, 
NW., Washington, DC 20508. The telephone number is (202) 395-9618 and 
the email address is [email protected].

SUPPLEMENTARY INFORMATION:

I. Competitive Need Limitations

    The GSP program provides for the duty-free importation of 
designated articles when imported from designated BDCs. The GSP program 
is authorized by Title V of the Trade Act of 1974 (19 U.S.C. 2461, et 
seq.), as amended (the ``1974 Act''), and is implemented in accordance 
with Executive Order 11888 of November 24, 1975, as modified by 
subsequent Executive Orders and Presidential Proclamations.
    Section 503(c)(2)(A) of the 1974 Act sets out the two CNLs. When 
the President determines that a BDC has exported to the United States 
during a calendar year either (1) a quantity of a GSP-eligible article 
having a value in excess of the applicable amount for that year ($155 
million for 2012), or (2) a quantity of a GSP-eligible article having a 
value equal to or greater than 50 percent of the value of total U.S. 
imports of the article from all countries (the ``50 percent CNL''), the 
President must terminate GSP duty-free treatment for that article from 
that BDC by no later than July 1 of the next calendar year.
    Under section 503(c)(2)(F) of the 1974 Act, the President may waive 
the 50 percent CNL with respect to an eligible article imported from a 
BDC, if the value of total imports of that article from all countries 
during the calendar year did not exceed the applicable de minimis 
amount for that year ($21 million for 2012). Further, under section 
503(c)(2)(C) of the 1974 Act, if imports of an eligible article from a 
BDC ceased to receive duty-free treatment due to exceeding a CNL in a 
prior year, the President may redesignate such an article for duty free 
treatment if imports in the most recently completed year did not exceed 
the CNLs.

II. Implementation of Competitive Need Limitations

    Exclusions from GSP duty-free treatment where CNLs have been 
exceeded will be effective July 1, 2013, unless the President grants a 
waiver before the exclusion goes into effect. Exclusions for exceeding 
a CNL will be based on full 2012 calendar-year import statistics.

III. Interim 2012 Import Statistics

    In order to provide advance notice of articles that may exceed the 
CNLs for 2012, interim import statistics for the first eight months of 
2012 relating to CNLs can be viewed at: http://www.ustr.gov/trade-topics/trade-development/preference-programs/generalized-system-preferences-gsp/current-review. Full calendar-year 2012 data for 
individual tariff subheadings will be available in February 2013 on the 
Web site of the U.S. International Trade Commission at http://dataweb.usitc.gov/.
    The interim 2012 import statistics are organized to show, for each 
article, the Harmonized Tariff Schedule of the United States (HTSUS) 
subheading and BDC of origin, the value of imports of the article from 
the specified country for the first eight months of 2012, and the 
corresponding share of total imports of that article from all 
countries. The list includes the GSP-eligible articles from BDCs that, 
based on interim eight-month 2012 data, exceed $87 million dollars, or 
an amount greater than 42 percent of the total value of U.S. imports of 
that product and therefore may be on track to exceed the applicable 
thresholds. In all, the following twelve products met the criteria to 
be placed on the list:

 4409.10.05--Coniferous wood continuously shaped along any of 
its ends (Brazil)
 7202.99.20--Calcium silicon ferroalloys (Brazil)
 7202.30.00--Ferrosilicon manganese (Georgia)
 2924.29.95--Other nonaromatic cyclic amides and their 
derivatives (India)
 2934.99.47--Nonaromatic drugs of other heterocyclic compounds 
(India)
 7307.21.50--Stainless steel, not cast, flanges for tubes/pipes 
(India)
 7307.91.50--Iron or steel (o/than stainless), not cast, 
flanges for tubes/pipes (India)
 6911.10.37--Porcelain or non-bone china, household table & 
kitchenware sets (Indonesia)
 2927.00.15--1,1'-Azobisformamide (Indonesia)
 7202.21.50--Ferrosilicon containing between 55% and 80% of 
silicon (Russia)
 2106.90.99--Miscellaneous food preparations not canned or 
frozen (Thailand)
 9506.70.40--Ice skates w/footwear permanently attached 
(Thailand)

    The list published on the USTR Web site includes the relevant 
eight-month trade statistics for each of these products and is provided 
as a courtesy for informational purposes only. The list is based on 
interim 2012 trade data, and may not include all articles that may be 
affected by the GSP CNLs. Regardless of whether or not an article is 
included on the list referenced in this notice, all determinations and 
decisions regarding application of the CNLs of the GSP program will be 
based on full calendar-year 2012 import data for each GSP-eligible 
article. Each interested party is advised to conduct its own review of 
2012 import data with regard to the possible application of GSP CNLs. 
Please see the notice announcing the 2012 GSP Review which was 
published in the Federal Register on July 30, 2012, regarding 
submission of product petitions requesting a waiver of a CNL. The 
notice is available at http://www.regulations.gov/

[[Page 66663]]

!documentDetail;D=USTR-2012-0013-0001.

William D. Jackson,
Deputy Assistant U.S. Trade Representative for the GSP Program, 
Chairman, GSP Subcommittee of the Trade Policy Staff Committee.
[FR Doc. 2012-27083 Filed 11-5-12; 8:45 am]
BILLING CODE 3290-F3-P