[Federal Register Volume 83, Number 88 (Monday, May 7, 2018)]
[Presidential Documents]
[Pages 20683-20705]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-09841]
Presidential Documents
Federal Register / Vol. 83 , No. 88 / Monday, May 7, 2018 /
Presidential Documents
[[Page 20683]]
Proclamation 9740 of April 30, 2018
Adjusting Imports of Steel Into the United States
By the President of the United States of America
A Proclamation
1. On January 11, 2018, the Secretary of Commerce
(Secretary) transmitted to me a report on his
investigation into the effect of imports of steel mill
articles on the national security of the United States
under section 232 of the Trade Expansion Act of 1962,
as amended (19 U.S.C. 1862).
2. In Proclamation 9705 of March 8, 2018 (Adjusting
Imports of Steel Into the United States), I concurred
in the Secretary's finding that steel mill articles are
being imported into the United States in such
quantities and under such circumstances as to threaten
to impair the national security of the United States,
and decided to adjust the imports of steel mill
articles, as defined in clause 1 of Proclamation 9705,
as amended by clause 8 of Proclamation 9711 of March
22, 2018 (Adjusting Imports of Steel Into the United
States) (steel articles), by imposing a 25 percent ad
valorem tariff on such articles imported from all
countries except Canada and Mexico. I further stated
that any country with which we have a security
relationship is welcome to discuss with the United
States alternative ways to address the threatened
impairment of the national security caused by imports
from that country, and noted that, should the United
States and any such country arrive at a satisfactory
alternative means to address the threat to the national
security such that I determine that imports from that
country no longer threaten to impair the national
security, I may remove or modify the restriction on
steel articles imports from that country and, if
necessary, adjust the tariff as it applies to other
countries, as the national security interests of the
United States require.
3. In Proclamation 9711, I noted the continuing
discussions with the Argentine Republic (Argentina),
the Commonwealth of Australia (Australia), the
Federative Republic of Brazil (Brazil), Canada, Mexico,
the Republic of Korea (South Korea), and the European
Union (EU) on behalf of its member countries, on
satisfactory alternative means to address the
threatened impairment to the national security by
imports of steel articles from those countries.
Recognizing that each of these countries and the EU has
an important security relationship with the United
States, I determined that the necessary and appropriate
means to address the threat to national security posed
by imports of steel articles from these countries was
to continue the ongoing discussions and to exempt steel
articles imports from these countries from the tariff
proclaimed in Proclamation 9705 until May 1, 2018.
4. The United States has successfully concluded
discussions with South Korea on satisfactory
alternative means to address the threatened impairment
to our national security posed by steel articles
imports from South Korea. The United States and South
Korea have agreed on a range of measures, including
measures to reduce excess steel production and excess
steel capacity, and measures that will contribute to
increased capacity utilization in the United States,
including a quota that restricts the quantity of steel
articles imported into the United States from South
Korea. In my judgment, these measures will provide an
effective, long-term alternative means to address South
Korea's contribution to the threatened impairment to
our national security by restraining steel articles
exports to the United States
[[Page 20684]]
from South Korea, limiting transshipment, and
discouraging excess capacity and excess steel
production. In light of this agreement, I have
determined that steel articles imports from South Korea
will no longer threaten to impair the national security
and have decided to exclude South Korea from the tariff
proclaimed in Proclamation 9705. The United States will
monitor the implementation and effectiveness of the
quota and other measures agreed upon with South Korea
in addressing our national security needs, and I may
revisit this determination, as appropriate.
5. The United States has agreed in principle with
Argentina, Australia, and Brazil on satisfactory
alternative means to address the threatened impairment
to our national security posed by steel articles
imported from these countries. I have determined that
the necessary and appropriate means to address the
threat to national security posed by imports of steel
articles from Argentina, Australia, and Brazil is to
extend the temporary exemption of these countries from
the tariff proclaimed in Proclamation 9705, in order to
finalize the details of these satisfactory alternative
means to address the threatened impairment to our
national security posed by steel articles imported from
these countries. In my judgment, and for the reasons I
stated in paragraph 10 of Proclamation 9711, these
discussions will be most productive if steel articles
from Argentina, Australia, and Brazil remain exempt
from the tariff proclaimed in Proclamation 9705, until
the details can be finalized and implemented by
proclamation. Because the United States has agreed in
principle with these countries, in my judgment, it is
unnecessary to set an expiration date for the
exemptions. Nevertheless, if the satisfactory
alternative means are not finalized shortly, I will
consider re-imposing the tariff.
6. The United States is continuing discussions with
Canada, Mexico, and the EU. I have determined that the
necessary and appropriate means to address the threat
to the national security posed by imports of steel
articles from these countries is to continue these
discussions and to extend the temporary exemption of
these countries from the tariff proclaimed in
Proclamation 9705, at least at this time. In my
judgment, and for the reasons I stated in paragraph 10
of Proclamation 9711, these discussions will be most
productive if steel articles from these countries
remain exempt from the tariff proclaimed in
Proclamation 9705.
7. For the reasons I stated in paragraph 11 of
Proclamation 9711, however, the tariff imposed by
Proclamation 9705 remains an important first step in
ensuring the economic stability of our domestic steel
industry and removing the threatened impairment of the
national security. As a result, unless I determine by
further proclamation that the United States has reached
a satisfactory alternative means to remove the
threatened impairment to the national security by
imports of steel articles from Canada, Mexico, and the
member countries of the EU, the tariff set forth in
clause 2 of Proclamation 9705 shall be effective June
1, 2018, for these countries.
8. In light of my determination to exclude, on a long-
term basis, South Korea from the tariff proclaimed in
Proclamation 9705, I have considered whether it is
necessary and appropriate in light of our national
security interests to make any corresponding
adjustments to the tariff set forth in clause 2 of
Proclamation 9705 as it applies to other countries. I
have determined that, in light of the agreed-upon quota
and other measures with South Korea, the measures being
finalized with Argentina, Australia, and Brazil, and
the ongoing discussions that may result in further
long-term exclusions from the tariff proclaimed in
Proclamation 9705, it is necessary and appropriate, at
this time, to maintain the current tariff level as it
applies to other countries.
9. Section 232 of the Trade Expansion Act of 1962, as
amended, authorizes the President to adjust the imports
of an article and its derivatives that are being
imported into the United States in such quantities or
under such circumstances as to threaten to impair the
national security.
[[Page 20685]]
10. Section 604 of the Trade Act of 1974, as amended
(19 U.S.C. 2483), authorizes the President to embody in
the Harmonized Tariff Schedule of the United States
(HTSUS) the substance of statutes affecting import
treatment, and actions thereunder, including the
removal, modification, continuance, or imposition of
any rate of duty or other import restriction.
NOW, THEREFORE, I, DONALD J. TRUMP, President of the
United States of America, by the authority vested in me
by the Constitution and the laws of the United States
of America, including section 232 of the Trade
Expansion Act of 1962, as amended, section 301 of title
3, United States Code, and section 604 of the Trade Act
of 1974, as amended, do hereby proclaim as follows:
(1) Imports of all steel articles from Argentina,
Australia, Brazil, and South Korea shall be exempt from
the duty established in clause 2 of Proclamation 9705,
as amended by clause 1 of Proclamation 9711. Imports of
all steel articles from Canada, Mexico, and the member
countries of the EU shall be exempt from the duty
established in clause 2 of Proclamation 9705 until
12:01 a.m. eastern daylight time on June 1, 2018.
Further, clause 2 of Proclamation 9705, as amended by
clause 1 of Proclamation 9711, is also amended by
striking the last two sentences and inserting in lieu
thereof the following two sentences: ``Except as
otherwise provided in this proclamation, or in notices
published pursuant to clause 3 of this proclamation,
all steel articles imports specified in the Annex shall
be subject to an additional 25 percent ad valorem rate
of duty with respect to goods entered for consumption,
or withdrawn from warehouse for consumption, as
follows: (a) on or after 12:01 a.m. eastern daylight
time on March 23, 2018, from all countries except
Argentina, Australia, Brazil, Canada, Mexico, South
Korea, and the member countries of the European Union,
and (b) on or after 12:01 a.m. eastern daylight time on
June 1, 2018, from all countries except Argentina,
Australia, Brazil, and South Korea. This rate of duty,
which is in addition to any other duties, fees,
exactions, and charges applicable to such imported
steel articles, shall apply to imports of steel
articles from each country as specified in the
preceding sentence.''.
(2) In order to provide the quota treatment
referred to in paragraph 4 of this proclamation to
steel articles imports from South Korea, U.S. Note 16
of subchapter III of chapter 99 of the HTSUS is amended
as provided for in Part A of the Annex to this
proclamation. U.S. Customs and Border Protection (CBP)
of the Department of Homeland Security shall implement
this quota as soon as practicable, taking into account
all steel articles imports from South Korea since
January 1, 2018.
(3) The exemption afforded to steel articles from
Canada, Mexico, and the member countries of the EU
shall apply only to steel articles of such countries
entered for consumption, or withdrawn from warehouse
for consumption, through the close of May 31, 2018, at
which time such countries shall be deleted from the
article description of heading 9903.80.01 of the HTSUS.
(4) Clause 5 of Proclamation 9711 is amended by
inserting the phrase ``, except those eligible for
admission under ``domestic status'' as defined in 19
CFR 146.43, which is subject to the duty imposed
pursuant to Proclamation 9705, as amended by
Proclamation 9711,'' after the words ``Any steel
article'' in the first and second sentences.
(5) Steel articles shall not be subject upon entry
for consumption to the duty established in clause 2 of
Proclamation 9705, as amended by clause 1 of this
proclamation, merely by reason of manufacture in a U.S.
foreign trade zone. However, steel articles admitted to
a U.S. foreign trade zone in ``privileged foreign
status'' pursuant to clause 5 of Proclamation 9711, as
amended by clause 4 of this proclamation, shall retain
that status consistent with 19 CFR 146.41(e).
(6) No drawback shall be available with respect to
the duties imposed on any steel article pursuant to
Proclamation 9705, as amended by clause 1 of this
proclamation.
[[Page 20686]]
(7) The Secretary, in consultation with CBP and
other relevant executive departments and agencies,
shall revise the HTSUS so that it conforms to the
amendments and effective dates directed in this
proclamation. The Secretary shall publish any such
modification to the HTSUS in the Federal Register.
(8) Any provision of previous proclamations and
Executive Orders that is inconsistent with the actions
taken in this proclamation is superseded to the extent
of such inconsistency.
IN WITNESS WHEREOF, I have hereunto set my hand this
thirtieth day of April, in the year of our Lord two
thousand eighteen, and of the Independence of the
United States of America the two hundred and forty-
second.
(Presidential Sig.)
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[FR Doc. 2018-09841
Filed 5-4-18; 11:15 a.m.]
Billing code 7020-02-C