[Federal Register Volume 86, Number 191 (Wednesday, October 6, 2021)]
[Notices]
[Pages 55681-55682]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-21809]


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

OFFICE OF THE UNITED STATES TRADE REPRESENTATIVE


Determinations and Ongoing Monitoring: Investigation Concerning 
Vietnam's Acts, Policies and Practices Related to Illegal Timber

AGENCY: Office of the United States Trade Representative (USTR).

ACTION: Notice.

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

SUMMARY: Based on an agreement reached between the United States of 
America and the Socialist Republic of Vietnam (the Parties) regarding 
illegal logging and timber trade, the U.S. Trade Representative has 
determined that no action is warranted at this time because the subject 
matter of this investigation has been resolved satisfactorily. The U.S. 
Trade Representative will monitor Vietnam's implementation of the 
commitments it has agreed to.

FOR FURTHER INFORMATION CONTACT: For questions concerning the 
investigation, contact David Lyons, Assistant General Counsel, 202-395-
9446; Kimberly Reynolds, Assistant General Counsel, 202-395-6336; Marta 
Prado, Deputy Assistant U.S. Trade Representative for Southeast Asia 
and the Pacific, 202-395-6216; or Joseph Johnson, Senior Director for 
Environment and Natural Resources, 202-395-2464.

SUPPLEMENTARY INFORMATION:

I. Proceedings in the Investigation

    On October 2, 2020, the U.S. Trade Representative initiated an 
investigation of Vietnam's acts, policies and practices related to the 
import and use of illegal timber pursuant to Section 301(b)(1)(A) of 
the Trade Act of 1974, as amended (the Trade Act). See 85 FR 63639 
(Oct. 8, 2020) (notice of initiation). On the same date, USTR requested 
consultations with Vietnam, which were held on January 7, 2021. The 
Section 301 Committee solicited comments and held a public hearing on 
December 28, 2020. See 85 FR 75398 (Nov. 25, 2020).
    USTR initiated the investigation to examine reports that Vietnam's 
wood processing industry relies upon imported timber that may have been 
illegally harvested or traded. The notice of initiation indicated that 
the investigation would initially focus on three issues: (1) That 
certain timber imports may be inconsistent with Vietnam's domestic 
laws, the laws of exporting countries, or international rules, (2) the 
adequacy of Vietnam's enforcement measures at the border with respect 
to imported timber, and (3) other acts, policies and practices of 
Vietnam relating to the import and use of illegally harvested or traded 
timber. Investigating these issues has involved an examination of 
Vietnam's ongoing implementation of its new, risk-based ``timber 
legality assurance system'' and potential improvements to that system.
    During the last several months of the investigation, USTR has 
engaged with Vietnam in an effort to reach an agreement that would 
resolve U.S. concerns with Vietnam's import and use of illegal timber. 
As described below, these efforts have been successful.

II. Agreement With Vietnam and Associated Determinations

    On October 1, 2021, the U.S. Trade Representative and the Minister 
for the Ministry of Agriculture and Rural Development of Vietnam signed 
the Agreement between the Governments of the Socialist Republic of 
Vietnam and the United States of America on Illegal Logging and Timber 
Trade (the Agreement). The Agreement is publicly available on USTR's 
website at https://ustr.gov/issue-areas/enforcement/section-301-investigations/section-301-vietnam-timber.
    The Agreement reflects the Parties' shared understanding of the 
importance of combating illegal logging and associated trade. It 
contains multiple commitments on issues related to illegal timber, 
including:
     Vietnam's treatment of confiscated timber.
     Financial incentives related to illegal timber.
     Customs inspections and clearance.
     Entities covered by Vietnam's timber legality assurance 
system.
     The criteria used to classify a third country as a 
``positive geographical area exporting timber to Vietnam''.
     The verification of domestically harvested timber.
     The implementation of certain licensing schemes.
     Cooperation with the governments of third-country sources 
of imported timber.
     Illegal timber activities in third countries or involving 
third-country nationals.
     Verification and enforcement measures.
     Cooperation between the Parties' respective law 
enforcement agencies to combat the harvest and trade of illegal timber.
     Creation of a timber working group under the U.S.-Vietnam 
Trade and Investment Framework Agreement Council.
     Public information and participation on matters related to 
the implementation of the Agreement.
     Cooperation on technical assistance and initiatives to 
promote sustainable forest management and to combat illegal logging and 
associated trade.
    The U.S. Trade Representative has found that the Agreement 
satisfactorily resolves the matter subject to investigation. Therefore, 
the U.S. Trade Representative has determined that the investigated 
acts, policies, and practices are not actionable in light of the 
Agreement and that no action is appropriate at this time.

III. Ongoing Monitoring

    Pursuant to Section 306(a) of the Trade Act, the U.S. Trade 
Representative will monitor Vietnam's implementation of its commitments 
under the Agreement and associated measures. Pursuant to Section 306(b) 
of the Trade Act, if the U.S. Trade Representative determines that 
Vietnam is not satisfactorily implementing the Agreement or associated 
measures, then the U.S. Trade Representative will

[[Page 55682]]

consider further action under Section 301.

Greta Peisch,
General Counsel, Office of the United States Trade Representative.
[FR Doc. 2021-21809 Filed 10-5-21; 8:45 am]
BILLING CODE 3290-F1-P