[Public Papers of the Presidents of the United States: William J. Clinton (1996, Book II)]
[October 17, 1996]
[Pages 1863-1864]
[From the U.S. Government Publishing Office www.gpo.gov]



Letter to Congressional Leaders on Amendment of the Generalized System 
of Preferences
October 17, 1996

Dear Mr. Speaker:  (Dear Mr. President:)
    The Generalized System of Preferences (GSP) program offers duty-free 
treatment to specified products that are imported from designated 
developing countries. The program is authorized by title V of the Trade 
Act of 1974, as amended.
    Pursuant to title V, I have determined that Malaysia should be 
graduated from the GSP program because it is sufficiently advanced in 
economic development and improved in trade competitiveness. I have also 
determined that certain products from Pakistan should be sus-


[[Page 1864]]

pended from duty-free treatment under the GSP program because it is not 
making sufficient progress in protecting basic labor rights. In 
addition, I have determined that Botswana and Western Samoa should be 
deleted from the list of least-developed beneficiary developing 
countries and Angola, Ethiopia, Madagascar, Zaire, and Zambia should be 
added to that list. Finally, I have determined that Cyprus, Aruba, 
Macau, the Netherlands Antilles, Greenland, and the Cayman Islands meet 
the definition of ``high income'' country as defined by the statistics 
of the International Bank for Reconstruction and Development and are 
subject to mandatory graduation.
    The action regarding Malaysia and designation of least-developed 
beneficiary developing countries is effective January 1, 1997. The 
action against Pakistan is retroactive to July 1, 1996. The mandatory 
graduation of high income countries is effective January 1, 1998.
    This notice is submitted in accordance with the requirements of 
title V of the Trade Act of 1974.
        Sincerely,

                                                      William J. Clinton

Note: Identical letters were sent to Newt Gingrich, Speaker of the House 
of Representatives, and Albert Gore, Jr., President of the Senate. The 
related proclamation of October 17 is listed in Appendix D at the end of 
this volume.