[United States Statutes at Large, Volume 121, 110th Congress, 1st Session]
[From the U.S. Government Publishing Office, www.gpo.gov]

 
PROCLAMATION 8097--DEC. 29, 2006

Proclamation 8097 of December 29, 2006
To Modify the Harmonized Tariff Schedule of the United States, To Adjust
Rules of Origin Under the United States-Australia Free Trade Agreement
and for Other Purposes
By the President of the United States of America
A Proclamation
1. Section 1205(a) of the Omnibus Trade and Competitiveness Act of 1988
(the ``1988 Act'';) (19 U.S.C. 3005(a)) directs the United States
International Trade Commission (the ``Commission'';) to keep the
Harmonized Tariff Schedule of the United States (HTS) under continuous
review and periodically to recommend to the President such modifica

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121 STAT. 2678

tions to the HTS as the Commission considers necessary or appropriate to
accomplish the purposes set forth in that subsection. The Commission has
recommended modifications to the HTS pursuant to sections 1205(c) and
(d) of the 1988 Act (19 U.S.C. 3005(c) and (d)) to conform the HTS to
amendments made to the International Convention on the Harmonized
Commodity Description and Coding System (the ``Convention'';).
2. Section 1206(a) of the 1988 Act (19 U.S.C. 3006(a)) authorizes the
President to proclaim modifications to the HTS based on the
recommendations of the Commission under section 1205 of the 1988 Act, if
he determines that the modifications are in conformity with United
States obligations under the Convention and do not run counter to the
national economic interest of the United States. I have determined that
the modifications to the HTS proclaimed in this proclamation pursuant to
section 1206(a) of the 1988 Act (19 U.S.C. 3006(a)) are in conformity
with United States obligations under the Convention and do not run
counter to the national economic interest of the United States.
3. Presidential Proclamation 6641 of December 15, 1993, implemented the
North American Free Trade Agreement (the ``NAFTA'';) with respect to the
United States and, pursuant to section 201 of the North American Free
Trade Agreement Implementation Act (the ``NAFTA Implementation Act'';)
(19 U.S.C. 3331), the staged reductions in rates of duty that the
President determined to be necessary or appropriate to carry out
articles 302, 305, 307, 308, and 703 and Annexes 302.2, 307.1, 308.1,
308.2, 300-B, 703.2, and 703.3 of the NAFTA. In order to ensure the
continuation of such staged reductions in rates of duty for originating
goods of Mexico under tariff categories that are being modified to
reflect the amendments to the Convention, I have determined that
additional modifications to the HTS are necessary or appropriate to
carry out the duty reductions previously proclaimed.
4. Presidential Proclamation 6763 of December 23, 1994, implemented with
respect to the United States the trade agreements resulting from the
Uruguay Round of multilateral trade negotiations, including Schedule XX-
United States of America, annexed to the Marrakesh Protocol to the
General Agreement on Tariffs and Trade 1994 (Schedule XX), that were
entered into pursuant to sections 1102(a) and (e) of the 1988 Act (19
U.S.C. 2902(a) and (e)) and approved in section 101(a) of the Uruguay
Round Agreements Act (URAA) (19 U.S.C. 3511(a)).
5. Pursuant to the authority provided in section 111 of the URAA (19
U.S.C. 3521) and sections 1102(a) and (e) of the 1988 Act, Proclamation
6763 included the staged reductions in rates of duty that the President
determined to be necessary or appropriate to carry out the provisions of
Schedule XX. In order to ensure the continuation of such rates of duty
for imported goods under tariff categories that are being modified to
reflect the amendments to the Convention, I have determined that
additional modifications to the HTS are necessary or appropriate to
carry out the duty reductions previously proclaimed, including certain
technical or conforming changes within the tariff schedule.
6. Presidential Proclamation 7351 of October 2, 2000, implemented
section 211 of the United States-Caribbean Basin Trade Partnership Act
(CBTPA) (title II of Public Law 106-200, 114 Stat. 286) in order to
provide certain preferential tariff treatment to eligible articles that
are the product of any country that the President designates as a
``CBTPA ben

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121 STAT. 2679

eficiary country''; and that the President determines to have satisfied
the requirements of section 213(b)(4)(A)(ii) of the Caribbean Basin
Economic Recovery Act (CBERA) (19 U.S.C. 2703(b)(4)(A)(ii)). Section
213(b)(3) of the CBERA (19 U.S.C. 2703(b)(3)) provides that the tariff
treatment accorded at any time under the CBTPA to any article referred
to in section 213(b)(1)(B) through (F) of the CBERA (19 U.S.C.
2703(b)(1)(B) through (F)) that is a CBTPA originating good shall be
identical to the tariff treatment that is accorded at such time under
Annex 302.2 of the NAFTA to an article described in the same 8-digit
subheading of the HTS that is a good of Mexico and is imported into the
United States.
7. Pursuant to section 213(b) of the CBERA, Proclamation 7351 included
the staged reductions in rates of duty that the President determined to
be necessary or appropriate to provide such identical tariff treatment
to CBTPA originating goods. In order to ensure the continuation of the
rates of duty for imported goods under tariff categories that are being
modified to reflect the amendments to the Convention, I have determined
that additional modifications to the HTS are necessary or appropriate to
carry out the duty reductions previously proclaimed.
8. Presidential Proclamation 7512 of December 7, 2001, implemented the
Agreement Between the United States of America and the Hashemite Kingdom
of Jordan on the Establishment of a Free Trade Area (JFTA), with respect
to the United States and, pursuant to section 101 of the United States-
Jordan Free Trade Area Implementation Act (the ``JFTA Act'';) (19 U.S.C.
2112 note), the staged reductions in rates of duty that I determined to
be necessary or appropriate to carry out the concessions set forth in
Annex 2.1 to the JFTA. In order to ensure the continuation of such
staged reductions in rates of duty for originating goods under tariff
categories that are being modified to reflect the amendments to the
Convention, I have determined that additional modifications to the HTS
are necessary or appropriate to carry out the duty reductions previously
proclaimed.
9. Presidential Proclamation 7747 of December 30, 2003, implemented the
United States-Singapore Free Trade Agreement (USSFTA) with respect to
the United States and, pursuant to section 201 of the United States-
Singapore Free Trade Agreement Implementation Act (the ``USSFTA Act'';)
(19 U.S.C. 3805 note), the staged reductions in rates of duty that I
determined to be necessary or appropriate to carry out or apply articles
2.2, 2.5, 2.6, and 2.12 of the USSFTA and the schedule of reductions
with respect to the Republic of Singapore set forth in Annex 2B of the
USSFTA. In order to ensure the continuation of such staged reductions in
rates of duty for originating goods under tariff categories that are
being modified to reflect the amendments to the Convention, I have
determined that additional modifications to the HTS are necessary or
appropriate to carry out the duty reductions previously proclaimed.
10. Presidential Proclamation 7746 of December 30, 2003, implemented the
United States-Chile Free Trade Agreement (USCFTA) with respect to the
United States and, pursuant to section 201 of the United States-Chile
Free Trade Agreement Implementation Act (the ``CFTA Act'';) (19 U.S.C.
3805 note), the staged reductions in rates of duty that I determined to
be necessary or appropriate to carry out or apply articles 3.3
(including the schedule of United States duty reductions with respect to
originating goods set forth in Annex 3.3 to the USCFTA), 3.7, 3.9,

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121 STAT. 2680

and 3.20(8), (9), (10), and (11) of the USCFTA. In order to ensure the
continuation of such staged reductions in rates of duty for originating
goods under tariff categories that are being modified to reflect the
amendments to the Convention, I have determined that additional
modifications to the HTS are necessary or appropriate to carry out the
duty reductions previously proclaimed.
11. Presidential Proclamation 7857 of December 20, 2004, implemented the
United States-Australia Free Trade Agreement (USAFTA) with respect to
the United States and, pursuant to section 201 of the United States-
Australia Free Trade Agreement Implementation Act (the ``USAFTA Act'';)
(19 U.S.C. 3805 note), the staged reductions in rates of duty that I
determined to be necessary or appropriate to carry out or apply articles
2.3, 2.5, and 2.6 of the USAFTA and the schedule of reductions with
respect to Australia set forth in Annex 2B of the USAFTA.
12. Because the substance of the changes to the Convention will be
reflected in slightly differing form in the national tariff schedules of
the parties to the USAFTA, the rules of origin set out in Annexes 4A and
5A of that Agreement must be changed to ensure that the tariff and
certain other treatment accorded under the USAFTA to originating goods
will continue to be provided under the tariff categories that are being
modified to reflect the amendments to the Convention. The USAFTA parties
have agreed to make these changes.
13. Section 203 of the USAFTA Act provides certain rules for determining
whether a good is an originating good for the purposes of implementing
tariff treatment under the USAFTA. Section 203(o) of the USAFTA Act
authorizes the President to proclaim the rules of origin set out in the
USAFTA and any subordinate tariff categories necessary to carry out the
USAFTA.
14. I have determined that the modifications to the HTS proclaimed in
this proclamation pursuant to sections 201 and 203 of the USAFTA Act are
necessary or appropriate to ensure that the tariff and certain other
treatment accorded under the USAFTA will continue to be given to
originating goods under tariff categories that are being modified to
reflect the amendments to the Convention and to carry out the duty
reductions previously proclaimed.
15. Presidential Proclamation 7971 of December 22, 2005, implemented the
United States-Morocco Free Trade Agreement (USMFTA) with respect to the
United States and, pursuant to section 201 of the United States-Morocco
Free Trade Agreement Implementation Act (the ``USMFTA Act'';) (19 U.S.C.
3805 note), the staged reductions in rates of duty that I determined to
be necessary or appropriate to carry out or apply articles 2.3, 2.5,
2.6, 4.1, 4.3.9, 4.3.10, 4.3.11, 4.3.13, 4.3.14, and 4.3.15 of the
USMFTA and the schedule of reductions with respect to Morocco set forth
in Annex IV of the USMFTA. In order to ensure the continuation of such
staged reductions in rates of duty for originating goods under tariff
categories that are being modified to reflect the amendments to the
Convention, I have determined that additional modifications to the HTS
are necessary or appropriate to carry out the duty reductions previously
proclaimed.
16. Presidential Proclamations 7987 of February 28, 2006, 7991 of March
24, 2006, 7996 of March 31, 2006, and 8034 of June 30, 2006, implemented
the Dominican Republic-Central America-United States

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121 STAT. 2681

Free Trade Agreement (CAFTA-DR Agreement) with respect to the United
States and, pursuant to section 201 of the Dominican Republic-Central
America-United States Implementation Act (the ``CAFTA-DR Act'';) (19
U.S.C. 4031), the staged reductions in rates of duty that I determined
to be necessary or appropriate to carry out or apply articles 3.3, 3.5,
3.6, 3.21, 3.26, 3.27, and 3.28, and Annexes 3.3 (including the schedule
of the United States duty reductions with respect to originating goods),
3.27, and 3.28. In order to ensure the continuation of such staged
reductions in rates of duty for originating goods under tariff
categories that are being modified to reflect the amendments to the
Convention, I have determined that additional modifications to the HTS
are necessary or appropriate to carry out the duty reductions previously
proclaimed.
17. Presidential Proclamation 8039 of July 27, 2006, implemented the
United States-Bahrain Free Trade Agreement (USBFTA) with respect to the
United States and, pursuant to section 201 of the United States-Bahrain
Free Trade Agreement Implementation Act (the ``USBFTA Act'';) (19 U.S.C.
3805 note), the staged reductions in rates of duty that I determined to
be necessary or appropriate to carry out or apply articles 2.3, 2.5,
2.6, 3.2.8, and 3.2.9, and the schedule of reductions with respect to
Bahrain set forth in Annex 2-B of the USBFTA. In order to ensure the
continuation of such staged reductions in rates of duty for originating
goods under tariff categories that are being modified to reflect the
amendments to the Convention, I have determined that additional
modifications to the HTS are necessary or appropriate to carry out the
duty reductions previously proclaimed.
18. Section 604 of the Trade Act of 1974, as amended (the ``Trade
Act'';) (19 U.S.C. 2483), authorizes the President to embody in the HTS
the substance of the provisions of that Act, and of other Acts,
affecting import treatment, and actions thereunder, including the
removal, modification, continuance, or imposition of any rate of duty or
other import restriction. Section 1206(c) of the 1988 Act, as amended
(19 U.S.C. 3006(c)), provides that any modifications proclaimed by the
President under section 1206(a) of that Act may not take effect before
the thirtieth day after the date on which the text of the proclamation
is published in the Federal Register.
NOW, THEREFORE, I, GEORGE W. BUSH, President of the United States of
America, acting under the authority vested in me by the Constitution and
the laws of the United States of America, including but not limited to
sections 1102 and 1206 of the 1988 Act, section 214 of the CBERA,
section 201 of the NAFTA Implementation Act, section 111 of the URAA,
section 101 of the JFTA Act, section 201 of the USSFTA Act, section 201
of the USCFTA Act, sections 201 and 203 of the USAFTA Act, section 201
of the USMFTA Act, section 201 of the CAFTA-DR Act, section 201 of the
USBFTA Act, and section 604 of the Trade Act do proclaim that:
(1) In order to modify the HTS to conform it to the Convention or any
amendment thereto recommended for adoption, to promote the uniform
application of the Convention, to establish additional subordinate
tariff categories, and to make technical and conforming changes to
existing provisions, the HTS is modified as set forth in Annex I of
Publication 3898 of the United States International Trade Commission,
entitled, ``Modifications to the Harmonized Tariff Schedule of the
United States Under Section 1206 of the Omnibus Trade and
Competitiveness

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121 STAT. 2682

Act of 1988,''; which is incorporated by reference into this
proclamation.
(2) In order to provide for the continuation of previously proclaimed
staged duty reductions in the Rates of Duty 1-Special subcolumn for
originating goods of Mexico under the NAFTA that are classifiable in the
provisions modified by Annex I of Publication 3898 and entered, or
withdrawn from warehouse for consumption, on or after each of the dates
specified in section F of Annex II of Publication 3898, the rate of duty
in the HTS set forth in the Rates of Duty 1-Special subcolumn for each
of the HTS subheadings enumerated in section F of Annex II shall be
deleted and the rate of duty provided in such section inserted in lieu
thereof.
(3) In order to provide for the continuation of previously proclaimed
staged duty reductions in the Rates of Duty 1-Special subcolumn for
goods under the terms of general note 17 to the HTS that are
classifiable in the provisions modified by Annex I of Publication 3898
and entered, or withdrawn from warehouse for consumption, on or after
each of the dates specified in section H of Annex II of Publication
3898, the rate of duty in the HTS set forth in the Rates of Duty 1-
Special subcolumn for each of the HTS subheadings enumerated in section
H of Annex II shall be deleted and the rate of duty provided in such
section inserted in lieu thereof.
(4) In order to provide for the continuation of previously proclaimed
staged duty reductions in the Rates of Duty 1-Special subcolumn for
originating goods of Jordan under the JFTA that are classifiable in the
provisions modified by Annex I of Publication 3898 and entered, or
withdrawn from warehouse for consumption, on or after each of the dates
specified in section D of Annex II of Publication 3898, the rate of duty
in the HTS set forth in the Rates of Duty 1-Special subcolumn for each
of the HTS subheadings enumerated in section D of Annex II shall be
deleted and the rate of duty provided in such section inserted in lieu
thereof.
(5) In order to provide for the continuation of previously proclaimed
staged duty reductions in the Rates of Duty 1-Special subcolumn for
originating goods of Singapore under USSFTA that are classifiable in the
provisions modified by Annex I of Publication 3898 and entered, or
withdrawn from warehouse for consumption, on or after each of the dates
specified in sections J of Annex II of Publication 3898, the rate of
duty in the HTS set forth in the Rates of Duty 1-Special subcolumn for
each of the HTS subheadings enumerated in section J of Annex II shall be
deleted and the rate of duty provided in such section inserted in lieu
thereof.
(6) In order to provide for the continuation of previously proclaimed
staged duty reductions in the Rates of Duty 1-Special subcolumn for
originating goods of Chile under USCFTA that are classifiable in the
provisions modified by Annex I of Publication 3898 and entered, or
withdrawn from warehouse for consumption, on or after each of the dates
specified in sections C, K, and L of Annex II of Publication 3898, the
rate of duty in the HTS set forth in the Rates of Duty 1-Special
subcolumn for each of the HTS subheadings enumerated in sections C, K,
and L of Annex II shall be deleted and the rate of duty provided in such
section inserted in lieu thereof.

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121 STAT. 2683

(7) In order to provide for the continuation of previously proclaimed
staged duty reductions in the Rates of Duty 1-Special subcolumn for
originating goods of Australia under USAFTA that are classifiable in the
provisions modified by Annex I of Publication 3898 and entered, or
withdrawn from warehouse for consumption, on or after each of the dates
specified in section A of Annex II of Publication 3898, the rate of duty
in the HTS set forth in the Rates of Duty 1-Special subcolumn for each
of the HTS subheadings enumerated in section A of Annex II shall be
deleted and the rate of duty provided in such section inserted in lieu
thereof.
(8) In order to modify the rules of origin under the USAFTA to reflect
the modifications to the HTS being made to conform it to the Convention
and to make certain conforming changes, general note 28 to the HTS is
further modified as provided in Annex III to Publication 3898.
(9) In order to provide for the continuation of previously proclaimed
staged duty reductions in the Rates of Duty 1-Special subcolumn for
originating goods of Morocco under USMFTA that are classifiable in the
provisions modified by Annex I of Publication 3898 and entered, or
withdrawn from warehouse for consumption, on or after each of the dates
specified in section E of Annex II of Publication 3898, the rate of duty
in the HTS set forth in the Rates of Duty 1-Special subcolumn for each
of the HTS subheadings enumerated in section E of Annex II shall be
deleted and the rate of duty provided in such section inserted in lieu
thereof.
(10) In order to provide for the continuation of previously proclaimed
staged duty reductions in the Rates of Duty 1-Special subcolumn for
originating goods under general note 29 to the HTS that are classifiable
in the provisions modified by Annex I of Publication 3898 and entered,
or withdrawn from warehouse for consumption, on or after each of the
dates specified in section G of Annex II of Publication 3898, the rate
of duty in the HTS set forth in the Rates of Duty 1-Special subcolumn
for each of the HTS subheadings enumerated in section G of Annex II
shall be deleted and the rate of duty provided in such section inserted
in lieu thereof.
(11) In order to provide for the continuation of previously proclaimed
staged duty reductions in the Rates of Duty 1-Special subcolumn for
originating goods of Bahrain under USBFTA that are classifiable in the
provisions modified by Annex I of Publication 3898 and entered, or
withdrawn from warehouse for consumption, on or after each of the dates
specified in section B of Annex II of Publication 3898, the rate of duty
in the HTS set forth in the Rates of Duty 1-Special subcolumn for each
of the HTS subheadings enumerated in section B of Annex II shall be
deleted and the rate of duty provided in such section inserted in lieu
thereof.
(12) Any provisions of previous proclamations and Executive Orders that
are inconsistent with the actions taken in this proclamation are
superseded to the extent of such inconsistency.
(13)(a) The modifications and technical rectifications to the HTS set
forth in Annexes I and III to Publication 3898 shall be effective with
respect to goods entered, or withdrawn from warehouse for consumption,
on or after the later of (i) February 1, 2007, or (ii) the thirtieth day
after the date of publication of this proclamation in the Federal
Register.

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121 STAT. 2684

(b) The modifications to the HTS set forth in Annex II to Publication
3898 shall be effective with respect to goods entered, or withdrawn from
warehouse for consumption, on or after the respective dates specified in
each section of such Annex for the goods described therein.
IN WITNESS WHEREOF, I have hereunto set my hand this twenty-ninth day of
December, in the year of our Lord two thousand six, and of the
Independence of the United States of America the two hundred and thirty-
first.
GEORGE W. BUSH