[United States Statutes at Large, Volume 126, 112th Congress, 2nd Session]
[From the U.S. Government Publishing Office, www.gpo.gov]

 
PROCLAMATION 8894--OCT. 29, 2012

Proclamation 8894 of October 29, 2012

To Implement the United States-Panama Trade Promotion Agreement and for

Other Purposes

By the President of the United States of America

A Proclamation

1. On June 28, 2007, the United States entered into the United States-
Panama Trade Promotion Agreement (the ``Agreement''). The Congress
approved the Agreement in section 101(a) of the United States-Panama
Trade Promotion Agreement Implementation Act (the ``Implementation
Act'') (Public Law 112-43, 125 Stat. 497).
2. Section 105(a) of the Implementation Act authorizes the President to
establish or designate within the Department of Commerce an office that
shall be responsible for providing administrative assistance to panels
established under chapter 20 of the Agreement.
3. Section 201 of the Implementation Act authorizes the President to
proclaim such modifications or continuation of any duty, such
continuation of duty-free or excise treatment, or such additional
duties, as the President determines to be necessary or appropriate to
carry out or apply Articles 3.3, 3.5, 3.6, and 3.27, 3.28, and 3.29 and
Annex 3.3 of the Agreement.
4. Consistent with section 201(a)(2) of the Implementation Act, Panama
is to be removed from the enumeration of designated beneficiary
developing countries eligible for the benefits of the Generalized System
of Preferences (GSP).
5. Consistent with section 201(a)(3) of the Implementation Act, Panama
is removed from the enumeration of beneficiary countries under the

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Caribbean Basin Economic Recovery Act (CBERA) (19 U.S.C. 2701 et seq.),
subject to the exceptions set out in section 201(a)(3)(B) of the
Implementation Act.
6. Consistent with section 213(b)(5)(D) of the CBERA, as amended by the
Caribbean Basin Trade Partnership Act (CBTPA) (Public Law 106-200),
Panama is removed from the enumeration of designated CBTPA beneficiary
countries.
7. Consistent with section 604 of the Trade Act of 1974, as amended (the
``1974 Act'') (19 U.S.C. 2483), I have determined that other technical
and conforming changes to the Harmonized Tariff Schedule of the United
States (HTS) are necessary to reflect that Panama is no longer eligible
to receive the benefits of the GSP, the CBERA, and the CBTPA.
8. Section 201(d) of the Implementation Act authorizes the President to
take such action as may be necessary in implementing the tariff-rate
quotas set forth in Appendix I to the General Notes to the Schedule of
the United States to Annex 3.3 of the Agreement to ensure that imports
of agricultural goods do not disrupt the orderly marketing of
commodities in the United States.
9. Section 203 of the Implementation Act sets forth certain rules for
determining whether a good is an originating good for the purpose of
implementing preferential tariff treatment provided for under the
Agreement. I have determined that it is necessary to include these rules
of origin, together with particular rules applicable to certain other
goods, in the HTS.
10. Section 203(o)(4) of the Implementation Act authorizes the
President, after receiving a request from an interested entity, to
determine that a fabric, yarn, or fiber is or is not available in
commercial quantities in a timely manner in Panama and the United
States; to establish procedures governing the submission of a request
for any such determination and ensuring appropriate public participation
in any such determination; to add to the list of the United States as
set forth in Annex 3.25 of the Agreement any fabric, yarn, or fiber
determined to be not available in commercial quantities in a timely
manner in Panama and the United States; or to remove from the list in
Annex 3.25 of the Agreement any fabric, yarn, or fiber that the
President has previously added to that list.
11. Section 208 of the Implementation Act authorizes the President to
take certain enforcement actions relating to trade with Panama in
textile and apparel goods.
12. Subtitle B of title III of the Implementation Act authorizes the
President to take certain actions in response to a request by an
interested party for relief from serious damage or actual threat thereof
to a domestic industry producing certain textile or apparel articles.
13. Executive Order 11651 of March 3, 1972, as amended, established the
Committee for the Implementation of Textile Agreements (CITA),
consisting of representatives of the Departments of State, the Treasury,
Commerce, and Labor, and the Office of the United States Trade
Representative, with the representative of the Department of Commerce as
Chairman, to supervise the implementation of textile trade agreements.
Consistent with section 301 of title 3, United States Code, when
carrying out functions vested in the President by statute and assigned
by

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the President to CITA, the officials collectively exercising those
functions are all to be officers required to be appointed by the
President with the advice and consent of the Senate.
14. Section 202(o)(2)(B)(ii) of the United States-Korea Free Trade
Agreement Implementation Act authorizes the President, subject to the
consultation and layover provisions of section 104, to proclaim before
the end of the 1-year period beginning on the date on which the United
States-Korea Free Trade Agreement (the ``Korea FTA'') enters into force,
modifications to the HTS to correct any typographical, clerical, or non-
substantive technical error regarding the provisions of chapters 50
through 63 (as included in Annex 4-A of the Korea FTA). The Korea FTA
entered into force on March 15, 2012.
15. A provision in chapter 61 (as included in Annex 4-A of the Korea
FTA) contained a clerical error that the United States and Korea have
agreed to correct. I have determined that a modification to the HTS is
necessary to correct this error and to provide the intended tariff
treatment. The requirements of the consultation and layover provisions
for the proposed correction of this error were completed on August 17,
2012.
16. Presidential Proclamation 8341 of January 16, 2009, implemented the
U.S. tariff commitments under the United States-Peru Trade Promotion
Agreement and incorporated by reference Publication 4058 of the U.S.
International Trade Commission (the ``Commission''), entitled
``Modifications to the Harmonized Tariff Schedule of the United States
to Implement the United States-Peru Free Trade Agreement.'' Annex I of
Publication 4058 included a technical error that affected the tariff
treatment of a good of Peru and omitted cross-references for certain
tariff lines. I have determined that modifications to the HTS are
necessary to correct this error and omission.
17. Presidential Proclamation 8783 of March 6, 2012, implemented U.S.
tariff commitments under the Korea FTA and incorporated by reference
Publication 4308 of the Commission, entitled ``Modifications to the
Harmonized Tariff Schedule of the United States to Implement the United
States-Korea Free Trade Agreement.'' Annexes I and II to that
publication each included a technical error that affected the tariff
treatment accorded to certain goods of Korea. I have determined that a
modification to the HTS is necessary to correct these errors.
18. Presidential Proclamation 8818 of May 14, 2012, implemented U.S.
tariff commitments under the United States-Colombia Trade Promotion
Agreement and incorporated by reference Publication 4320 of the
Commission, entitled ``Modifications to the Harmonized Tariff Schedule
of the United States to Implement the United States-Colombia Trade
Promotion Agreement.'' Annexes I and II to that publication included
technical errors that affected the tariff treatment accorded to certain
goods of Colombia and omitted cross-references for certain tariff lines.
I have determined that modifications to the HTS are necessary to correct
the technical errors and omissions.
19. Section 604 of the 1974 Act authorizes the President to embody in
the HTS the substance of relevant provisions of chapter V of that Act,
and of other Acts affecting import treatment, and of actions taken
thereunder, including the removal, modification, continuance, or
imposition of any rate of duty or other import restriction.


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NOW, THEREFORE, I, BARACK OBAMA, President of the United States of
America, by virtue of the authority vested in me by the Constitution and
the laws of the United States of America, including but not limited to
section 604 of the 1974 Act, sections 105(a), 201, 203, and 208, and
subtitle B of title III of the Implementation Act, and section 301 of
title 3, United States Code, and having made the determination under
section 101(b) of the Implementation Act necessary for the exchange of
notes, do hereby proclaim:
(1) In order to provide generally for the preferential tariff
treatment being accorded under the Agreement, to set forth rules for
determining whether goods imported into the customs territory of the
United States are eligible for preferential tariff treatment under the
Agreement, to provide certain other treatment to originating goods of
Panama for the purposes of the Agreement, and to reflect Panama's
removal from the list of beneficiary developing countries under the GSP,
and from the list of beneficiary countries under CBERA and CBTPA, the
HTS is modified as set forth in Annex I of Publication 4349 of the
Commission, entitled ``Modifications to the Harmonized Tariff Schedule
of the United States to Implement the United States-Panama Trade
Promotion Agreement,'' which is incorporated by reference into this
proclamation.
(2) The modifications to the HTS made in paragraph (1) of this
proclamation shall be effective with respect to goods entered, or
withdrawn from warehouse for consumption, on or after the relevant dates
indicated in Annex I of Publication 4349.
(3) In order to implement the initial stage of duty elimination
provided for in the Agreement and to provide for future staged
reductions in duties for originating goods of Colombia for purposes of
the Agreement, the HTS is modified as provided in Annex II of
Publication 4349, effective on the dates specified in the relevant
sections of such Annex and on any subsequent dates set forth for such
duty reductions in that Annex.
(4) The Secretary of Commerce is authorized to exercise the
authority of the President under section 105(a) of the Implementation
Act to establish or designate an office within the Department of
Commerce to carry out the functions set forth in that section.
(5) The CITA is authorized to exercise the authority of the
President under section 203(o)(4) of the Implementation Act to determine
that a fabric, yarn, or fiber is or is not available in commercial
quantities in a timely manner in Panama and the United States; to
establish procedures governing the request for any such determination
and ensuring appropriate public participation in any such determination;
to add any fabric, yarn, or fiber determined to be not available in
commercial quantities in a timely manner in Panama and the United States
to the list in Annex 3.25 of the Agreement; or to remove from the list
in Annex 3.25 of the Agreement any fabric, yarn, or fiber that the
President has previously added to that list.
(6) The CITA is authorized to exercise the authority of the
President under section 208 of the Implementation Act to direct the
exclusion of certain textile and apparel goods from the customs
territory of the United States and to direct the denial of preferential
tariff treatment to textile and apparel goods.
(7) The CITA is authorized to exercise the functions of the
President under subtitle B of title III of the Implementation Act to
review re-

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quests, and to determine whether to commence consideration of
such requests; after an appropriate determination, to cause to be
published in the Federal Register a notice of commencement of
consideration of a request and notice seeking public comment; to
determine whether imports of a Panamanian textile or apparel article are
causing serious damage, or actual threat thereof, to a domestic industry
producing an article that is like, or directly competitive with, the
imported article; and to provide relief from imports of an article that
is the subject of an affirmative determination as to damage or threat.
(8) The United States Trade Representative (USTR) is authorized to
fulfill the obligations of the President under section 104 of the
Implementation Act to obtain advice from the appropriate advisory
committees and the Commission on the proposed implementation of an
action by Presidential proclamation; to submit a report on such proposed
action to the appropriate congressional committees; and to consult with
those congressional committees regarding the proposed action.
(9) The USTR is authorized to modify U.S. note 4 to subchapter XX of
chapter 99 of the HTS in a notice published in the Federal Register to
reflect modifications pursuant to paragraph (7) of this proclamation by
the CITA to the list of fabrics, yarns, or fibers in Annex 3.25 of the
Agreement.
(10) In order to provide the intended tariff treatment to goods of
Korea under the terms of general note 33, the HTS is modified as set
forth in section E of Annex III to Publication 4349.
(11) The modifications to the HTS set forth in section E of Annex
III to Publication 4349 shall be effective with respect to goods
entered, or withdrawn from warehouse for consumption, on or after March
15, 2012.
(12) In order to provide the intended tariff treatment to certain
goods of Peru, U.S. note 28 to subchapter XXII of chapter 98 of the HTS
is modified as set forth in section A of Annex III to Publication 4349.
In addition with respect to goods of Peru under the terms of general
note 32, the HTS is modified as set forth in section D of Annex III to
Publication 4349.
(13) The modifications to the HTS set forth in sections A and D of
Annex III to Publication 4349 shall be effective with respect to goods
of Peru entered, or withdrawn from warehouse for consumption, on or
after February 1, 2009.
(14) In order to provide the intended tariff treatment to certain
goods of Colombia the HTS is modified as set forth in sections C and D
of Annex III to Publication 4349.
(15) The modifications to the HTS set forth in sections C and D of
Annex III to Publication 4349 are effective with respect to goods of
Colombia entered, or withdrawn from warehouse for consumption, on or
after May 15, 2012.
(16) All 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.
IN WITNESS WHEREOF, I have hereunto set my hand this twenty-ninth day of
October, in the year of our Lord two thousand twelve, and

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of the Independence of the United States of America the two hundred and thirty-
seventh.
BARACK OBAMA