[Weekly Compilation of Presidential Documents Volume 32, Number 42 (Monday, October 21, 1996)]
[Pages 2102-2103]
[Online from the Government Publishing Office, www.gpo.gov]

<R04>
Letter to Congressional Leaders on 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 suspended 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

[[Page 2103]]

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.