[Weekly Compilation of Presidential Documents Volume 34, Number 49 (Monday, December 7, 1998)]
[Pages 2418-2420]
[Online from the Government Publishing Office, www.gpo.gov]

<R04>
Proclamation 7154--To Terminate Temporary Duties on Imports of Broom 
Corn Brooms

December 3, 1998

By the President of the United States

of America

A Proclamation

    1. On July 2, 1996, the United States International Trade Commission 
(``USITC'') made an affirmative determination in its investigation under 
section 202 of the Trade Act of 1974, as amended (``Trade Act'') (19 
U.S.C. 2252), with respect to imports of broom corn brooms provided for 
in heading 9603 of the Harmonized Tariff Schedule of the United States 
(``HTS''). Under section 202 of the Trade Act, the USITC determined that 
such brooms were being imported into the United States in such increased 
quantities as to be a substantial cause of serious injury to the 
domestic industry producing a like or directly competitive article. 
Further, pursuant to section 311(a) of the North American Free Trade 
Agreement Implementation Act (``the NAFTA Implementation Act'') (19 
U.S.C. 3371(a)), the USITC found that imports of such brooms produced in 
Mexico, considered individually, accounted for a substantial share of 
total imports of broom corn brooms and contributed importantly to the 
serious injury caused by imports, but that such brooms produced in 
Canada did not so account or contribute. The USITC's determination and 
its recommendations to address the serious injury were reported to me on 
August 1, 1996.
    2. On November 28, 1996, pursuant to section 203 of the Trade Act 
(19 U.S.C. 2253), I issued Proclamation 6961, which temporarily 
increased or imposed duties on imported brooms (except whisk brooms), 
wholly or in part of broom corn and provided for in HTS subheading 
9603.10.50 and, with respect to imports that exceeded certain specified 
annual levels, HTS subheading 9603.10.60. The increase in, or imposition 
of, duties was made effective for a three-year period for imports from 
all countries, except Canada and Israel and developing countries that 
account for less than three percent of

[[Page 2419]]

the relevant imports over a recent representative period. Pursuant to 
section 203(a)(1)(A) of the Trade Act (19 U.S.C. 2253(a)(1)(A)), I 
determined that this action would facilitate efforts by the domestic 
industry to make a positive adjustment to import competition and would 
provide greater economic and social benefits than costs. On January 27, 
1997, I issued Proclamation 6969, making certain technical corrections 
to the HTS provisions covered by Proclamation 6961.
    3. On May 11, 1998, acting under my delegation of authority, and 
pursuant to section 332(g) of the Tariff Act of 1930 (19 U.S.C. 
1332(g)), the United States Trade Representative asked the USITC to 
provide a report on developments with respect to the domestic broom corn 
broom industry since November 28, 1996, including the progress and 
specific efforts made by workers and firms in the industry to make a 
positive adjustment to import competition. The USITC report in 
Investigation Number 332-394, issued August 10, 1998, has been provided 
to me.
    4. Following issuance of the USITC report, I received advice from 
the Secretary of Commerce and the Secretary of Labor, as well as from 
other interested agencies, regarding the effectiveness of efforts 
undertaken by the domestic broom corn broom industry to make a positive 
adjustment to import competition.
    5. Section 204(b)(1)(A) of the Trade Act (19 U.S.C. 2254(b)(1)(A)) 
authorizes the President to reduce, modify, or terminate a safeguard 
action if, after taking into account any report or advice submitted by 
the USITC and receiving advice from the Secretary of Commerce and the 
Secretary of Labor, the President determines that changed circumstances 
warrant the reduction, modification, or termination. The President's 
determination may be made, inter alia, on the basis that the domestic 
industry has not made adequate efforts to make a positive adjustment to 
import competition. Under section 201(b) of the Trade Act (19 U.S.C. 
2251(b)), a positive adjustment occurs when the domestic industry is 
able to compete successfully with imports after the termination of the 
import relief or when the domestic industry experiences an orderly 
transfer of resources to other productive pursuits, and when dislocated 
workers in the industry experience an orderly transition to productive 
pursuits.
    6. In view of the information provided in the USITC's report, and 
based on advice from the Secretary of Commerce and the Secretary of 
Labor, I find that the broom corn broom industry has not made adequate 
efforts to make a positive adjustment to import competition. 
Accordingly, I have determined pursuant to section 204(b)(1)(A) of the 
Trade Act that termination of the action I took under section 203 of 
that Act with respect to broom corn broom imports is warranted.
    7. Section 604 of the Trade Act (19 U.S.C. 2483), authorizes the 
President to embody in the HTS the substance of the relevant provisions 
of that Act, and other Acts affecting import treatment, and actions 
thereunder, including the removal, modification, continuance, or 
imposition of any rate of duty or other import restriction.
    Now, Therefore, I, William J. Clinton, President of the United 
States of America, acting under the authority vested in me by the 
Constitution and the laws of the United States, including, but not 
limited to, sections 204 and 604 of the Trade Act, do proclaim that:
    (1) The HTS is modified as provided in the Annex to this 
proclamation.
    (2) 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.
    (3) The modifications to the HTS made by this proclamation shall be 
effective with respect to goods entered, or withdrawn from warehouse for 
consumption, on or after the date specified in the Annex hereto.
    In Witness Whereof, I have hereunto set my hand this third day of 
December, in the year of our Lord nineteen hundred and ninety-eight, and 
of the Independence of the United States of America the two hundred and 
twenty-third.
                                            William J. Clinton

[Filed with the Office of the Federal Register, 8:45 a.m., December 7, 
1998]

[[Page 2420]]

Note: This proclamation and the attached annex will be published in the 
Federal Register on December 8.