[Weekly Compilation of Presidential Documents Volume 39, Number 3 (Monday, January 20, 2003)]
[Page 82]
[Online from the Government Publishing Office, www.gpo.gov]

<R04>
Memorandum on Pedestal Actuator Imports From the People's Republic of 
China

January 17, 2003

Memorandum for the United States Trade Representative

Subject: Presidential Determination on Pedestal Actuator Imports from 
the People's Republic of China

    Pursuant to section 421 of the Trade Act of 1974, as amended (19 
U.S.C. 2451), I have determined the action I will take with respect to 
the affirmative determination of the United States International Trade 
Commission (USITC) regarding imports of pedestal actuators from China. 
The USITC, on the basis of its investigation (No. TA-421-1), determined 
that pedestal actuators from China are being imported into the United 
States in such increased quantities or under such conditions as to cause 
market disruption to the domestic producers of like or directly 
competitive products.
    After considering all relevant aspects of the investigation, I have 
determined that providing import relief for the U.S. pedestal actuator 
industry is not in the national economic interest of the United States. 
In particular, I find that the import relief would have an adverse 
impact on the United States economy clearly greater than the benefits of 
such action.
    In determining not to provide import relief, I considered its 
overall costs to the U.S. economy. The facts of this case indicate that 
imposing the USITC's recommended quota would not likely benefit the 
domestic producing industry and instead would cause imports to shift 
from China to other offshore sources.
    Even if the quota were to benefit the primary domestic producer, the 
cost of the quota to consumers, both the downstream purchasing industry 
and users of the downstream products, would substantially outweigh any 
benefit to producers' income. The USITC's analysis confirms this 
conclusion.
    In addition, downstream industries are already under pressure to 
migrate production offshore to compete with lower-cost imports of 
finished products. Higher component costs resulting from import relief 
would add to this pressure. Given the significantly larger number of 
workers in the downstream purchasing industry when compared with the 
domestic pedestal actuator industry, I find that imposing import 
restrictions would do more economic harm than good.
    Finally, a quota would negatively affect the many disabled and 
elderly purchasers of mobility scooters and electric wheelchairs, the 
primary ultimate consumers of pedestal actuators.
    You are authorized and directed to publish this memorandum in the 
Federal Register.
                                                George W. Bush

[Filed with the Office of the Federal Register, 8:45 a.m., January 21, 
2003]

Note: This memorandum will be published in the Federal Register on 
January 22.