WORLD TRADE  
ORGANIZATION  WT/L/796 
2 June 2010 
 (10-3041) 
General Council 
29-30 July 2010 Original:   English 
 
 
 
UNITED STATES – ANDEAN TRADE PREFERENCE ACT 
 
Report of the Government of the United States   
under the Decision of 27 May 20091 
 
  The following communication, dated 31 May 2010, is being circulated at the request of the Delegation of the United States.  
_______________ 
 
 
1. Introduction 
1. On 27 May 2009, the United States was granted a waiver (WT/L/755) from its obligations 
under paragraph 1 of Article I and paragraphs 1 and 2 of Article XI II of the GATT 1994 to the extent 
necessary to permit the United States Government to provide duty-free treatment to eligible products 
of beneficiary Andean countries as authorized by  the provisions of Andean Trade Preference Act 
(ATPA) as amended by the Andean Trade Promoti on and Drug Eradication Act (ATPDEA), without 
being required to extend the same duty-free treatmen t to like products of any other Member.  This 
waiver expires on 31 December 2014. 
2. Under the terms of this waiver, the United States is required to  submit to the General Council 
an annual report on the implementation of the trade- related provisions of the ATPA as amended with 
a view to facilitating the annual review provided for in paragraph 4 of Article IX of the WTO 
Agreement.  This report covers calendar year 2009. 
2. Duty-free Treatment under the ATPA 
3. Section 202 ATPA authorizes the President of the United States to provide duty-free or other 
preferential treatment to products from four A ndean countries - Bolivia, Colombia, Ecuador, and 
Peru.  The ATPDEA amended the ATPA to allow dut y-free treatment for certain products previously 
excluded under the ATPA, including: certain textile a nd apparel articles, footwear, tuna packaged in 
foil or other flexible packages, petroleum and petr oleum derivatives, watches and watch parts, and 
certain leather goods.  The ATPA is curren tly set to expire on 31 December 2010. 
4. Section 203 of the ATPA sets forth criteria for the President to consider when designating a 
country as a beneficiary country under the ATPA.  The President suspended Bolivia’s designation as a 
beneficiary country under the ATPA, effective 15 De cember 2008.  The US Congress later stipulated 
that Bolivia would only be eligible for ATPA/ATP DEA benefits after 30 June  2009 if, by that date, 
the President determined that Bolivia was satisfyi ng the program’s eligibility criteria.  The President 
                                                     
 
1 WT/L/755. WT/L/796 
Page 2  
 
  did not make such a determination, and therefore no ATPA/ATPDEA benefits remained in effect for 
Bolivia after 30 June 2009
. 
3. ATPA Performance 
5. The main goal of the ATPA is to promote br oad-based economic growth and development in 
the Andean countries.  Specifically, the program aims  to develop sustainable economic alternatives to 
coca cultivation and cocaine production by offeri ng Andean products broader access to the US 
market.  The ATPA continues to contribute to th ese efforts.  US imports afforded duty-free entry 
under the ATPA increased by value about 350 per cent from 2001 (the last full year of the original 
ATPA program) to 2003 (the first full year the A TPA was expanded by the ATPDEA).  US imports 
under the ATPA grew in value by 295 percent be tween 2003 and 2008, before declining 44 per cent 
between 2008 and 2009.  A significant portion of the variation in the value of goods imported under 
the ATPA can be attributed to the ATPDEA’s incl usion of petroleum products, which varied in price 
and were affected by the recent economic slowdown.   Total U.S. imports from the ATPA countries by 
value rose by 298 per cent from 2001 to 2008 before declining about 34 per cent between 2008 and 
2009. 
6. Among the 20 leading imports for consumpti on under ATPA in 2009, petroleum products 
claimed preferences totalling $7.4 billion, followed  by cut flowers with a value of $602 million.  
Apparel accounted for about $356 million in imports under th e program, copper cathodes for 
$218 million, fresh vegetables for $162 million and certain tuna products for $43 million. 
7. While Colombia remains the principal bene ficiary of the ATPA program, Ecuador has 
overtaken Peru as the second largest beneficiary count ry.  This reflects Ecuador’s greater exports of 
petroleum products to the United States under the A TPDEA and Peru’s declining utilization of ATPA 
benefits due to the entry into force of the Un ited States-Peru Trade Promotion Agreement in 2009. 
8. Statistical annexes are provided to present a detailed description of the trade aspects of the 
ATPA program from 2001 to 2009. 
_______________ 
 
 
Table 1 provides summary information on US imports for consumption under ATPA from 2001 to 
2009.  Table 2  provides information on leading US imports under ATPA preferences, by product, from 2007 
to 2009. 
 
Table 3  provides information on US trade with ATPA countries from 2001 to 2009. 
   
 
   
   WT/L/796
 Page 3TABLE 1 
US Imports for Consumption under the ATPA Provisions, by Sources, 2001-20092 
 
Source 2001 2002 2003 2004 2005 2006 2007 2008 2009 
 Value (1,000 dollars) 
Colombia 717,966 404,148 2,908,692 3,888,888 4,653,248 4,791,187 4,527,659 7,339,233 5,589,485 
Ecuador 216,300 177,734 1,553,604 2,747,335 4,370,654 5,325,193 4,613,792 6,594,774 2,748,446 
Peru 686,341 381,814 1,279,283 1,602,673 2,282,661 3,201,851 3,017,244 3,168,702 1,376,312 
Bolivia 53,999 37,119 94,453 120,363 157,386 166,216 148,148 139,966 0 
 Total 1,674,607 1,000,816 5,836,032 8,359,258 11,463,949 13,484,448 12,306,843 17,242,675 9,714,243 
 Per cent of total  
Colombia 42.87 40.38 49.84 46.52 40.59 35.53 36.79 42.56 57.54 
Ecuador 12.92 17.76 26.62 32.87 38.13 39.49 37.49 38.25 28.29 
Peru 40.99 38.15 21.92 19.17 19.91 23.74 24.52 18.38 14.17 
Bolivia 3.22 3.71 1.62 1.44 1.37 1.23 1.20 0.81 0.00 
   Total 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 
Note:  Because of rounding, figures may not add to totals given. 
Source :  Compiled from official statistics of the US International Trade Commission. 
 
 
 
                                                      
2 Bolivia was suspended as an ATPA be neficiary effective 15 December 2008. WT/L/796 
Page 4  
 
   
TABLE 2  
Leading US Imports for Consumption under ATPA Provisions, 2007-2009  
 
HTS 
number Description 2007 2008 2009 Change 
2008-
2009 
  Value (millions of 
dollars) Per cent 
2709.00.10 Petroleum oils and oils from bituminous minerals, crude, 
testing under 25 degrees A.P.I. 5,840 10,128 6,036 -40.4 
2709.00.20 Petroleum oils and oils from bituminous minerals, crude, 
testing 25 degrees A.P.I. or more 1,645 2,079 921 -55.7 
0603.11.00 Sweetheart, spray and other roses, fresh cut 327 310 305 -1.7 
2710.19.05 Distillate and residual fuel oil (including blends) derived 
from petroleum or oils from bituminous minerals, testing 
under 25 degrees A.P.I. 409 629 245 -61.1 
7403.11.00 Refined copper cathodes and sections of cathodes 989 844 218 -74.1 
0603.19.00 Fresh cut, Anthuriums,  Alstroemeria, Gypsophilia, Lilies, 
Snapdragons and flowers, nesoi 188 193 188 -2.5 
6110.20.20 Sweaters, pullovers and si milar articles, knitted or crocheted, 
of cotton, nesoi 297 240 127 -47.2 
2710.11.25 Naphthas (exc. motor fuel/mtr fuel blend. stock) fr petroleum 
oils & bitumin minerals (o/than crude) or preps 70%+ by wt. 
fr petroleum oils 294 377 127 -66.4 
6109.10.00 T-shirts, singlets, tank tops and similar garments, knitted or 
crocheted, of cotton 155 162 95 -41.4 
6105.10.00 Men's or boys' shirts, knitted or crocheted, of cotton 165 176 85 -51.5 
0603.14.00 Chrysanthemums, fresh cut 65 67 75 12.5 
6203.42.40 Men's or boys' trousers and shorts, not bibs, not knitted or 
crocheted, of cotton, not containing 15% or more by weight of down, etc 99 86 49 -43.2 
0709.20.90 Asparagus, nesoi, fresh or chilled 159 145 46 -68.5 
1604.14.30 Tunas and skipjack, not in oil, in airtight containers, n/o 7 
kg, not of U.S. possessions, over quota 68 70 43 -38.1 
0603.12.70 Other Carnations, fresh cut 42 38 34 -10.3 
2710.11.45 Light oil mixt. of hydrocarbons fr petro oils & bitumin 
(o/than crude) or prep 70%+ wt. fr petro oils, nesoi, n/o 50% 
any single hydrocarbon (
3) 36 32 -12.6 
0804.50.40 Guavas, mangoes, and mangosteens, fresh, if entered during 
the period September 1 through May 31, inclusive 30 33 31 -3.8 
2005.99.80 Artichokes, prepared or preserved otherwise than by vinegar 
or acetic acid, not frozen 39 46 31 -33.6 
0806.10.60 Grapes, fresh, if entered during the period July 1 through the 
following February 14, inclusive 18 24 27 12.5 
0710.80.97 Vegetables nesoi, uncooked or cooked by steaming or 
boiling in water, frozen, reduced in size 35 36 27 -24.1 
 Total of above 10,866 15,720 8,742 -44.4 
 All other 1,441 1,523 972 -36.2 
  Total 12,307 17,243 9,714 -43.7 
Note:  Because of rounding, figures may not add to totals given.  The abbreviation "nesoi" stands for "not 
elsewhere specified or otherwise included." 
Source :  Compiled from official statistics of the US International Trade Commission.  
 
                                                      
3 Less than $500,000.  WT/L/796 
 Page 5 
 
 
   
TABLE 3 
US Trade with ATPA Countries, 2001-20094 
 
Year US Exports5 Share of US 
Exports to the 
World US Imports6 Share of US 
Imports from 
the World US Trade 
Balance 
 Million dollars Per cent  Million dollars Per cent  Million dollars 
2001 6,363.3 1.0 9,568.7 0.8 -3,205.3 
2002 6,463.8 1.0 9,611.5 0.8 -3,147.7 
2003 6,525.7 1.0 11,639.5 0.9 -5,113.8 
2004 7,663.6 1.1 15,489.8 1.1 -7,826.2 2005 8,919.1 1.1 20,060.1 1.2 -11,141.0 
2006 11,636.5 1.3 22,510.6 1.2 -10,874.1 
2007 14,620.5 1.4 20,922.9 1.1 -6,302.4 2008 19,762.7 1.7 28,483.0 1.4 -8,720.3 
2009 17,074.9 1.8 21,193.9 1.4 -4,119.0 
Source :  Compiled from official statistics of the US International Trade Commission. 
 
 
__________  
                                                      
4 Includes imports from all ATPA countries for all y ears, including Bolivia.  Bolivia was not eligible 
for ATPA preferences as of 15 December 2008. 
5 Domestic exports, F.A.S. basis. 
6 Imports for consumption, customs value.