I 

113TH CONGRESS 

1ST SESSION H. R. 2139 

To make certain luggage and travel articles eligible for duty-free treatment 

under the Generalized System of Preferences, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

MAY 23, 2013 

Mr. CRENSHAW (for himself and Mr. SMITH of Nebraska) introduced the 

following bill; which was referred to the Committee on Ways and Means 

A BILL 

To make certain luggage and travel articles eligible for dutyfree treatment under the Generalized System of Preferences, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘GSP Update for Pro5 duction Diversification and Trade Enhancement Act’’ or 

6 ‘‘GSP UPDATE Act’’. 

7 SEC. 2. FINDINGS. 

8 Congress makes the following findings: 

9 (1) The Generalized System of Preferences 

10 under title V of the Trade Act of 1974 (19 U.S.C. 


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1 2461 et seq.) was enacted to promote economic de2 velopment in developing and least-developed coun3 tries. 

4 (2) Many articles referred to as luggage or 

5 travel articles and classified under chapter 42 of the 

6 Harmonized Tariff Schedule of the United States 

7 may not be designated as eligible articles for pur8 poses of the Generalized System of Preferences. 

9 (3) Global trade and manufacturing dynamics 

10 have changed since the enactment of the Generalized 

11 System of Preferences in 1974, and many luggage 

12 and travel articles may no longer be import-sensitive 

13 to industries in the United States. 

14 (4) By removing certain luggage and travel ar15 ticles from the list of articles excluded from eligi16 bility under the Generalized System of Preferences, 

17 Congress is not changing rates in the Harmonized 

18 Tariff Schedule of the United States, but instead is 

19 allowing those articles access to the annual review 

20 process under the Generalized System of Pref21 erences, which relies on investigations and rec22 ommendations from the independent United States 

23 International Trade Commission, among other agen24 cies of the United States Government. 


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1 (5) As of February 2012, 73 of the 132 coun2 tries designated as beneficiary developing countries 

3 under the Generalized System of Preferences export 

4 articles classified under heading 4202 of the Har5 monized Tariff Schedule of the United States to the 

6 United States. Twenty of those countries have been 

7 designated as least-developed beneficiary developing 

8 countries for purposes of the Generalized System of 

9 Preferences. 

10 (6) As of February 2012, the People’s Republic 

11 of China has a nearly 80 percent share of the mar12 ket for certain luggage and travel articles being im13 ported into the United States. This dominance 

14 leaves little room for competition from smaller devel15 oping countries. For example, countries designated 

16 as beneficiary developing countries under the Gener17 alized System of Preferences account for only 5 per18 cent of imports of those articles into the United 

19 States. 

20 (7) The provision of duty-free treatment under 

21 the Generalized System of Preferences for certain 

22 luggage and travel articles imported into the United 

23 States may result in a shift in the production of 

24 those articles from China to countries designated as 

25 beneficiary developing countries or least-developed 


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1 beneficiary developing countries under the General2 ized System of Preferences. 

3 SEC. 3. ELIGIBILITY OF CERTAIN LUGGAGE AND TRAVEL 

4 ARTICLES FOR DUTY-FREE TREATMENT 

5 UNDER THE GENERALIZED SYSTEM OF PREF6 ERENCES. 

7 Section 503(b)(1) of the Trade Act of 1974 (19 

8 U.S.C. 2463(b)(1)) is amended— 

9 (1) in subparagraph (A), by striking ‘‘para10 graph (4)’’ and inserting ‘‘paragraphs (4) and (5)’’; 

11 (2) in subparagraph (E), by striking ‘‘Foot12 wear’’ and inserting ‘‘Except as provided in para13 graph (5), footwear’’; and 

14 (3) by adding at the end the following: 

15 ‘‘(5) CERTAIN LUGGAGE AND TRAVEL ARTI16 CLES.—Notwithstanding subparagraph (A) or (E) of 

17 paragraph (1), the President may designate the fol18 lowing as eligible articles under subsection (a): 

19 ‘‘(A) Articles classifiable under subheading 

20 4202.11.00, 4202.12.40, 4202.21.60, 

21 4202.21.90, 4202.22.15, 4202.22.45, 

22 4202.31.60, 4202.32.40, 4202.32.80, 

23 4202.92.15, 4202.92.20, 4202.92.45, or 

24 4202.99.90 of the Harmonized Tariff Schedule 

25 of the United States. 


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1 ‘‘(B) Articles classifiable under statistical 

2 reporting number 4202.12.2020, 4202.12.2050, 

3 4202.12.8030, 4202.12.8070, 4202.22.8050, 

4 4202.32.9550, 4202.32.9560, 4202.91.0030, 

5 4202.91.0090, 4202.92.3020, 4202.92.3031, 

6 4202.92.3091, 4202.92.9026, or 4202.92.9060 

7 of the Harmonized Tariff Schedule of the 

8 United States.’’. 

Æ 


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