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###### Committee for the Implementation of Textile Agreements

# AGENCY: 

Committee for the Implementation of Textile Agreements (CITA).

# ACTION: 

Amending the 12-Month Cap on Duty and Quota Free Benefits.

# EFFECTIVE DATE: 

January 22, 2007.

# FOR FURTHER INFORMATION CONTACT: 

Richard Stetson, International Trade Specialist, Office of Textiles and Apparel, U.S. Department of Commerce, (202) 482-3400.

# SUPPLEMENTARY INFORMATION:

Authority: Section 3103 of the Trade Act of 2002; Title VII of the Tax Relief and Health Care Act of 2006 (TRHCA 2006); Presidential Proclamation 7616 of October 31, 2002 (67 FR 67283).Section 3103 of the Trade Act of 2002 amended the Andean Trade Preference Act (ATPA) to provide for duty and quota-free treatment for certain textile and apparel articles imported from designated Andean Trade Promotion and Drug Eradication Act (ATPDEA) beneficiary countries.  Section 204(b)(3)(B)(iii) of the amended ATPA provides duty- and quota-free treatment for certain apparel articles assembled in ATPDEA beneficiary countries from regional fabric and components, subject to quantitative limitation.  More specifically, this provision applies to apparel articles sewn or otherwise assembled in one or more ATPDEA beneficiary countries from fabrics or from fabric components formed or from components knit-to-shape, in one or more ATPDEA beneficiary countries, from yarns wholly formed in the United States or one or more ATPDEA beneficiary countries (including fabrics not formed from yarns, if such fabrics are classifiable under heading 5602 and 5603 of the Harmonized Tariff Schedule (HTS) and are formed in one or more ATPDEA beneficiary countries).  Such apparel articles may also contain certain other eligible fabrics, fabric components, or components knit-to-shape.                        The TRHCA of 2006 extended the expiration of the ATPA to June 30, 2007.  See Section 7002(a) of the TRHCA 2006.  The purpose of the notice is to extend the period of the quantitative limitation for preferential tariff treatment under the regional fabric provision for imports of qualifying apparel articles through June 30, 2007.  See                         **Limitations of Duty- and Quota-Free Imports of Apparel Articles Assembled in Beneficiary ATPDEA Countries from Regional Country Fabric**                        , published in the                         **Federal Register**                         on September 26, 2006. (71 FR 56110).                    For the period beginning on October 1, 2006 and extending through June 30, 2007, the aggregate quantity of imports eligible for preferential treatment under the regional fabric provision is 1,164,288,418 square meters equivalent.  Apparel articles entered in excess of this quantity will be subject to otherwise applicable tariffs.This quantity is calculated using the aggregate square meter equivalents of all apparel articles imported into the United States, derived from the set of Harmonized System lines listed in the Annex to the World Trade Organization Agreement on Textiles and Clothing (ATC), and the conversion factors for units of measure into square meter equivalents used by the United States in implementing the ATC.

R. Matthew Priest,

Chairman, Committee for the Implementation of Textile Agreements.

[FR Doc. 07-219 Filed 1-16-07; 4:24 pm]

BILLING CODE 3510-DS-S