I

104TH CONGRESS

1ST SESSION H. R. 1452

To amend the Harmonized Tariff Schedule of the United States to clarify

that certain footwear assembled in beneficiary countries is excluded from

duty-free treatment, and for other purposes.

IN THE HOUSE OF REPRESENTATIVES

APRIL 6, 1995

Mr. ROSE (for himself, Mr. CLAY, Mr. LIPINSKI, Mrs. MINK of Hawaii, Mr.

PICKETT, Mr. RAHALL, Mr. SANDERS, Mr. QUILLEN, and Mr. EMERSON)

introduced the following bill; which was referred to the Committee on

Ways and Means

A BILL

To amend the Harmonized Tariff Schedule of the United

States to clarify that certain footwear assembled in beneficiary countries is excluded from duty-free treatment,

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. TREATMENT OF CERTAIN FOOTWEAR.

4 (a) IN GENERAL.—U.S. Note 2 to subchapter II of

5 chapter 98 of the Harmonized Tariff Schedule of the

6 United States is amended—
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1 (1) in paragraph (a) by striking ‘‘paragraph

2 (b)’’ and inserting ‘‘paragraphs (b) and (c)’’;

3 (2) in paragraph (b)—

4 (A) by inserting ‘‘or footwear not accorded

5 duty-free treatment under paragraph (c),’’ after

6 ‘‘apparel article’’, and

7 (B) by striking the last sentence, and

8 (3) by adding at the end the following new

9 paragraph:

10 ‘‘(c)(i) An article of footwear provided for in any of

11 subheadings 6115.93.20, 6402.91.40, 6402.99.18,

12 6404.11.20 through 6404.19.90, and 6405.20.90, may not

13 be treated as a foreign article, or as subject to duty, if—

14 ‘‘(A) the requirements of paragraph (b) (i) and

15 (ii) are complied with respect to the article;

16 ‘‘(B) the article is produced by an existing foot17 wear manufacturer; and

18 ‘‘(C) the article is entered during any calendar

19 year after 1994 before the aggregate quantity of

20 footwear produced by that manufacturer and entered

21 during the calendar year exceeds the annual duty22 free footwear amount for that manufacturer.

23 ‘‘(ii) For purposes of this paragraph:

24 ‘‘(A) The term ‘annual duty-free footwear

25 amount’ for an existing footwear manufacturer
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1 means, in the case of articles of footwear provided

2 for in a subheading classification listed in clause (i),

3 an amount equal to the average monthly quantity of

4 footwear provided for under such classification that

5 was exported to the United States during calendar

6 year 1994, by all existing manufacturing facilities of

7 such manufacturer, multiplied by 12.

8 ‘‘(B) The term ‘existing footwear manufacturer’

9 means a person that was operating at least 1 exist10 ing manufacturing facility on December 31, 1994.

11 ‘‘(C) The term ‘existing manufacturing facility’

12 means a footwear manufacturing facility that was

13 operating in a beneficiary country on December 31,

14 1994.

15 ‘‘(iii) The United States International Trade Com16 mission shall—

17 ‘‘(A) identify each existing footwear manufac18 turer; and

19 ‘‘(B) determine the annual duty-free footwear

20 amount for each applicable footwear subheading

21 classification for each such manufacturer,

22 and provide such identification and determination to the

23 Secretary of the Treasury.
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1 ‘‘(iv) The Secretary of the Treasury shall by regula2 tion specify such relevant entry information as may be re3 quired for purposes of implementing this paragraph.

4 ‘‘(d) For purposes of paragraphs (b) and (c), the

5 term ‘beneficiary country’ means a country listed in gen6 eral note 7(a).’’.

7 (b) EFFECTIVE DATE.—The amendments made by

8 this section apply to goods entered on or after the 15th

9 day after the date of the enactment of this Act.

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