[Federal Register Volume 77, Number 52 (Friday, March 16, 2012)]
[Notices]
[Pages 15839-15841]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-6349]


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OFFICE OF THE UNITED STATES TRADE REPRESENTATIVE


2011 Generalized System of Preferences (GSP) Product Review: 
Inviting Public Comments on Possible Actions Related to Competitive 
Need Limitations

AGENCY: Office of the United States Trade Representative.

ACTION: Notice and solicitation of comments.

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SUMMARY: The Office of the United States Trade Representative (USTR) 
will accept public comments submitted by April 6, 2012, regarding: (1) 
Potential revocation of competitive need limitations (CNL) waivers; (2) 
possible de minimis CNL waivers; and (3) possible redesignations of 
articles currently not eligible for GSP benefits because they 
previously exceeded the CNL thresholds. Full 2011 calendar year

[[Page 15840]]

import statistics relating to CNLs under the Generalized System of 
Preferences (GSP) program are now available.

FOR FURTHER INFORMATION CONTACT: Tameka Cooper, GSP Program, Office of 
the United States Trade Representative, 600 17th Street NW., Room 422, 
Washington, DC 20508. The telephone number is (202) 395-6971, the fax 
number is (202) 395-9674, and the email address is <a href="/cdn-cgi/l/email-protection#91c5f0fcf4faf0ced2fefee1f4e3d1e4e2e5e3bff4fee1bff6fee7"><span class="__cf_email__" data-cfemail="2f7b4e424a444e706c40405f4a5d6f5a5c5b5d014a405f01484059">[email protected]</span></a>.

DATES: Public comments are due by 5 p.m., Friday, April 6, 2012.

SUPPLEMENTARY INFORMATION:

I. Competitive Need Limitations, De Minimis Waivers, and Redesignations

    The GSP program provides for the duty-free importation of 
designated articles when imported from designated beneficiary 
developing countries (BDCs). The GSP program is authorized by Title V 
of the Trade Act of 1974 (19 U.S.C. 2461, et seq.), as amended (the 
``1974 Act''), and is implemented in accordance with Executive Order 
11888 of November 24, 1975, as modified by subsequent Executive Orders 
and Presidential Proclamations.
    Section 503(c)(2)(A) of the 1974 Act sets out the two CNLs. If the 
President determines that a BDC exported to the United States during a 
calendar year either: (1) A quantity of a GSP-eligible article having a 
value in excess of the applicable amount for that year ($150 million 
for 2011), or (2) a quantity of a GSP-eligible article having a value 
equal to or greater than 50 percent of the value of total U.S. imports 
of the article from all countries (the ``50 percent'' CNL), the 
President must terminate GSP duty-free treatment for that article from 
that BDC by no later than July 1 of the next calendar year.
    De minimis waivers: Under section 503(c)(2)(F) of the 1974 Act, the 
President may waive the 50 percent CNL with respect to an eligible 
article imported from a BDC, if the value of total imports of that 
article from all countries during the calendar year did not exceed the 
applicable de minimis amount for that year ($20.5 million for 2011).
    Redesignations: Under section 503(c)(2)(C) of the 1974 Act, if 
imports of an eligible article from a BDC ceased to receive duty-free 
treatment due to exceeding a CNL in a prior year, the President may, 
subject to the considerations set forth in sections 501 and 502 of the 
1974 Act, redesignate such an article for duty-free treatment if 
imports of that article from that country did not exceed the CNLs in 
the most recently completed calendar year.
    CNL waiver revocation: Under Section 503(d)(5) of the 1974 Act, a 
CNL waiver remains in effect until the President determines that it is 
no longer warranted due to changed circumstances. Section 
503(d)(4)(B)(ii) of the 1974 Act, as amended by Public Law 109-432, 
also provides that, ``[n]ot later than July 1 of each year, the 
President should revoke any waiver that has then been in effect with 
respect to an article for 5 years or more if the beneficiary developing 
country has exported to the United States (directly or indirectly) 
during the preceding calendar year a quantity of the article--having an 
appraised value in excess of 1.5 times the applicable amount set forth 
in subsection (c)(2)(A)(ii) for that calendar year ($225 million in 
2011); or exceeding 75 percent of the appraised value of the total 
imports of that article into the United States during that calendar 
year.''
    Exclusions from GSP duty-free treatment where CNLs have been 
exceeded will be effective July 1, 2012, unless granted a waiver by the 
President. Any CNL-based exclusions, CNL waiver revocations, and 
decisions with respect to de minimis waivers and redesignations will be 
based on full 2011 calendar year import data.

II. 2011 Import Statistics

    In order to provide notice of articles that have exceeded the CNLs 
for 2011 and to afford an opportunity for comment regarding: (1) The 
potential revocation of waivers subject to the CNL waiver thresholds 
for 2011, (2) potential de minimis waivers, and (3) redesignations. 
Lists of relevant products are posted on the USTR Web site at http://www.ustr.gov/trade-topics/trade-development/preference-programs/generalized-system-preference-gsp/current-review-4 under the title 
``2011 GSP Annual Product Review: Import Statistics Relating to 
Competitive Need Limitations, Potential Revocations, De Minimis 
Waivers, and Product Redesignations.'' These lists can also be found at 
www.regulations.gov in Docket Number USTR-2011-0015. Full 2011 calendar 
year data for individual tariff subheadings may also be viewed on the 
Web site of the U.S. International Trade Commission at http://dataweb.usitc.gov.
    The lists available on the USTR Web site contain, for each article, 
the Harmonized Tariff Schedule of the United States (HTSUS) subheading 
and BDC country of origin, the value of imports of the article for the 
2011 calendar year, and the percentage of total imports of that article 
from all countries accounted for by imports from the relevant BDC.
    The computer-generated lists published on the USTR Web site are for 
informational purposes only. They may not include all articles to which 
the GSP CNLs may apply. Each interested party is advised to conduct its 
own review of 2011 import data with respect to the possible application 
of the GSP CNL provisions.
    List I on the USTR Web site shows GSP-eligible articles from BDCs 
that exceeded a CNL by having been exported in excess of $150 million, 
or in a quantity equal to or greater than 50 percent of the total U.S. 
import value, in 2011. These products will be removed from eligibility 
for GSP for the subject countries on July 1, 2012, unless the President 
grants a waiver for the product for the subject country in response to 
a petition filed by an interested party. Such petitions for CNL waivers 
must have been submitted earlier in the 2011 GSP Annual Review. (See 76 
FR 67531 and 77 FR 10034.) The last column in List I shows those 
products for which petitions have been accepted and are now under 
review.
    List II identifies GSP-eligible articles from BDCs that are above 
the 50 percent CNL, but that are eligible for a de minimis waiver of 
the 50 percent CNL. Articles eligible for de minimis waivers are 
automatically considered in the GSP annual review process, without the 
filing of a petition. List III shows GSP-eligible articles from certain 
BDCs that are currently not receiving GSP duty-free treatment, but that 
may be considered for GSP redesignation based on 2011 trade data and 
consideration of certain statutory factors, as described above. List IV 
shows articles subject to CNL waiver revocation based on the provisions 
of Section 503(d)(4)(B)(ii) of the 1974 Act, as amended by Public Law 
109-432.
    Recommendations to the President on de minimis waivers, 
redesignations, and revocation of waivers will be made as part of the 
2011 GSP annual review process, and public comments (including comments 
in support of or in opposition to granting de minimis waivers, 
redesignations, and revocation of CNL waivers) are invited in 
accordance with the Requirements for Submissions below.

III. Public Comments

Requirements for Submissions

    Written comments submitted in response to this notice must be 
submitted electronically by 5 p.m., Friday, April 6, 2012 using 
www.regulations.gov, docket number

[[Page 15841]]

USTR-2011-0015. Instructions for submitting business confidential 
versions are provided below. Hand-delivered submissions will not be 
accepted. Submissions must be submitted in English to the Chairman of 
the GSP Subcommittee, Trade Policy Staff Committee, by the deadline set 
forth in this notice.
    All submissions for the GSP Annual Review must conform to the GSP 
regulations set forth at 15 CFR part 2007, except as modified below. 
These regulations are available on the USTR Web site at http://www.ustr.gov/trade-topics/trade-development/preference-programs/generalized-system-preference-gsp/gsp-program-inf. Any person or party 
making a submission is strongly advised to review the GSP regulations 
as well as the GSP Guidebook, which is available at the same link.
    To make a submission using www.regulations.gov, enter docket number 
USTR-2011-0015 in the ``Search'' field on the home page and click 
``Search.'' The site will provide a search-results page listing all 
documents associated with this docket. Locate the reference to this 
notice by selecting ``Notice'' under ``Document Type'' in the section 
on the left hand side of the search-results page, and click on the link 
entitled ``Submit a Comment'' on the right-hand side of the page under 
the heading ``Actions.'' The www.regulations.gov Web site offers the 
option of providing comments by filling in a ``Type Comment'' field or 
by attaching a document using the ``Upload file(s)'' field. Given the 
detailed nature of the information sought by the GSP Subcommittee, it 
is preferred that submissions be provided in an attached document. When 
attaching a document, type (1) 2011 GSP Annual Product Review; (2) the 
product description and related HTS tariff number; (3) ``See attached'' 
in the ``Type Comment'' field on the online submission form, and 
indicate on the attachment that the document is, ``Written Comments''
    Submissions should not exceed 30 single-spaced, standard letter-
size pages in 12-point type, including attachments. Any data 
attachments to the submission should be included in the same file as 
the submission itself, and not as separate files.
    Each submitter will receive a submission tracking number upon 
completion of the submissions procedure at www.regulations.gov. The 
tracking number will be the submitter's confirmation that the 
submission was received into www.regulations.gov. The confirmation 
should be kept for the submitter's records. USTR is not able to provide 
technical assistance for the web site. Documents not submitted in 
accordance with these instructions may not be considered in this 
review. If unable to provide submissions as requested, please contact 
the GSP Program at USTR to arrange for an alternative method of 
transmission.

Business Confidential Submissions

    A person seeking to request that information contained in a 
submission from that person be treated as business confidential 
information must certify that such information is business confidential 
and would not customarily be released to the public by the submitter. 
Confidential business information must be clearly designated as such. 
The submission must be marked ``BUSINESS CONFIDENTIAL'' at the top and 
bottom of the cover page and each succeeding page, and the submission 
should indicate, via brackets, the specific information that is 
confidential. Additionally, ``Business Confidential'' must be included 
in the ``Type Comment'' field.
    A person submitting public and business confidential submissions 
must submit each of them separately in the appropriate docket at 
www.regulations.gov: One submission containing the clearly-marked 
business confidential information, and a separate submission containing 
the public version of the submission, indicating where confidential 
information has been redacted.
    Public versions of all documents relating to the 2011 Annual Review 
will be made available for public viewing in docket USTR-2011-0015 at 
www.regulations.gov upon completion of processing and no later than one 
week after the due date.

William Jackson,
Deputy Assistant U.S. Trade Representative for the Generalized System 
of Preferences, Office of the U.S. Trade Representative.
[FR Doc. 2012-6349 Filed 3-15-12; 8:45 am]
BILLING CODE 3190-W2-P


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