[Federal Register Volume 60, Number 103 (Tuesday, May 30, 1995)]
[Notices]
[Pages 28184-28187]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-13282]



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OFFICE OF THE UNITED STATES TRADE REPRESENTATIVE


Generalized System of Preferences (GSP); Announcement of the 
Competitive Need Limits and Per Capita GNP Limits for 1994; 
Announcement of the Countries/Products That Exceeded the Competitive 
Need Limits in 1994

AGENCY: Office of the United States Trade Representative.

ACTION: Notice of the competitive need limits and per capita GNP limits 
for 1994 and notice of the countries/products that will lose GSP 
privileges on July 1, 1995 because they exceeded the competitive need 
limits in 1994.

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SUMMARY: This notice announces the competitive need limits and the per 
capita GNP limits for 1994. It also lists the countries/products that 
will become ineligible for GSP on July 1, 1995 because they exceeded 
the competitive need limits in 1994.

FOR FURTHER INFORMATION CONTACT:
GSP Subcommittee, Office of the United States Trade Representative, 600 
17th Street, NW., Room 518, Washington, DC 20506. The telephone number 
is (202) 395-6971.

SUPPLEMENTARY INFORMATION: 

I. Competitive Need Limits

    Section 504(c) of the Trade Act of 1974 (``1974 Act'') (19 U.S.C. 
2464(c)) provides that any beneficiary developing country that exports 
to the United States during the most recent calendar year a quantity of 
any one GSP [[Page 28185]] eligible article in excess of (1) $25 
million indexed to the nominal growth of U.S. gross national product 
(GNP) since 1974, or (2) 50 percent of the value of total U.S. imports 
of the article, must lose GSP privileges for that article not later 
than July 1 of the next calendar year, unless the President decides to 
use his discretionary authority to grant a waiver. The competitive need 
limit for 1994 is $114,099,912.

II. Reduced Competitive Need Limits

    Section 504(c)(2) of the 1974 Act (19 U.S.C. 2464(c)(2)) provides 
that periodically the President shall conduct a general review of the 
GSP program. The purpose of the general review is to determine whether 
any beneficiary developing country has demonstrated a sufficient degree 
of competitiveness with respect to any eligible article. If a 
beneficiary is found to be sufficiently competitive with respect to an 
article, then the President should apply so-called ``reduced 
competitive need limits.'' The reduced limits are set at 25 percent of 
imports instead of 50 percent and a dollar limit indexed to nominal 
growth of U.S. GNP since 1984, instead of 1974. The reduced competitive 
need limit for 1994 is $44,250,296.

III. De Minimis Limits

    Section 504(d)(2) of the 1974 Act (19 U.S.C. 2464(d)(2)) provides 
that the President may disregard the 50-percent competitive need limit 
with respect to any eligible article if the value of the total imports 
of the article during the most recent calendar year did not exceed $5 
million, adjusted annually to reflect changes in the U.S. GNP. The de 
minimis limit for 1994 is $13,346,358.

IV. Per Capita GNP Limits

    Section 504(f) of the 1974 Act (19 U.S.C. 2464(f)) sets forth per 
capita GNP limits, which are adjusted annually. If, in any calendar 
year, the per capita GNP of a beneficiary developing country exceeds 
the per capita GNP limits, then that country must lose GSP privileges, 
following a two-year phase-out. The per capita GNP limit for 1994 is 
$11,831.

V. The Implementation of the Competitive Need Limits

    The GSP program offers duty-free access to the U.S. market for 
eligible products that are imported from designated beneficiary 
developing countries. Section 504(c) of the 1974 Act (19 U.S.C. 2464(c) 
sets forth competitive need limits, which are adjusted annually (see 
above). If, in any calendar year, exports of an eligible article from a 
beneficiary developing country exceed the competitive need limits, then 
that country must lose GSP privileges for that product on July 1 of the 
next calendar year, unless the President decides to use his 
discretionary authority to grant a competitive need limit waiver or a 
de minimis waiver.
    No annual GSP review process was conducted for 1994, and no 
competitive need limit waivers or de minimis waivers were granted. 
Therefore, all eligible articles from beneficiary countries that 
exceeded the competitive need limits in 1994 will lose GSP on July 1, 
1995. Accordingly, in Proclamation 6804 of May 22, 1995 (60 FR 27657), 
the President removed from the GSP program all eligible articles from 
beneficiary countries that exceeded the competitive need limits in 
1994, effective July 1, 1995.
    Annexes I and II list the countries that will become ineligible for 
GSP privileges for certain eligible articles on July 1, 1995 because 
they exceeded the competitive need limits. While all the countries/
products in annexes I and II exceeded the competitive need limits in 
1994, the countries/products in annex II were low-trade products that 
exceeded the 50-percent competitive need limit, but for which the value 
of total U.S. imports in 1994 were less than the de minimis limit of 
$13,346,358.

                      Annex I: GSP Countries Exceeding the Competitive Need Limits in 1994                      
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     HTSUS                              Partner                                        Description              
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2905.11.20      Trinidad and Tobago...................................  Methanol.                               
2933.29.45      Slovenia..............................................  Nonaromatic drugs.                      
2933.71.00      Russia................................................  6-Hexanelactam.                         
3823.90.40      Malaysia..............................................  Fatty substances.                       
4107.90.60      South Africa..........................................  Leather of anamals.                     
7106.92.00      Chile.................................................  Silver.                                 
7115.90.20      Argentina.............................................  articles of silver.                     
7604.10.50      Russia................................................  Aluminum bars, rods.                    
7605.11.00      Russia................................................  Alluminum wire.                         
7615.10.10      Thailand..............................................  Aluminum cooking ware.                  
8401.10.00      Russia................................................  Nuclear reactors.                       
8419.90.20      Brazil................................................  Parts of machinery.                     
8469.10.80      Indonesia.............................................  Automatic typewriters.                  
8517.82.40      Thailand..............................................  Facsimile machines.                     
8519.99.00      Malaysia..............................................  Sound apparatus.                        
8521.10.90      Malaysia..............................................  Video apparatus.                        
8527.90.90      Philippines...........................................  Reception apparatus.                    
8528.10.11      Malaysia..............................................  Color tv receivers.                     
8528.10.13      Malaysia..............................................  Color tv receivers.                     
9006.53.00      Malaysia..............................................  Cameras.                                
9009.12.00      Thailand..............................................  Photocopy apparatus.                    
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Annex II: GSP Countries Exceeding the 50-Percent Competitive Need Limit in 1994 and Total U.S. Imports Were Less
                                                Than $13,346,358                                                
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     HTSUS                              Partner                                        Description              
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0304.20.50      Argentina.............................................  Hake fillets.                           
0703.10.20      Chile.................................................  Onion sets.                             
0708.10.20      Guatemala.............................................  Peas.                                   
0708.10.40      Guatemala.............................................  Peas.                                   
[[Page 28186]]
                                                                                                                
0709.10.00      Chile.................................................  Artichokes.                             
0709.20.10      Peru..................................................  Asparagus.                              
0710.22.15      Guatemala.............................................  Lima beans.                             
0710.29.05      Turkey................................................  Chickpeas.                              
0710.29.30      Dominican Republic....................................  Pigeon peas.                            
0710.80.50      Dominican Republic....................................  Tomatoes.                               
0710.80.65      Guatemala.............................................  Brussels sprouts.                       
0710.80.93      Guatemala.............................................  Okra.                                   
0711.30.00      Turkey................................................  Capers.                                 
0711.40.00      Sri Lanka (Ceylon)....................................  Cucumbers.                              
0714.10.00      Costa Rica............................................  Cassava.                                
0714.20.00      Dominican Republic....................................  Sweet potatoes.                         
0714.90.10      Costa Rica............................................  Fresh dasheens.                         
0802.50.20      Turkey................................................  Pistachios.                             
0802.50.40      Turkey................................................  Pistachios.                             
0804.50.80      Thailand..............................................  Guavas, mangoes.                        
0811.20.20      Chile.................................................  Raspberries.                            
0811.20.40      Chile.................................................  Blackberries.                           
0811.90.50      Costa Rica............................................  Pineapples.                             
0811.90.55      Guatemala.............................................  Melons.                                 
0813.40.10      Thailand..............................................  Papayas.                                
0813.40.80      Thailand..............................................  Tamarinds.                              
1106.30.20      Ecuador...............................................  Banana flour.                           
1519.11.00      Malaysia..............................................  Stearic acid.                           
1519.12.00      Malaysia..............................................  Oleic acid.                             
1601.00.40      Brazil................................................  Sausages.                               
1604.14.50      Thailand..............................................  Tunas, skipjack.                        
1604.16.30      Morocco...............................................  Anchovies.                              
1604.30.20      Russia................................................  Caviar.                                 
1605.10.05      Thailand..............................................  Crab products.                          
1701.99.05      Colombia..............................................  Cane/beet sugar.                        
1701.99.10      Colimbia..............................................  Cane/beet sugar.                        
1702.90.35      Belize................................................  Invert molasses.                        
1703.90.30      Lebanon...............................................  Molasses.                               
1902.11.40      Thailand..............................................  Uncooked pasta.                         
2005.80.00      Thailand..............................................  Sweet corn.                             
2007.99.40      Thailand..............................................  Pineapple jam.                          
2007.99.48      Argentina.............................................  Apple pastes.                           
2008.19.30      Turkey................................................  Pignolia.                               
2008.50.20      Argentina.............................................  Apricot pulp.                           
2008.99.28      Turkey................................................  Figs.                                   
2008.99.35      Thailand..............................................  Lychees.                                
2106.90.52      Philippines...........................................  Juices.                                 
2202.90.36      Colimbia..............................................  Juice.                                  
2202.90.37      Dominican Republic....................................  Mixed juices.                           
2207.10.30      Ecuador...............................................  Ethyl alcohol.                          
2208.90.10      Trinidad and Tobago...................................  Bitters.                                
2208.90.70      Russia................................................  Vodka.                                  
2309.90.70      Hungary...............................................  Vitamin B12 feed.                       
2401.10.21      Dominican Republic....................................  Wrapper tobacco.                        
2401.10.29      Honduras..............................................  Tobacco.                                
2401.20.45      Indonesia.............................................  Tobacco.                                
2401.20.55      Indonesia.............................................  Tobacco.                                
2516.90.00      South Africa..........................................  Building stone.                         
2804.29.00      Ukraine...............................................  Rare gases.                             
2805.40.00      Russia................................................  Mercury.                                
2825.30.00      South Africa..........................................  Vanadium oxides.                        
2825.70.00      Chile.................................................  Molybdenum oxides.                      
2840.11.00      Turkey................................................  Refined borax.                          
2843.21.00      Chile.................................................  Silver nitrate.                         
2903.14.00      Brazil................................................  Carbon tetrchlrde.                      
2903.23.00      Brazil................................................  Tetrachloro.                            
2907.15.10      Russia................................................  alpha-Naphthol.                         
2910.20.00      Brazil................................................  Methyloxirane.                          
2915.34.00      Venezuela.............................................  Isobutyl aceta.                         
2915.35.00      Venezuela.............................................  2-Ethoxyethyl.                          
2917.14.10      Brazil................................................  Maleic anhydrid.                        
2917.37.00      Romania...............................................  Dimethyl tereph.                        
2933.40.08      Hungary...............................................  4,7-Dichlor.                            
2938.10.00      Brazil................................................  Rutoside.                               
3806.30.00      Argentina.............................................  Ester gums.                             
[[Page 28187]]
                                                                                                                
3920.93.00      India.................................................  Plates, sheets.                         
4006.10.00      Brazil................................................  Rubber.                                 
4104.39.20      Thailand..............................................  Buffalo leather.                        
4106.19.30      Pakistan..............................................  Goat leather.                           
4106.20.60      Pakistan..............................................  Goat leather.                           
4202.22.35      Philippines...........................................  Handbags.                               
4205.00.60      Argentina.............................................  Reptile leather.                        
4412.19.30      Russia................................................  Plywood.                                
4412.19.40      Indonesia.............................................  Plywood.                                
4412.99.40      Indonesia.............................................  Plywood.                                
4421.90.10      Honduras..............................................  Wood dowel pins.                        
4823.90.20      Philippines...........................................  Papier-mache.                           
5209.51.30      India.................................................  Cotton fabrics.                         
5307.20.00      India.................................................  Yarn of jute.                           
5607.30.20      Philippines...........................................  Twine, cordage.                         
5609.00.20      Philippines...........................................  Article of yarn.                        
5702.99.20      India.................................................  Carpets.                                
5703.90.00      India.................................................  Carpets.                                
6501.00.60      Czech Republic........................................  Hat forms.                              
7002.10.20      Malaysia..............................................  Glass in balls.                         
7109.00.00      Chile.................................................  Base metals.                            
7113.20.21      Oman..................................................  Rope necklace.                          
7114.19.00      Chile.................................................  Goldsmith wares.                        
7202.21.10      Macedonia (Skopje)....................................  Ferrosilicon.                           
7319.20.00      Malaysia..............................................  Safety pins.                            
7403.12.00      Peru..................................................  Wire bars.                              
7407.29.15      Chile.................................................  Copper profiles.                        
7603.10.00      Bahrain...............................................  Aluminum powders.                       
7614.90.20      Venezuela.............................................  Electrical cable.                       
7614.90.50      Venezuela.............................................  Stranded wire.                          
8107.90.00      Bulgaria..............................................  Cadmium.                                
8112.11.60      Kazakhstan............................................  Beryllium.                              
8112.91.50      Chile.................................................  Rhenium.                                
8213.00.60      Brazil................................................  Pinking Shears.                         
8402.20.00      Colombia..............................................  Water boilers.                          
8414.90.30      Slovenia..............................................  Stators, rotors.                        
8450.90.40      Brazil................................................  Furniture.                              
8483.50.40      Malaysia..............................................  Awning pulleys.                         
8519.21.00      Malaysia..............................................  Record players.                         
8519.31.00      Malaysia..............................................  Turntables.                             
8528.10.04      Hungary...............................................  TV receivers.                           
8528.10.34      Malaysia..............................................  TV receivers.                           
8802.50.90      Russia................................................  Spacecraft.                             
9018.11.60      Argentina.............................................  Circuit assemblies.                     
9102.29.04      Philippines...........................................  Wrist watchhead.                        
9303.90.80      Russia................................................  Firearms.                               
9401.90.15      Czech Republic........................................  Parts of seats.                         
9506.61.00      Philippines...........................................  Lawn-tennis balls.                      
9606.29.20      Thailand..............................................  Button of resin.                        
9614.20.60      Turkey................................................  Smoking pipes.                          
9614.20.80      Turkey................................................  Smoking pipes.                          
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Frederick L. Montgomery,
Chairman, Trade Policy Staff Committee.
[FR Doc. 95-13282 Filed 5-25-95; 3:44 pm]
BILLING CODE 3901-01-M