[Federal Register Volume 70, Number 195 (Tuesday, October 11, 2005)]
[Notices]
[Pages 59045-59046]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 05-20410]



[[Page 59045]]

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COMMITTEE FOR THE IMPLEMENTATION OF TEXTILE AGREEMENTS


Solicitation of Public Comments on Request for Textile and 
Apparel Safeguard Action on Imports from China

October 5, 2005.
AGENCY: The Committee for the Implementation of Textile Agreements (the 
Committee).

ACTION: Solicitation of public comments concerning a request for 
safeguard action on imports from China of man-made fiber trousers 
(Category 647/648).

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SUMMARY: On September 14, 2005, the Committee received a request from 
the American Manufacturing Trade Action Coalition, the National Council 
of Textile Organizations, the National Textile Association, SEAMS, and 
UNITE HERE requesting that the Committee reapply a limit on imports 
from China of man-made fiber trousers (Category 647/648). They request 
that a textile and apparel safeguard action, as provided for in the 
Report of the Working Party on the Accession of China to the World 
Trade Organization (the Accession Agreement), be reapplied on imports 
of man-made fiber trousers. The current limit on man-made fiber 
trousers expires on December 31, 2005. The Committee hereby solicits 
public comments on this request, in particular with regard to whether 
imports from China of man-made fiber trousers are, due to the threat of 
market disruption, threatening to impede the orderly development of 
trade in this product. Comments must be submitted by November 10, 2005 
to the Chairman, Committee for the Implementation of Textile 
Agreements, Room 3001A, United States Department of Commerce, 14th and 
Constitution Avenue, N.W., Washington, DC 20230.

FOR FURTHER INFORMATION CONTACT: Jay Dowling, Office of Textiles and 
Apparel, U.S. Department of Commerce, (202) 482-4058.

SUPPLEMENTARY INFORMATION:

    Authority: Section 204 of the Agriculture Act of 1956, as 
amended; Executive Order 11651, as amended.

BACKGROUND:

    The Report of the Working Party on the Accession of China to the 
World Trade Organization (WTO) provides that, if a WTO Member, such as 
the United States, believes that imports of Chinese origin textile and 
apparel products are, ``due to market disruption, threatening to impede 
the orderly development of trade in these products'', it may request 
consultations with China with a view to easing or avoiding the 
disruption. Pursuant to this provision, if the United States requests 
consultations with China, it must, at the time of the request, provide 
China with a detailed factual statement showing (1) the existence or 
threat of market disruption; and (2) the role of products of Chinese 
origin in that disruption. Beginning on the date that it receives such 
a request, China must restrict its shipments to the United States to a 
level no greater than 7.5 percent (6 percent for wool product 
categories) above the amount entered during the first 12 months of the 
most recent 14 months preceding the month in which the request was 
made.
    The Committee has published procedures (the Procedures) it follows 
in considering requests for Accession Agreement textile and apparel 
safeguard actions (68 FR 27787, May 21, 2003; 68 FR 49440, August 18, 
2003), including the information that must be included in such requests 
in order for the Committee to consider them.
    On September 14, 2005, the Committee received a request that an 
Accession Agreement textile and apparel safeguard action be reapplied 
on imports from China of man-made fiber trousers (Category 647/648). 
The Committee has determined that this request provides the information 
necessary for the Committee to consider the request in light of the 
considerations set forth in the Procedures. The text of the request is 
available at http://otexa.ita.doc.gov/Safeguard05.htm.
    The Committee is soliciting public comments on this request, in 
particular with regard to whether there is a threat of disruption to 
the U.S. market for man-made fiber trousers and, if so, the role of 
Chinese-origin man-made fiber trousers in that disruption. To this end, 
the Committee seeks relevant information addressing factors such as the 
following, which may be relevant in the particular circumstances of 
this case, involving a product under a quota that will be removed on 
December 31, 2005: (1) Whether man-made fiber trouser imports from 
China are entering, or are expected to enter, the United States at 
prices that are substantially below prices of the like or directly 
competitive U.S. product, and whether those imports are likely to have 
a significant depressing or suppressing effect on domestic prices of 
the like or directly competitive U.S. product, or are likely to 
increase demand for further imports from China; (2) Whether exports of 
Chinese-origin man-made fiber trousers to the United States are likely 
to increase substantially and imminently (due to existing unused 
production capacity, to capacity that can easily be shifted from the 
production of other products to the production of man-made fiber 
trousers, or to an imminent and substantial increase in production 
capacity or investment in production capacity), taking into account the 
availability of other markets to absorb any additional exports; (3) 
Whether Chinese-origin man-made fiber trousers that are presently sold 
in the Chinese market or in third-country markets will be diverted to 
the U.S. market in the imminent future (for example, due to more 
favorable pricing in the U.S. market or to existing or imminent import 
restraints into third country market); (4) The level and the extent of 
any recent change in inventories of man-made fiber trousers in China or 
in U.S. bonded warehouses; (5) Whether conditions of the domestic 
industry of the like or directly competitive product demonstrate that 
market disruption is likely (as may be evident from any anticipated 
factory closures or decline in investment in the production of man-made 
fiber trousers, and whether actual or anticipated imports of Chinese-
origin man-made fiber trousers are likely to affect the development and 
production efforts of the U.S. man-made fiber trouser industry; and (6) 
Whether U.S. managers, retailers, purchasers, importers or other market 
participants have recognized Chinese producers of man-made fiber 
trousers as potential suppliers (for example, through pre-qualification 
procedures or framework agreements).
    Comments may be submitted by any interested person. Comments must 
be received no later than November 10, 2005. Interested persons are 
invited to submit ten copies of such comments to the Chairman, 
Committee for the Implementation of Textile Agreements, Room 3001A, 
U.S. Department of Commerce, 14th and Constitution Avenue N.W., 
Washington, DC 20230.
    If a comment alleges that there is no threat of market disruption 
or that the subject imports are not threatening to cause market 
disruption, the Committee will closely review any supporting 
information and documentation, such as information about domestic 
production or prices of like or directly competitive products. 
Particular consideration will be given to comments representing the 
views of actual producers in the United States of a like or directly 
competitive product.
    The Committee will protect any business confidential information 
that is marked ``business confidential'' from disclosure to the full 
extent permitted

[[Page 59046]]

by law. To the extent that business confidential information is 
provided, two copies of a non-confidential version must also be 
provided in which business confidential information is summarized or, 
if necessary, deleted. Comments received, with the exception of 
information marked ``business confidential'', will be available for 
inspection between Monday - Friday, 8:30 a.m and 5:30 p.m in the Trade 
Reference and Assistance Center Help Desk, Suite 800M, USA Trade 
Information Center, Ronald Reagan Building, 1300 Pennsylvania Avenue, 
NW, Washington, DC, (202) 482-3433.
    The Committee expects to make a determination within 60 calendar 
days of the close of the comment period as to whether the United States 
will request consultations with China. If, however, the Committee is 
unable to make a determination within 60 calendar days, it will cause 
to be published a notice in the Federal Register, including the date by 
which it will make a determination. If the Committee makes a negative 
determination, it will cause this determination and the reasons 
therefore to be published in the Federal Register. If the Committee 
makes an affirmative determination that imports of Chinese origin man-
made fiber trousers are, due to the threat of market disruption, 
threatening to impede the orderly development of trade in these 
products, the United States will request consultations with China with 
a view to easing or avoiding the disruption in accordance with the 
Accession Agreement and the Committee's Procedures.

James C. Leonard III,
Chairman, Committee for the Implementation of Textile Agreements.
[FR Doc. 05-20410 Filed 10-6-05; 1:38 pm]
BILLING CODE 3510-DS-S