Proclamation 5997—To Amend the Generalized System of Preferences

1. Pursuant to section 504(a)(1) of the Trade Act of 1974 (the 1974 Act) (19 U.S.C. 2464(a)(1)), the President may withdraw, suspend, or limit the application of the duty-free treatment afforded under the Generalized System of Preferences (GSP) with respect to any article or any country upon consideration of the factors set forth in sections 501 and 502(c) of the 1974 Act (19. U.S.C. 2461 and 2462(c)). Pursuant to section 504(c)(5) of the 1974 Act (19 U.S.C. 2464(c)(5)), a country that has not been treated as a beneficiary developing country with respect to an eligible article may be redesignated with respect to such article if imports of such article from such country did not exceed the limitations in section 504(c)(1) of the 1974 Act (19 U.S.C. 2464(c)(1)) (after application of section 504(c)(2) of the 1974 Act (19 U.S.C. 2464(c)(2)) during the preceding calendar year.

2. Pursuant to section 504(a)(1) of the 1974 Act, after taking into account the factors set forth in section 501 of the 1974 Act, I have determined that it is appropriate to withdraw the duty-free treatment afforded under the GSP to imports from all designated beneficiary developing countries of the cigarette leaf tobacco provided for in subheading 2401.20.40 of the Harmonized Tariff Schedule of the United States (HTS). Further, I have determined, pursuant to section 504(c)(5) of the 1974 Act, that a certain country should be redesignated as a beneficiary developing country with respect to a specific previously designated eligible article. This country had been previously excluded from benefits of the GSP with respect to such eligible article pursuant to section 504(c)(1) of the 1974 Act.

3. Section 201(a) of the United States-Canada Free-Trade Agreement Implementation Act of 1988 (the Implementation Act) (Public Law No. 100-449, 102 Stat. 1851) authorizes the President to proclaim such modifications or continuance of existing duties, such continuance of existing duty-free or excise treatment, and such additional duties, as the President determines are necessary or appropriate to carry out Article 401 of the United States-Canada Free-Trade Agreement (including the schedule of duty reductions with respect to goods originating in the territory of Canada set forth in Annexes 401.2 and 401.7).

4. Pursuant to section 201(a) of the Implementation Act, I have determined that it is necessary to provide for the continued staged reduction in duties on certain tobacco for goods originating in the territory of Canada.

5. Section 604 of the 1974 Act (19 U.S.C. 2483) authorizes the President to embody in the HTS the substance of the provisions of that Act, of other acts affecting import treatment, and of actions taken thereunder.

Now, Therefore, I, George Bush, President of the United States of America, acting under the authority vested in me by the Constitution and the statutes of the United States, including but not limited to Title V and section 604 of the 1974 Act, and section 201 of the Implementation Act:

(1) In order to withdraw the duty-free treatment afforded under the GSP to certain cigarette leaf tobacco and in order to reflect that a country should no longer be treated as ineligible for benefits of the GSP with respect to a previously eligible article, the HTS is modified as provided in Annex I to this Proclamation.

(2) In order to provide for the continued staged reductions on Canadian goods in particular HTS subheadings (as established in Annex I to this Proclamation), effective with respect to goods originating in the territory of Canada which are entered, or withdrawn from warehouse for consumption, on or after the dates specified in Annex II to this Proclamation, the rate of duty in the HTS set forth in the Rates of Duty 1-Special subcolumn followed by the symbol "CA" in parentheses for each of the HTS subheadings enumerated in such Annex II shall be deleted and the rate of duty provided in such Annex inserted in lieu thereof.

(3) Any provisions of previous proclamations and Executive orders inconsistent with the provisions of this Proclamation are hereby superseded to the extent of such inconsistency.

(4) The amendments made by Annex I of this Proclamation shall be effective with respect to articles both: (i) imported on or after January 1, 1976, and (ii) entered, or withdrawn from warehouse for consumption, on or after the date that is 2 days after the publication of this Proclamation in the Federal Register.

(5) The amendments made by Annex II of this Proclamation shall be effective with respect to goods originating in the territory of Canada which are entered, or withdrawn from warehouse for consumption, on or after the dates specified in such Annexes.

In Witness Whereof, I have hereunto set my hand this sixth day of July, in the year of our Lord nineteen hundred and eighty-nine, and of the Independence of the United States of America the two hundred and fourteenth.

GEORGE BUSH