Proclamation 6515—To Modify the Harmonized Tariff Schedule of the United States, To Extend Tariff Reductions on Certain Tropical Products, To Reduce Duties on Peach, Apricot, Raspberry, or Cherry Jams, and for Other Purposes

1. Section 1205(a) of the Omnibus Trade and Competitiveness Act of 1988 ("1988 Act") (a)) directs the United States International Trade Commission ("Commission") to keep the Harmonized Tariff Schedule of the United States ("HTS") under continuous review and periodically to recommend to the President such modifications to the HTS as the Commission considers necessary or appropriate. Section 1205(a) sets forth five categories of such potential modifications to the HTS, including changes to conform the HTS with amendments made to the International Convention on the Harmonized Commodity Description and Coding System ("Convention"), to promote the uniform application of the Convention and its Annex, to ensure that the HTS is kept up-to-date in light of changes in technology or in patterns of international trade, to alleviate unnecessary administrative burdens, and to make technical rectifications.

2. Section 1205(d) of the 1988 Act (d)) provides that the Commission may not recommend any modification unless it is consistent with the Convention and that any amendment thereto recommended for adoption is consistent with sound nomenclature principles, ensures substantial rate neutrality, and does not alter existing conditions of competition for the affected United States industry, labor, or trade. Section 1205(d) further provides that any change to a rate of duty must be consequent to, or necessitated by, nomenclature modifications that are recommended under this section.

3. Pursuant to section 1205(b) of the 1988 Act (b)), the Commission instituted Investigations Nos. 1205-1 and 1205-2. The Commission included in its notices of investigation the proposed changes to the HTS. Pursuant to section 1205(c) of the 1988 Act (c)), taking into account the views and submissions of Federal Government agencies and other interested parties, the Commission submitted to the President two reports, one in March 1991 (with a June addendum and revision in May 1992) and the second in November 1991, recommending changes to the HTS in accordance with the provisions of section 1205. The Commission included in its reports copies or summaries of the submissions received in the investigations, together with a statement of the probable economic effect of each recommended change on any industry in the United States.

4. Pursuant to section 1206(a) of the 1988 Act (a)), I have determined that the recommended modifications are in conformity with United States obligations under the Convention and do not run counter to the national economic interest of the United States. The report and lay-over requirements of section 1206(b) of the 1988 Act (b)) have been met.

5. Pursuant to section 1102(a) of the 1988 Act (a)), on December 5, 1988, the United States entered into a trade agreement providing for the reduction of rates of duty applicable to imports of certain tropical products. This trade agreement with other contracting parties to the General Agreement on Tariffs and Trade ("GATT") (61 Stat. (pts. 5 and 6)), as amended, committed the United States to make, on a provisional basis, tariff reductions on enumerated tropical products.

6. Pursuant to section 1102(a) of the 1988 Act, by Proclamation 6030 of September 28, 1989, and specifically Annex II thereto, I proclaimed temporary reductions of existing duties on imports of such enumerated tropical products, to be effective through December 31, 1992.

7. Pursuant to the 1988 Act, I have determined that the modification or continuance of existing duties is required or appropriate to carry out the trade agreement on tropical products. Accordingly, I have decided to extend the effective period of the temporary duty reductions on such enumerated tropical products, as set forth in headings 9903.10.01 through 9903.10.42, inclusive, of the HTS, through December 31, 1993.

8. Pursuant to subtitle B of title I of the 1988 Act -3012), by Proclamation 5911 of November 19, 1988, the United States adopted and implemented the HTS, comprising the Tariff Schedules of the United States ("TSUS") converted into the format of the International Convention on the Harmonized Commodity Description and Coding System ("Harmonized System"). Included in the HTS, effective January 1, 1989, were new provisions covering jams of peaches, apricots, raspberries, or cherries, falling under Harmonized System subheading 2007.99. The Rates of Duty 1-General subcolumn on such products under these new HTS provisions were higher than the corresponding column 1 duty rates under the pertinent former TSUS items, because of procedures generally applied during the tariff conversion and definitional differences between the two nomenclature systems.

9. Section 312 of the Customs and Trade Act of 1990 ("1990 Act") (Public Law 101-382; 104 Stat. 666) temporarily reduced the most-favored-nation (MFN) duty rates (reflected in the column 1 rates of duty) on such imported products to the levels applicable under the former TSUS, effective through December 31, 1992. Section 312(b) of the 1990 Act authorizes the President to proclaim permanent modifications in column 1 rates of duty to restore the tariff treatment applicable under the former TSUS, upon a determination that appropriate trade concessions, including the correction of errors and oversights in foreign tariff schedules, have been obtained.

10. Accordingly, following negotiations, I have determined that appropriate trade concessions (specifically, a restoration by the European Economic Community ("EEC") of the duty rates on inedible mixtures of animal and vegetable fats and oils that applied before the EEC's implementation of a Harmonized System-based tariff in 1988) have been obtained, and that it is necessary and appropriate to restore the tariff treatment applicable under the TSUS to jams of peaches, apricots, raspberries, or cherries, falling under Harmonized System subheading 2007.99.

11. Finally, in order to effect in the HTS certain conforming changes omitted in Proclamation 6282 of April 25, 1991, Proclamation 6343 of September 28, 1991, Proclamation 6446 of June 15, 1992, and Proclamation 6455 of July 2, 1992, I have determined that it is necessary and appropriate to modify the HTS.

12. Section 604 of the Trade Act of 1974 ("Trade Act") authorizes the President to embody in the HTS the substance of the provisions of that Act, and of other Acts affecting import treatment, and actions thereunder, including removal, modification, continuance, or imposition of any rate of duty or other import restriction. Section 1206(c) of the 1988 Act (c)) provides that any modifications proclaimed by the President under section 1206(a) of that Act may not take effect before the 15th day after the date on which the text of the proclamation is published in the Federal Register.

Now, Therefore, I, George Bush, President of the United States of America, acting under the authority vested in me by the Constitution and the laws of the United States of America, including but not limited to sections 1102 and 1206 of the 1988 Act, section 312 of the 1990 Act, and section 604 of the Trade Act, do proclaim that:

(1) The HTS is modified as set forth in Annex I to this proclamation.

(2) In order to provide for the continuation of previously proclaimed staged duty reductions on Canadian goods in the HTS provisions modified in Annex I to this proclamation, effective with respect to goods originating in the territory of Canada that 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 shall be deleted and the rate of duty provided in such Annex inserted in lieu thereof effective with respect to such goods on the dates specified.

(3) In order to provide for the continuation of previously proclaimed duty reductions for goods in the HTS provisions modified in Annex I to this proclamation that are the products of countries designated as beneficiary countries for purposes of the Caribbean Basin Economic Recovery Act, as amended ("CBERA") et seq.), or the Andean Trade Preference Act ("ATPA") et seq.), effective with respect to goods that are the products of countries designated as beneficiary countries for purposes of the CBERA or the ATPA that are entered, or withdrawn from warehouse for consumption, on or after the dates specified in Annex III to this proclamation, the rate of duty in the HTS set forth in the Rates of Duty 1-Special subcolumn followed by the symbol "E,J" in parentheses for each of the HTS subheadings enumerated in such Annex shall be deleted and the rate of duty provided in such Annex inserted in lieu thereof effective with respect to such goods on the dates specified.

(4) The duty reductions set forth in HTS headings 9903.10.01 through 9903.10.42 shall be effective with respect to goods entered, or withdrawn from warehouse for consumption, through December 31, 1993.

(5) Heading 2007 of the HTS is modified as provided in Annex IV to this proclamation.

(6) In order to provide for certain conforming changes omitted in aforementioned proclamations, the HTS is modified as set forth in Annex V to this proclamation.

(7) Any provisions of previous proclamations inconsistent with the provisions of this proclamation are hereby superseded to the extent of such inconsistency.

(8)(a) The modifications made by paragraph (1) of this proclamation shall be effective with respect to articles entered, or withdrawn from warehouse for consumption, on or after January 1, 1993, or on or after the 15th day after the date of publication of this proclamation in the Federal Register, whichever is later.

(b) The modifications made by paragraphs (2), (3), and (6) of this proclamation shall be effective with respect to articles entered, or withdrawn from warehouse for consumption, on or after the dates set forth in Annexes II, III, and V to this proclamation.

(c) The modifications made by paragraphs (4) and (5) of this proclamation shall be effective with respect to articles entered, or withdrawn from warehouse for consumption, on or after January 1, 1993.

In Witness Whereof, I have hereunto set my hand this sixteenth day of December, in the year of our Lord nineteen hundred and ninety-two, and of the Independence of the United States of America the two hundred and seventeenth.

GEORGE BUSH