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NOTICE: NOTICES

DOCUMENT ACTION: Publishing the 12-Month Cap on Duty Free Benefits under the extension of the ATPA

SUBJECT CATEGORY: Limitations of Duty-Free Imports of Apparel Articles Assembled in Beneficiary ATPDEA Countries from Regional Country Fabric

EFFECTIVE DATES: March 1, 2008.

DOCUMENT SUMMARY: March 4, 2008.

SUMMARY: Limitations of Duty-Free Imports of Apparel Articles Assembled in Beneficiary ATPDEA Countries from Regional Country Fabric,

DOCUMENT BODY 2: March 4, 2008.

SUPPLEMENTAL INFORMATION

Authority: Section 3103 of the Trade Act of 2002, P.L. 107210; Title VII of the Tax Relief and Health Care Act of 2006 (TRHCA 2006), P.L. 109432; H.R. 1830, 110th Cong. (2007) (H.R. 1830); H.R. 5264, 110th Cong. (2008) (H.R. 5264); Presidential Proclamation 7616 of October 31, 2002 (67 FR 67283).

Section 3103 of the Trade Act of 2002 amended the Andean Trade Preference Act (ATPA) to provide for duty and quotafree treatment for certain textile and apparel articles imported from designated Andean Trade Promotion and Drug Eradication Act (ATPDEA) beneficiary countries. Section 204(b)(3)(B)(iii) of the amended ATPA provides duty and quotafree treatment for certain apparel articles assembled in ATPDEA beneficiary countries from regional fabric and components. More specifically, this provision applies to apparel articles sewn or otherwise assembled in one or more ATPDEA beneficiary countries from fabrics or from fabric components formed or from components knitto shape, in one or more ATPDEA beneficiary countries, from yarns wholly formed in the United States or one or more ATPDEA beneficiary countries (including fabrics not formed from yarns, if such fabrics are classifiable under heading 5602 and 5603 of the Harmonized Tariff Schedule (HTS) and are formed in one or more ATPDEA beneficiary countries). Such apparel articles may also contain certain other eligible fabrics, fabric components, or components knittoshape.

The TRHCA of 2006 extended the expiration of the ATPA to June 30, 2007. See section 7002(a) of the TRHCA 2006. H.R. 1830 further extended the expiration of the ATPA to February 29, 2008. See section 1 of H.R. 1830. H.R 5264 further extended the expiration of the ATPA to December 31, 2008. See section 2 of H.R. 5264.

For the period beginning on October 1, 2007, and extending through September 30, 2008, preferential tariff treatment is limited under the regional fabric provision to imports of qualifying apparel articles in an amount not to exceed 5 percent of the aggregate square meter equivalents of all apparel articles imported into the United States in the preceding 12month period for which data are available. For the purpose of this notice, the 12month period for which data are available is the 12month period that ended July 31, 2007. In Presidential Proclamation 7616, (published in the Federal Register on November 5, 2002, 67 FR 67283), the President directed CITA to publish in the Federal Register the aggregate quantity of imports allowed during each period.

For the period beginning on October 1, 2007, and extending through September 30, 2008, the aggregate quantity of imports eligible for preferential treatment under the regional fabric provision is 1,247,713,244 square meters equivalent. Apparel articles entered in excess of this quantity will be subject to otherwise applicable tariffs. For the period after September 30, 2008, CITA will publish a Federal Register Notice establishing a new 12month cap on dutyfree benefits.

This quantity is calculated using the aggregate square meter equivalents of all apparel articles imported into the United States, derived from the set of Harmonized System lines listed in the Annex to the World Trade Organization
[[Page 12395]]
Agreement on Textiles and Clothing (ATC), and the conversion factors for units of measure into square meter equivalents used by the United States in implementing the ATC.
R. Matthew Priest,
Chairman, Committee for the Implementation of Textile Agreements. [FR Doc. 08989 Filed 3508; 1:02 pm]
BILLING CODE 3510DS

FOR FURTHER INFORMATION CONTACT Richard Stetson, International Trade Specialist, Office of Textiles and Apparel, U.S. Department of Commerce, (202) 4823400.