The U.S. International Trade Commission (ITC) has launched a factfinding investigation concerning U.S. economic sanctions that were automatically imposed on India and Pakistan last year when the two countries detonated nuclear explosive devices.

The investigation, Overview and Analysis of the Economic Impact of U.S. Sanctions With Respect to India and Pakistan, was requested by the U.S. House of Representatives' Committee on Ways and Means.

In its request letter, the Committee noted that last year, the President imposed economic sanctions on India and Pakistan under section 102 of the Arms Export Control Act ("Glenn Amendment"). Because the Glenn Amendment does not provide Presidential waiver authority, U.S. economic sanctions were imposed automatically once the President determined that the two countries had detonated nuclear explosive devices.

The letter further noted that in July, Congress passed section 902 of the India-Pakistan Relief Act of 1998, which authorized the President to waive the application of U.S. sanctions to India and Pakistan, and that on December 1, 1998, the President waived the sanctions after determining that the waiver would increase the likelihood of progress toward U.S. nuclear non-proliferation objectives. The President's waiver authority ends on October 21, 1999. The Committee requested the ITC investigation in anticipation of congressional action during 1999 on sanctions reform legislation and consideration of possible renewal of section 902 of the India-Pakistan Relief Act.

As requested, the ITC, an independent, nonpartisan, factfinding federal agency, will provide the following information in its report:

• an identification of U.S. industries, including U.S. agricultural commodities, that were affected by economic sanctions on India and Pakistan and the impact on each industry;

• an analysis, to the extent data are available, of the economic impact of U.S. sanctions on U.S. exports, U.S. imports, jobs, consumers, and investment in the affected industries;

• an assessment of the likely economic impact on the United States if U.S. economic sanctions against India and Pakistan are reimposed, including the U.S. products and sectors which would be significantly affected, the availability of alternative foreign suppliers for leading U.S. exports, and the likely impact of U.S. sanctions on the reputation of the United States as a reliable supplier of food, technology, other products, and on U.S. competitiveness in the affected industries;

• an assessment of the impact of the reimposition of U.S. economic sanctions against India and Pakistan on U.S. agriculture, including the likelihood of retaliation, the specific commodities most likely to be affected, potential alternative foreign suppliers, the likely impact on the incomes of U.S. agricultural producers, and the likely impact on the U.S. reputation as a reliable supplier of agricultural commodities;

• an analysis of the likely impact of unilateral U.S. economic sanctions on the Indian and Pakistani economies; and

• a summary of the instances where U.S. sanctions have affected humanitarian activities as well as the activities of multinational institutions in India and Pakistan.

The ITC will hold a public hearing in connection with this investigation. The hearing will be held on [NOTE CORRECTED DATE] June 22 (and 23 if necessary), 1999, at 9:30 a.m. at the ITC Building, 500 E Street, SW, Washington, DC. Requests to appear at the public hearing should be filed no later than 5:15 p.m. on June 8, 1999, with the Secretary, U.S. International Trade Commission, 500 E Street, SW, Washington, DC 20436. For hearing-related information, contact the Office of the Secretary at 202-205-1806.

The ITC also welcomes written submissions for the record in this investigation. Written statements (one original and 14 copies) should be submitted at the earliest practical date but no later than 5:15 p.m. on July 6, 1999. All written submissions, except for confidential business information, will be available for public inspection. Written submissions should be addressed to the Secretary, U.S. International Trade Commission, 500 E Street SW, Washington, D.C. 20436.

Further information on the scope of the investigation and appropriate submissions is available in the ITC's notice of investigation, dated April 19, 1999, which may be obtained from the ITC Internet server (www.usitc.gov) or by contacting the Office of the Secretary at the above address or at 202-205-1806.