[Federal Register: March 4, 2004 (Volume 69, Number 43)]
[Notices]
[Page 10286-10287]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr04mr04-99]
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OFFICE OF THE UNITED STATES TRADE REPRESENTATIVE
[Docket No. WTO/DS-305]
WTO Dispute Settlement Proceeding Regarding Egypt--Measures
Affecting Imports of Textile and Apparel Products
AGENCY: Office of the United States Trade Representative.
ACTION: Notice; request for comments.
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SUMMARY: The Office of the United States Trade Representative (USTR) is
providing notice that on December 23, 2003, in accordance with the
Marrakesh Agreement Establishing the World Trade Organization (WTO
Agreement), the United States requested consultations with Egypt
regarding the import duties that Egypt applies to textile and apparel
products. USTR believes the duties Egypt actually applies (on a ``per
article'' basis) greatly exceed the ad valorem bound rates that Egypt
agreed to apply in the Uruguay Round of WTO negotiations.
USTR invites written comments from the public concerning the issues
raised in this dispute.
DATES: Although USTR will accept any comments received during the
course of the dispute settlement proceedings, comments should be
submitted on or before March 26, 2004, to be assured of timely
consideration by USTR.
ADDRESSES: Submit comments to Sandy McKinzy, Monitoring and Enforcement
Unit, Office of the General Counsel, Room 122, Office of the United
States Trade Representative, 600 17th Street, NW., Washington, DC
20508, Attn: Egypt Textile and Apparel Dispute. Telephone: (202) 395-
3582.
FOR FURTHER INFORMATION CONTACT: Jason Kearns, Assistant General
Counsel, Office of the United States Trade Representative, 600 17th
Street, NW., Washington, DC (202) 395-3582.
SUPPLEMENTARY INFORMATION: Section 127(b) of the Uruguay Round
Agreements Act (URAA) (19 U.S.C. 3537(b)(1) requires that notice and
opportunity for comment be provided after the United States submits or
receives a request for the establishment of a WTO dispute settlement
panel. Consistent with this obligation, but in an effort to provide
additional opportunity for comment, USTR is providing notice that
consultations have been requested pursuant to the WTO Dispute
Settlement Understanding (DSU). If such consultations should fail to
resolve the matter and a dispute settlement panel is established
pursuant to the DSU, such panel, which would hold its meeting in
Geneva, Switzerland, would be expected to issue a report on its
findings and recommendations within six to nine months after it is
established.
Major Issues Raised by the United States
On December 23, 2003, the United States requested consultations
with the Government of Egypt pursuant to Articles 1 and 4 of the DSU,
Article XXII:1 of the General Agreement on Tariffs and Trade 1994 (GATT
1994), and Article 7 of the Agreement on Textiles and Clothing (ATC)
regarding the tariffs applied to textile and apparel products and the
Decree of the President of the Arab Republic of Egypt No. 469 of the
year 2001 (``Decree No. 469'') and any amendments, related regulations
or other implementing measures.
In the Uruguay Round, Egypt agreed to remove a general prohibition
on the importation of apparel and made-up textile products by January
1, 2002. It also agreed to bind its duties under HS Chapters 61
(articles of apparel and clothing, knitted and crocheted) and 62
(articles of apparel and clothing, not knitted or crocheted) at an ad
valorem rate of 46 percent in 2003, 43 percent in 2004 and 40 percent
thereafter. Moreover, it agreed to bind its duties under HS Chapter 63
(other made up
[[Page 10287]]
textile articles; sets; worn clothing) at an ad valorem rate of 41
percent in 2003, 38 percent in 2004, and 35 percent thereafter.
USTR understands that, on December 31, 2001, just before the import
prohibition was set to expire, President Mubarak issued Decree No. 469
amending the customs duties applicable to a number of imported
articles, including articles that enter under HS Chapters 61, 62 and
63. The amended duties were specific (i.e., in Egyptian pounds (L.E.)
per piece of clothing), rather than ad valorem. It appears that the
specific duties applied by Egypt greatly exceed Egypt's bound rates of
duty. Specifically, it appears that the ad valorem equivalent of these
duties range from a low of 141 percent to a high of 51,296 percent--all
well above the bound rates. USTR therefore believes that these tariffs,
Decree No. 469 and any related measures are inconsistent with the
obligations of Egypt under several WTO provisions, including Article II
of the GATT 1994 and Article 7 of the ATC.
Public Comment: Requirements for Submissions
Interested persons are invited to submit written comments
concerning the issues raised in the dispute. Persons submitting
comments may either send one copy by fax to Sandy McKinzy at (202) 395-
3640, or transmit a copy electronically to FR0417@ustr.gov, with
``Egypt Textile Tariffs (DS305)'' in the subject line. For documents
sent by fax, USTR requests that the submitter provide a confirmation
copy to the electronic mail address listed above.
USTR encourages the submission of documents in Adobe PDF format, as
attachments to an electronic mail. Interested persons who make
submissions by electronic mail should not provide separate cover
letters; information that might appear in a cover letter should be
included in the submission itself. Similarly, to the extent possible,
any attachments to the submission should be included in the same file
as the submission itself, and not as separate files.
Comments must be in English. A person requesting that information
contained in a comment submitted by that person be treated as
confidential business information must certify that such information is
business confidential and would not customarily be released to the
public by the commenter. Confidential business information must be
clearly designated as such and ``BUSINESS CONFIDENTIAL'' must be marked
at the top and bottom of the cover page and each succeeding page.
Information or advice contained in a comment submitted, other than
business confidential information, may be determined by USTR to be
confidential in accordance with section 135(g)(2) of the Trade Act of
1974 (19 U.S.C. 2155(g)(2)). If the submitter believes that information
or advice may qualify as such, the submitter--
(1) Must clearly so designate the information or advice;
(2) Must clearly mark the material as ``SUBMITTED IN CONFIDENCE''
at the top and bottom of the cover page and each succeeding page; and
(3) Is encouraged to provide a non-confidential summary of the
information or advice.
Pursuant to section 127(e) of the URAA (19 U.S.C. 3537(e)), USTR
will maintain a file on this dispute settlement proceeding, accessible
to the public, in the USTR Reading Room, which is located at 1724 F
Street, NW., Washington, DC 20508. The public file will include non-
confidential comments received by USTR from the public with respect to
the dispute; if a dispute settlement panel is convened, the U.S.
submissions to that panel, the submissions, or non-confidential
summaries of submissions, to the panel received from other participants
in the dispute, as well as the report of the panel; and, if applicable,
the report of the Appellate Body. An appointment to review the public
file (Docket WTO/DS-305, Egypt Textile and Apparel Dispute) may be made
by calling the USTR Reading Room at (202) 395-6186.
The USTR Reading Room is open to the public from 9:30 a.m. to noon
and 1 p.m. to 4 p.m., Monday through Friday.
Daniel Brinza,
Assistant United States Trade Representative for Monitoring and
Enforcement.
[FR Doc. 04-4804 Filed 3-3-04; 8:45 am]
BILLING CODE 3190-01-M