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Presidential Proclamation Implements Certain GSP Changes, Etc. Effective July 1, 2007 (Part I - GSP, AGOA)

On June 28, 2007, President Bush issued Proclamation 8157 to modify duty-free treatment under the Generalized System of Preferences, designate Mauritania as an African Growth and Opportunity Act (AGOA) beneficiary country1, and make technical changes to the Harmonized Tariff Schedule.

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This is Part I of a multi-part series of summaries on Proclamation 8157 and its annexes, and focuses on the GSP changes and the addition of Mauritania as an AGOA beneficiary country. See future issues of ITT for details on the technical changes made by the proclamation.

GSP Changes Take Effect July 1, 2007

According to Annex I, the GSP changes are effective for subject articles entered or withdrawn from warehouse for consumption on or after July 1, 2007.

(See ITT's Online Archives or 03/02/07 and 03/06/07 news, 07030205 and 07030605, for BP summaries of USTR lists of country/tariff number pairs that may lose/regain GSP benefits effective July 1, 2007.)

The changes to the HTS made by Annex I of the Proclamation are as follows:

16 Country/Tariff Number Pairs Gain GSP

The following country/tariff number pairs are being deleted from HTS General Note 4(d) effective for such articles entered or withdrawn from warehouse for consumption on or after July 1, 2007, and as a result they become GSP eligible on that date:

0603.19.00 Colombia2611.00.60 Bolivia
0708.20.10 Peru2805.40.00 Peru
0712.90.30 Peru2928.00.10 Colombia
0714.20.10 Colombia3201.90.50 Peru
2004.10.40 Peru4107.99.60 Colombia
2008.19.25 Peru6501.00.60 Colombia

27 Country/Tariff Number Pairs Lose GSP

The following country/tariff number pairs are added in numerical sequence to HTS General Note 4(d) effective for subject articles entered or withdrawn from warehouse for consumption on or after July 1, 2007, and as a result these pairs lost their GSP benefits on that date:

0802.90.94 Cote d'Ivoire*4104.41.50 Brazil7408.11.60 Brazil
1602.50.09 Argentina4418.60.00 Brazil7408.19.00 Turkey
2008.99.80 Brazil4418.72.20 Brazil8502.31.00 India
2810.00.00 Turkey4418.79.00 Brazil8528.71.10 India
2841.90.20 Kazakhstan4418.90.46 Brazil8528.72.64 Thailand
2905.11.20 Venezuela*7113.19.50 India*8528.72.80 India
2926.90.30 India7113.19.50 Thailand*8544.30.00 Philippines*
3907.60.00 Thailand7202.99.10 Brazil*8708.30.50 Brazil*
4012.12.80 Jordan7403.11.00 Kazakhstan9405.50.30 India*

(Those marked with an '*' were on an initial USTR list (including HTS 7113.19.50 gold jewelry from India, imports of which were over $1.6 billion in 2006) of products at risk of having their competitive needs limitations (CNL) waivers revoked due to new CNL rules. See ITT's Online Archives or 12/22/06 news, 06122205, for BP summary.)

Conforming amendments are also made by Annex I to the "Rates of Duty-Special" subcolumn by either deleting the symbol "A" and inserting "A*" or by deleting the symbol "A*" and inserting "A."

Mauritania Designated as AGOA, "Lesser Developed" AGOA Beneficiary Country

Inthe text ofProclamation 8157 the President designates Mauritania as an AGOA beneficiary country with respect to articles entered or withdrawn from warehouse for consumption on or after July 1, 2007. The President has also determined that Mauritania is a lesser developed AGOA beneficiary country.

(In order to reflect this designation in the HTS, General Note 16(a) is modified by adding the "Islamic Republic of Mauritania" to the list of AGOA beneficiary countries.)

1Note that the proclamation uses the term "beneficiary sub-Saharan African country(ies)" while this ITT notice uses the term AGOA beneficiary country(ies).

Proclamation 8157, including Annexes I-VI (FR Pub 07/02/07) available at http://a257.g.akamaitech.net/7/257/2422/02jan20071800/edocket.access.gpo.gov/2007/pdf/07-3225.pdf

BP Notes

Annex II of the proclamation lists the country/tariff number pairs for which the CNLs provided for in section 503(c)(2)(A)(i)(II) are disregarded.

Annex III of the proclamation lists the country/tariff number pairs for which the application of section 503(c)2)(A) is waived.

Annex IV of the proclamation lists the country/tariff number pairs for which the waiver of the application of section 503(c)(2)(A) is revoked due to the new CNL rules.