FOR IMMEDIATE RELEASE, Contact: (202) 225-1721
October 18, 1999
No. TR-17
Congressman Philip M. Crane (R-IL), Chairman, Subcommittee on Trade of the Committee on Ways and Means, today announced that the Subcommittee is requesting written public comments for the record from all parties interested in H.R. 3066, a bill to amend the Uruguay Round Agreements Act with respect to the rules-of-origin for certain textile and apparel products.
BACKGROUND:
Section 334 of the Uruguay Round Agreements Act (URAA) (P.L. 103-465), the so-called "Breaux-Cardin" amendment, directed the U.S. Department of the Treasury to prescribe new regulations for determining the country-of-origin of textile and apparel products. In the new regulations, Treasury provided that certain fabrics, silk handkerchiefs and scarves are considered to originate where the base fabric is knit and woven, notwithstanding any further processing.
H.R. 3066, introduced at the Administration's request by Rep. Benjamin L. Cardin (D-MD) on October 13, 1999, would revert the rule-of-origin for these products to the rule that existed prior to enactment of URAA. The original rule permitted the processes of dyeing and printing to confer origin when accompanied by two or more finishing operations.
In May 1997, the European Union (EU) requested consultations in the World Trade Organization with the United States, charging that the changes to the rules of origin made by URAA violate United States obligations under a number of agreements: the Agreement on Textiles and Clothing, the Agreement on Rules of Origin, the Agreement on Technical Barriers to Trade, and the General Agreement on Tariffs and Trade. A number of countries requested third-party participation in the dispute. A "process-verbal" was concluded between the two countries in July 1997, which was later amended. Formal consultations were held in January 1999.
In August 1999, the United States and the EU agreed to settle the dispute. A second "process-verbal" concluded between the two countries obligates the U.S. Administration to submit legislation which, as described above, amends the rule-of-origin requirements in section 334 of the URAA in order to allow dyeing, printing, and two or more finishing operations to confer origin on certain fabrics and goods. In particular, this dyeing and printing rule would apply to fabrics classified under the Harmonized Tariff Schedule (HTS) as silk, cotton, man-made, and vegetable fibers. It would also apply to the various products classified in 18 specific subheadings of the HTS listed in the bill, except for goods made from cotton, wool, or fiber blends containing 16 percent or more of cotton. H.R 3066 is intended to implement part of the agreement between the United States and the European Union.
As an additional element of the settlement, the United States agreed to a special Customs administrative procedure that allows European textile exporters to ship multiple shipments of these products with a single visa accompanying the initial shipment.
DETAILS FOR SUBMISSION OF WRITTEN COMMENTS:
Any person or organization wishing to submit a written statement for the printed record should submit six (6) single-spaced copies of their statement, along with an IBM compatible 3.5-inch diskette in WordPerfect 5.1 format, with their name, address, and comments date noted on label, by the close of business, Monday, November 1, 1999, to A.L. Singleton, Chief of Staff, Committee on Ways and Means, U.S. House of Representatives, 1102 Longworth House Office Building, Washington, D.C. 20515.
FORMATTING REQUIREMENTS:
Each statement presented for printing to the Committee by a witness, any written statement or exhibit submitted for the printed record or any written comments in response to a request for written comments must conform to the guidelines listed below. Any statement or exhibit not in compliance with these guidelines will not be printed, but will be maintained in the Committee files for review and use by the Committee.
1. All statements and any accompanying exhibits for printing must be submitted on an IBM compatible 3.5-inch diskette in WordPerfect 5.1 format, typed in single space and may not exceed a total of 10 pages including attachments. Witnesses are advised that the Committee will rely on electronic submissions for printing the official hearing record.
2. Copies of whole documents submitted as exhibit material will not be accepted for printing. Instead, exhibit material should be referenced and quoted or paraphrased. All exhibit material not meeting these specifications will be maintained in the Committee files for review and use by the Committee.
3. A witness appearing at a public hearing, or submitting a statement for the record of a public hearing, or submitting written comments in response to a published request for comments by the Committee, must include on his statement or submission a list of all clients, persons, or organizations on whose behalf the witness appears.
4. A supplemental sheet must accompany each statement listing the name, company, address, telephone and fax numbers where the witness or the designated representative may be reached. This supplemental sheet will not be included in the printed record.
The above restrictions and limitations apply only to material being submitted for printing. Statements and exhibits or supplementary material submitted solely for distribution to the Members, the press, and the public during the course of a public hearing may be submitted in other forms.