19 U.S.C. § 2111 — Basic authority for trade agreements

Page 477 TITLE 19—CUSTOMS DUTIES § 2111 SUBCHAPTER I—NEGOTIATING AND OTHER AUTHORITY PART 1—RATES OF DUTY AND OTHER TRADE BARRIERS § 2111. Basic authority for trade agreements (a) Presidential authority to enter into agree- ment; modification or continuance of exist- ing duties Whenever the President determines that any existing duties or other import restrictions of any foreign country or the United States are un- duly burdening and restricting the foreign trade of the United States and that the purposes of this chapter will be promoted thereby, the President— (1) during the 5-year period beginning on January 3, 1975, may enter into trade agree- ments with foreign countries or instrumental- ities thereof; and (2) may proclaim such modification or con- tinuance of any existing duty, such continu- ance of existing duty-free or excise treatment, or such additional duties, as he determines to be required or appropriate to carry out any such trade agreement. (b) Limitation on authority to decrease duty (1) Except as provided in paragraph (2), no proclamation pursuant to subsection (a)(2) shall be made decreasing a rate of duty to a rate below 40 percent of the rate existing on January 1, 1975. (2) Paragraph (1) shall not apply in the case of any article for which the rate of duty existing on January 1, 1975, is not more than 5 percent ad valorem. (c) Limitation on authority to increase duty No proclamation shall be made pursuant to subsection (a)(2) increasing any rate of duty to, or imposing a rate above, the higher of the fol- lowing: (1) the rate which is 50 percent above the rate set forth in rate column numbered 2 of the Tariff Schedules of the United States as in effect on January 1, 1975, or (2) the rate which is 20 percent ad valorem above the rate existing on January 1, 1975. (Pub. L. 93–618, title I, § 101, Jan. 3, 1975, 88 Stat. 1982.) Editorial Notes REFERENCES IN TEXT This chapter, referred to in subsec. (a), was in the original ‘‘this Act’’, meaning Pub. L. 93–618, Jan. 3, 1975, 88 Stat. 1978, which is classified principally to this chapter. For complete classification of this Act to the Code, see References in Text note set out under section 2101 of this title and Tables. The Tariff Schedules of the United States, referred to in subsec. (c)(1), to be treated as a reference to the Har- monized Tariff Schedule pursuant to section 3012 of this title. The Harmonized Tariff Schedule is not set out in the Code. See Publication of Harmonized Tariff Sched- ule note set out under section 1202 of this title. Statutory Notes and Related Subsidiaries REORGANIZING AND RESTRUCTURING OF INTERNATIONAL TRADE FUNCTIONS OF UNITED STATES GOVERNMENT Pub. L. 96–39, title XI, § 1109, July 26, 1979, 93 Stat. 314, provided that the President submit to the Congress, not later than July 10, 1979, a proposal to restructure the international trade functions of the Executive Branch of the United States Government, and directed, in order to ensure that the 96th Congress takes final ac- tion on a comprehensive reorganization of trade func- tions as soon as possible, that the appropriate com- mittee of each House of the Congress give the proposal by the President immediate consideration and make its best efforts to take final committee action to reorga- nize and restructure the international trade functions of the United States Government by Nov. 10, 1979. STUDY OF EXPORT TRADE POLICY Pub. L. 96–39, title XI, § 1110, July 26, 1979, 93 Stat. 314, directed the President to review all export promotion functions of the executive branch and potential pro- grammatic and regulatory disincentives to exports, and to submit to the Congress a report of that review not later than July 15, 1980, and not later than July 15, 1980, to submit to the Congress a study of the factors bear- ing on the competitive posture of United States pro- ducers and the policies and programs required to strengthen the relative competitive position of the United States in world markets. Executive Documents CHANGE OF NAME The Office of the Special Representative for Trade Negotiations was redesignated the Office of the United States Trade Representative, and Special Representa- tive for Trade Negotiations was redesignated the United States Trade Representative by Reorg. Plan No. 3 of 1979, § 1(a), (b)(1), 44 F.R. 69273, 93 Stat. 1381, eff. Jan. 2, 1980, as provided by section 1–107(a) of Ex. Ord. No. 12188, Jan. 2, 1980, 45 F.R. 993, set out as notes under section 2171 of this title. See, also, section 2171 of this title as amended by Pub. L. 97–456. PROC. NO. 4707. CARRYING OUT THE GENEVA (1979) PRO- TOCOL TO THE GENERAL AGREEMENT ON TARIFFS AND TRADE AND FOR OTHER PURPOSES Proc. No. 4707, Dec. 11, 1979, 44 F.R. 72348, as amended by Ex. Ord. No. 12204, Mar. 27, 1980, 45 F.R. 20740; Proc. No. 4792, Sept. 15, 1980, 45 F.R. 61589; Proc. No. 4889, Dec. 29, 1981, 47 F.R. 1; Proc. No. 4904, Feb. 27, 1982, 47 F.R. 8753; Ex. Ord. No. 12354, Mar. 30, 1982, 47 F.R. 13477; Ex. Ord. No. 12371, July 12, 1982, 47 F.R. 30449; Ex. Ord. No. 12389, Oct. 25, 1982, 47 F.R. 47529; Ex. Ord. No. 12413, Mar. 30, 1983, 48 F.R. 13921; Proc. No. 5050, Apr. 15, 1983, 48 F.R. 16639; Ex. Ord. No. 12459, Jan. 16, 1984, 49 F.R. 2089; Ex. Ord. No. 12471, Mar. 30, 1984, 49 F.R. 13101; Ex. Ord. No. 12519, June 13, 1985, 50 F.R. 25037; Proc. No. 5365, Aug. 30, 1985, 50 F.R. 36220; Proc. No. 5452, Mar. 31, 1986, 51 F.R. 11539, provided: 1. Pursuant to Section 101(a) of the Trade Act of 1974 (19 U.S.C. 2111(a)), I determined that certain existing duties and other import restrictions of the United States and of foreign countries were unduly burdening and restricting the foreign trade of the United States and that one or more of the purposes stated in Section 2 of the Trade Act of 1974 (19 U.S.C. 2102) would be pro- moted by entering into the trade agreements identified in the third and fourth recitals of this proclamation. 2. Sections 131, 132, 133, 134, 135, and 161(b) of the Trade Act of 1974 (19 U.S.C. 2151, 2152, 2153, 2154, 2155, and 2211(b)) and Section 4(c) of Executive Order No. 11846 of March 27, 1975, (3 CFR 1971–1975 Comp. 974) [set out below], have been complied with. 3. Pursuant to Section 101(a)(1) of the Trade Act of 1974 (19 U.S.C. 2111(a)(1)), I, through my duly empow- ered representative, (1) on July 11, 1979, entered into a trade agreement with other contracting parties to the General Agreement on Tariffs and Trade (61 Stat. (pts. 5 and 6)), as amended (the General Agreement), with countries seeking to accede to the General Agreement, and the European Economic Community, which agree- ment consists of the Geneva (1979) Protocol to the Gen- eral Agreement, including a schedule of United States Page 478 TITLE 19—CUSTOMS DUTIES § 2111 concessions annexed thereto (hereinafter referred to as ‘‘Schedule XX (Geneva-1979)’’), a copy of which Geneva (1979) Protocol (including Schedule XX (Geneva-1979) annexed thereto) is annexed to this proclamation as Part 1 of Annex I [set out below], (2) on November 18, 1978, entered into a trade agreement with the Hun- garian People’s Republic, including a schedule of United States concessions annexed thereto, a copy of which agreement, and schedule, is annexed to this proc- lamation as Part 2 of Annex I [set out below], (3) on Oc- tober 31, 1979, entered into a trade agreement with the United Mexican States, which agreement consists of an exchange of letters, one enclosing a schedule of United States concessions, a copy of which exchange of letters, including such enclosed schedule, is annexed to this proclamation as Part 3 of Annex I [set out below], and (4) on March 2, 1979, entered into a trade agreement with the Socialist Republic of Romania, which agree- ment consists of an exchange of letters, one enclosing a schedule of United States concessions, a copy of which exchange of letters, including such enclosed schedule, is annexed to this proclamation as Part 4 of Annex I [set out below], and on October 24, 1979, the American Institute in Taiwan entered into a trade agreement with the Coordination Council for North American Affairs (see the Taiwan Relations Act, Sec- tions 4(b)(1), 6(a)(1), and 10(a), 93 Stat. 15, 17, and 18 [22 U.S.C. 3303(b)(1), 3305(a)(1), and 3309(a)], E.O. 12143, sec- tions 1–203 and 1–204, 44 Fed. Reg. 37191) [former 22 U.S.C. 3301 note], which agreement consists of an ex- change of letters, one enclosing a schedule of the United States concessions, a copy of which exchange of letters, including such enclosed schedule, is annexed to this proclamation as Part 5 of Annex I [set out below]. 4. Pursuant to Section 102 of the Trade Act of 1974 (19 U.S.C. 2112), I have determined that barriers to (and other distortions of) international trade were unduly burdening and restricting the foreign trade of the United States, and, through the Special Representative for Trade Negotiations [now United States Trade Rep- resentative, see Change of Name note above] (the Spe- cial Representative [now Trade Representative]), I have consulted with the appropriate Committees of the Con- gress, notified the House of Representatives and the Senate of my intention to enter into the agreements identified in Section 2(c) of the Trade Agreements Act of 1979 (93 Stat. 148) [19 U.S.C. 2503(c)], transmitted to the Congress copies of such agreements (a copy of one of which agreements, with the Hungarian People’s Re- public, is annexed to this proclamation as Part 6 of Annex I [set out below]), together with a draft of an im- plementing bill and a statement of administrative ac- tion, and such implementing bill, approving the agree- ments and the proposed administrative action, has been enacted into law (Section 2(a) of the Trade Agreements Act of 1979 (93 Stat. 147) [19 U.S.C. 2503(a)]). 5. (a) Pursuant to Section 502 of the Trade Agree- ments Act of 1979 (93 Stat. 251) [Pub. L. 96–39, July 26, 1979], I have determined that appropriate concessions have been received from foreign countries under trade agreements entered into under Title I of the Trade Act of 1974 (19 U.S.C. 2111 et seq.); (b) Pursuant to Section 601(a) of the Trade Agree- ments Act of 1979 (93 Stat. 267), I have determined that duty-free treatment for certain articles now classified in the items of the Tariff Schedules of the United States (19 U.S.C. 1202) (TSUS) [see Publication of Tariff Schedules note under section 1202 of this title] listed in, and certified pursuant to, Section 601(a)(2) of that Act (93 Stat. 267), will provide treatment comparable to that provided by foreign countries under the Agree- ment on Trade in Civil Aircraft; (c) Pursuant to Section 503(a)(2)(A) of the Trade Agreements Act of 1979 (93 Stat. 251), I have deter- mined, after providing interested parties an oppor- tunity to comment, that each article identified in Annex IV to this proclamation [see note below] is not import sensitive; (d) Pursuant to Section 855(a) of the Trade Agree- ments Act of 1979 (93 Stat. 295), I have determined that adequate reciprocal concessions have been received, under trade agreements entered into under the Trade Act of 1974 [this chapter], for the application of the rate of duty appearing in rate column numbered 1 on Janu- ary 1, 1979, for the comparable item on a proof gallon basis in the case of alcoholic beverages classified in all items in subpart D of part 12 of schedule 1 of the TSUS, except items 168.09, 168.12, 168.43, 168.77, 168.81, 168.87, and 168.95 [see Publication of Tariff Schedules note under section 1202 of this title]; (e) Pursuant to Section 2(b)(2)(A) of the Trade Agree- ments Act of 1979 (93 Stat. 147) [19 U.S.C. 2503(b)(2)(A)], I have determined that obligations substantially the same as those applicable to developing countries set forth in the agreements listed in Section 2(c)(1), (2), (3), (4), and (5) of that Act (93 Stat. 148) [19 U.S.C. 2503(c)(1), (2), (3), (4), and (5)] will be observed in Taiwan. 6. Each modification of existing duty proclaimed herein which provides with respect to an article for a decrease in duty below the limitation specified in Sec- tions 101(b)(1) or 109(a) of the Trade Act of 1974 (19 U.S.C. 2111(b)(1) or 2119(a)), and each modification of any other import restriction or tariff provision so pro- claimed is authorized by one or more of the following provisions or statutes: (a) Section 101(b)(2) of the Trade Act of 1974 (19 U.S.C. 2111(b)(2)), by virtue of the fact that the rate of duty existing on January 1, 1975, applicable to the article was not more than 5 percent ad valorem (or ad valorem equivalent); (b) Section 109(b) of the Trade Act of 1974 (19 U.S.C. 2119(b)), by virtue of the fact that I have determined, pursuant to that section, that the decrease authorized by that section will simplify the computation of the amount of duty imposed with respect to the article; (c) Sections 503(a)(2)(A) and 503(a)(3) to (6) of the Trade Agreements Act of 1979 (93 Stat. 251 and 252) [Pub. L. 96–39, July 26, 1979] by virtue of the fact that they permit departures from the staging provisions of Section 109(a) of the Trade Act of 1974 (19 U.S.C. 2119(a)); (d) Sections 502(a), 855(a), and 601(a) of the Trade Agreements Act of 1979 (93 Stat. 251, 295, and 267) by vir- tue of the authority in such sections for specified con- cessions based on reciprocity, but in the case of the last such section only after the conditions for acceptance of the Agreement on Trade in Civil Aircraft, identified in Section 2(c)(10) of that Act (93 Stat. 148) [19 U.S.C. 2503(c)(10)], are fulfilled; (e) Sections 505 through 513, inclusive, of the Trade Agreements Act of 1979 (93 Stat. 252–257) by virtue of the fact that they permit exceeding the limitations specified in Sections 101 or 109 of the Trade Act of 1974 (19 U.S.C. 2111 or 2119); (f) Section 255 of the Trade Expansion Act of 1962 (19 U.S.C. 1885) by virtue of the fact that it permits termi- nation of proclamations issued pursuant to authority contained in that act; (g) Section 2(a) of the Trade Agreements Act of 1979 (93 Stat. 147) [19 U.S.C. 2503(a)] by virtue of its approval of the agreements identified in Section 2(c) of that Act (93 Stat. 148) [19 U.S.C. 2503(c)], and (h) Section 304(a)(3)(J) of the Tariff Act of 1930 (19 U.S.C. 1304(a)(3)(J)) and Section 602(f) of the Trade Act of 1974 (19 U.S.C. 2101 note), by virtue of the fact that I have found that the effectiveness of the proviso to Section 304(a)(3)(J) [19 U.S.C. 1304(a)(3)(J)] with respect to the marking of articles provided for in headnote 2 of part 1 of schedule 2 of the TSUS [see Publication of Tariff Schedules note under section 1202 of this title] is required or appropriate to carry out the first agree- ment identified in the third recital of this proclama- tion. 7. In the case of each decrease in duty, including those of the type specified in clause (a) or (b) of the sixth recital of this proclamation, which involves the determination of the ad valorem equivalent of a spe- cific or compound rate of duty, and in the case of each modification in the form of an import duty, the United States International Trade Commission determined, Page 479 TITLE 19—CUSTOMS DUTIES § 2111 pursuant to Section 601(4) of the Trade Act of 1974 (19 U.S.C. 2481(4)) in accordance with Section 4(e) of Execu- tive Order No. 11846 of March 27, 1975, (3 CFR 1971–1975 Comp. 973) [set out below], and at my direction, the ad valorem equivalent of the specific or compound rate, on the basis of the value of imports of the article con- cerned during a period determined by it to be rep- resentative, utilizing, to the extent practicable, the standards of valuation contained in Sections 402 and 402a of the Tariff Act of 1930 (19 U.S.C. 1401a and 1402) applicable to the article during such representative pe- riod. 8. Pursuant to the Trade Act of 1974 [this chapter] and the Trade Agreements Act of 1979 [see 19 U.S.C. 2501], I determine that the modification or continuance of existing duties or other import restrictions or the continuance of existing duty-free or excise treatment hereinafter proclaimed is required or appropriate to carry out the trade agreements identified in the third recital of this proclamation or one or more of the trade agreements identified in Section 2(c) of the Trade Agreements Act of 1979 (93 Stat. 148) [19 U.S.C. 2503(c)]. 9. Following unsatisfactory negotiations with the Eu- ropean Economic Community under Articles XXIV:6 and XXVIII of the General Agreement regarding the maintenance by the European Economic Community of unreasonable import restrictions upon imports of poul- try from the United States, the President, by Procla- mation 3564 of December 4, 1963 (77 Stat. 1035), sus- pended certain United States tariff concessions; as a re- sult of the reciprocal concessions contained in the Ge- neva (1979) Protocol to the General Agreement, I deter- mine that the termination of such suspension of tariff concessions contained in Proclamation 3564 (except those applicable to automobile trucks valued at $1,000 or more (provided for in TSUS item 692.02) [see Publica- tion of Tariff Schedules note under section 1202 of this title]) is required to carry out the General Agreement. NOW, THEREFORE, I, JIMMY CARTER, President of the United States of America, acting under the author- ity vested in me by the Constitution and the statutes, including but not limited to Title I and Section 604 of the Trade Act of 1974 [this subchapter and 19 U.S.C. 2483], Section 2 [19 U.S.C. 2503], and Titles V, VI, and VIII of the Trade Agreements Act of 1979 [Pub. L. 96–39, July 26, 1979] Section 255 of the Trade Expansion Act of 1962 [19 U.S.C. 1885], and Section 301 of Title 3 of the United States Code, do proclaim that: (1) At the close of December 31, 1979, the suspension of tariff concessions contained in Proclamation 3564 (except those applicable to automobile trucks valued at $1,000 or more (provided for in TSUS item 692.02) [see Publication of Tariff Schedules note under section 1202 of this title]) shall terminate. (2) The amendment to Section 466 of the Tariff Act of 1930 (19 U.S.C. 1466) provided for in Section 601(a)(3) of the Trade Agreements Act of 1979 (93 Stat. 268) shall be effective with respect to entries made under Section 466 on and after the date designated by the President under paragraph 5(b) of this proclamation. (3) The rate of duty applicable to each item as to which the determination has been made in recital 5(d) is the rate of duty appearing in rate column numbered 1 on January 1, 1979, for the comparable item on a proof gallon basis or such rate as reduced under Section 101 of the Trade Act of 1974 (19 U.S.C. 2111). (4) Subject to the provisions of the General Agree- ment, of the Geneva (1979) Protocol, of other agree- ments supplemental to the General Agreement, of the other agreements identified in recitals 3 and 4, and of United States law (including but not limited to provi- sions for more favorable treatment), the modification or continuance of existing duties or other import re- strictions and the continuance of existing duty-free or excise treatment provided for in Schedule XX (Geneva- 1979) (except those provided for in the items listed in Parts 1C, 1D, 2D, 2E, 2K, 3C, 3D, 4C, and 4D of Annex I to Schedule XX which are required to implement the Agreement on Implementation of Article VII of the General Agreement on Tariffs and Trade, and those provided for in Section 1, Chapter 4, Unit C, Note 2 (cheese quotas), and in Section 1, Chapter 10, Unit B, note 2 (chocolate quotas), all of which will be the sub- ject of one or more separate proclamations), in the agreements identified in the third and fourth recitals of this proclamation, and in trade agreements legisla- tion, shall become effective on or after January 1, 1980, as provided for herein. (5) To this end— (a) Except as provided for in subparagraph (b), the modifications to the TSUS made by Annex II, Section A of Annex III, and Sections B(1) through (4) of Annex IV of this proclamation [see note below] shall be effec- tive with respect to articles entered, or withdrawn from warehouse, for consumption on and after the ef- fective dates specified in those annexes; (b) The modifications provided for in Section A of Annex II to this proclamation [see note below] which are authorized by Section 601(a) of the Trade Agree- ments Act of 1979 (93 Stat. 267) shall apply to articles entered, or withdrawn from warehouse, for consump- tion on and after the date designated by the President when he determines that the requirements of Section 2(b) of the Trade Agreements Act of 1979 (93 Stat. 147) [19 U.S.C. 2503(b)] have been met with respect to the Agreement on Trade in Civil Aircraft; (c) The Special Representative [now Trade Represent- ative] shall make any determinations relevant to the designation of the effective dates of the modifications of the TSUS made by Sections B through G of Annex III, and Sections B (5) through (10) of Annex IV of this proclamation, [see note below] and shall publish in the Federal Register the effective date with respect to each of the modifications made by these sections; such modifications shall apply to articles entered, or with- drawn from warehouse, for consumption on and after such effective date; (d) The modifications to the TSUS made by Section C of Annex IV to this proclamation, [see note below] re- lating to special treatment for the least developed de- veloping countries (LDDC’s), shall be effective with re- spect to articles entered, or withdrawn from ware- house, for consumption on and after the effective dates as provided for in Section B of Annex IV [see note below]; whenever the rate of duty specified in the col- umn numbered 1 for any TSUS item is reduced to the same level as the corresponding rate of duty specified in the column entitled ‘‘LDDC’’ for such item, the rate of duty in the column entitled ‘‘LDDC’’ shall be deleted from the TSUS, and when the duty rates for all such items in Annex IV [see note below] have been deleted, the modifications to the TSUS made by Section C of Annex IV to this proclamation [see note below] shall be deleted; (e) Section A of Annex IV [see note below] shall be- come effective on January 1, 1980. IN WITNESS WHEREOF, I have hereunto set my hand this eleventh day of December, in the year of our Lord nineteen hundred and seventy-nine, and of the Independence of the United States of America the two hundred and fourth. JIMMY CARTER. Page 480 TITLE 19—CUSTOMS DUTIES § 2111 ANNEX I Texts of Agreements Identified in the Third and Fourth Recitals of This Proclamation 1 Part 1 Geneva (1979) Protocol to the General Agreement on Tariffs and Trade (Includ- ing Schedules of Concessions) Part 2 Trade Agreement with the People’s Repub- lic of Hungary Entered Into on November 18, 1979 Part 3 Trade Agreement with the United Mexican States Entered Into on October 31, 1979 Part 4 Trade Agreement with the Socialist Repub- lic of Romania Entered Into on March 2, 1979 Part 5 Trade Agreement between the American In- stitute in Taiwan and the Coordination Council for North American Affairs En- tered Into on October 24, 1979 Part 6 Agreement with the Hungarian People’s Re- public Entered Into on June 13, 1979 1 Not printed in the Federal Register. The text of the Geneva (1979) Protocol to the General Agreement in part 1 of Annex I has been printed by the Contracting Parties to the General Agreement on Tariffs and Trade in four volumes entitled Gene- va (1979) Protocol to the General Agreements on Tariffs and Trade. The Agreement with the Hungarian People’s Republic in part 6 of Annex I has been printed in House Document 96–153, vol. 1, p. 703. The general provisions of all the agreements in parts 1 to 6 of Annex I, but not schedules of concessions by other parties, will be printed in the Customs Bulletin. The texts of all these agreements will be printed in Treaties and Other International Acts Series, and in the bound volumes of United States Treaties and Other International Agreements. ANNEXES II TO IV Annexes II to IV of Proclamation 4707, which amend- ed the Tariff Schedules of the United States, are not set out under this section because the Tariff Schedules were not set out in the Code. The Tariff Schedules of the United States were replaced by the Harmonized Tariff Schedule of the United States which is not set out in the Code. See Publication of Harmonized Tariff Schedule note set out under section 1202 of this title. PROC. NO. 4768. CARRYING OUT THE AGREEMENT ON IM- PLEMENTATION OF ARTICLES VII OF THE GENERAL AGREEMENT ON TARIFFS AND TRADE AND FOR OTHER PURPOSE Proc. No. 4768, June 28, 1980, 45 F.R. 45135, as amended by Proc. No. 4792, Sept. 15, 1980, 45 F.R. 61589; Ex. Ord. No. 12311, § 5, June 29, 1981, 46 F.R. 34305; Proc. No. 4904, Feb. 27, 1982, 47 F.R. 8753; Ex. Ord. No. 12354, Mar. 30, 1982, 47 F.R. 13477; Ex. Ord. No. 12413, Mar. 30, 1983, 48 F.R. 13921; Ex. Ord. No. 12471, Mar. 30, 1984, 49 F.R. 13101; Ex. Ord. No. 12519, June 13, 1985, 50 F.R. 25037; Proc. No. 5365, Aug. 30, 1985, 50 F.R. 36220; Proc. No. 5452, Mar. 31, 1986, 51 F.R. 11539, provided: 1. Pursuant to Section 204(a)(2) of the Trade Agree- ments Act of 1979 (93 Stat. 203) [19 U.S.C. 1401a note] in order to implement, beginning on July 1, 1980, the new customs valuation standards as provided in Title II of that Act [Pub. L. 96–39, July 26, 1979, 93 Stat. 194], and for other purposes, I make the following determina- tions, and do proclaim as hereinafter set forth. 2. Section 225 of the Trade Agreements Act of 1979 (93 Stat. 235) [Pub. L. 96–39, July 26, 1979], Sections 131, 132, 133, 134, 135, and 161(b) of the Trade Act of 1974 (19 U.S.C. 2151, 2152, 2153, 2154, 2155, and 2211(b)) and Section 4(c) of Executive Order No. 11846 of March 27, 1975, (3 CFR 1971–1975 Comp 974) [set out below], have been complied with. 3. Pursuant to Section 101(a) of the Trade Act of 1974 (19 U.S.C. 2111(a)) and having made the determinations required by that section with regard to the following trade agreements, I, through my duly empowered rep- resentative, (1) on July 11, 1979, entered into a trade agreement with other contracting parties to the Gen- eral Agreement on Tariffs and Trade (61 Stat. (pts. 5 and 6)), as amended (the General Agreement), with countries seeking to accede to the General Agreement, and the European Communities, which agreement con- sists of the Geneva (1979) Protocol to the General Agreement, including a schedule of United States con- cessions annexed thereto (hereinafter referred to as ‘‘Schedule XX (Geneva–1979)’’), (2) on December 18, 1979, entered into a trade agreement with Switzerland, which agreement consists of an exchange of letters, a copy of which is annexed to this proclamation as Part 2 of Annex I, (3) on December 21 and 27, 1979, and on January 2, 1980, entered into trade agreements with the European Communities, which agreements consists of joint memoranda, copies of which are annexed to this proclamation as Part 3 of Annex I, (4) on January 2, 1980, entered into a trade agreement with the Domini- can Republic, which agreement consists of an exchange of letters, a copy of which is annexed to this proclama- tion as Part 4 of Annex I, and (5) on December 29, 1979, entered into a trade agreement with Indonesia, which agreement consists of a memorandum and an exchange of letters, copies of which are annexed to this procla- mation as Part 5 of Annex I. 4. After having complied with Section 102 of the Trade Act of 1974 (19 U.S.C. 2112), and having made the required determinations, I notified Congress of my in- tention to enter into the Agreement on Implementa- tion of Article VII of the General Agreement on Tariffs and Trade (a copy of which is annexed to this proclama- tion as Part 1 of Annex I); and an implementing bill, approving the agreement and the proposed administra- tive action, has been enacted into law (Section 2(a) of the Trade Agreements Act of 1979 (93 Stat. 147) [19 U.S.C. 2503(a)]). 5. (a) Pursuant to Section 2(b)(3) of the Trade Agree- ments Act of 1979 (93 Stat. 147) [19 U.S.C. 2503(b)(3)], I determine (1) that each major industrial country, as de- fined therein, with the exception of Canada, is accept- ing the Agreement on Implementation of Article VII of the General Agreement on Tariffs and Trade, (2) that the acceptance of this Agreement by Canada is not es- sential to the effective operation of the Agreement, (3) that a significant portion of United States trade will benefit from the Agreement, notwithstanding such non- acceptance, and (4) that it is in the national interest of the United States to accept the Agreement (and have so reported to the Congress); (b) Pursuant to Section 204(a)(2)(A) and (B) of the Trade Agreements Act of 1979 (93 Stat. 203) [19 U.S.C. 1401a note], I determine that the European Commu- nities (including the European Economic Community) have accepted the obligations of the Agreement on Im- plementation of Article VII of the General Agreement on Tariffs and Trade with respect to the United States and each of the member states of the European Com- munities has implemented the Agreement under its laws (effective July 1, 1980); (c) Pursuant to Section 503(a)(1) of the Trade Agree- ments Act of 1979 (93 Stat. 251) [Pub. L. 96–39, July 26, 1979], I determine, after interested parties were pro- vided an opportunity to comment, that the articles classifiable in the following new items of the Tariff Schedules of the United States (TSUS) (19 U.S.C. 1202) [see Publication of Tariff Schedules note set out under section 1202 of this title], added thereto by Annex II to this proclamation, were not imported into the United States before January 1, 1978, and were not produced in the United States before May 1, 1978: [Table of new items deleted] (d) Pursuant to Section 503(a)(2)(A) of the Trade Agreements Act of 1979 (93 Stat. 251), I determine, after providing interested parties an opportunity to com- ment, that each article identified in Annex IV to this proclamation is not import sensitive. 6. Each modification of existing duty proclaimed herein which provides with respect to an article for a decrease in duty below the limitation specified in Sec- tions 101(b)(1) or 109(a) of the Trade Act of 1974 (19 U.S.C. 2111(b)(1) or 2119(a)), and each modification of any other import restriction or tariff provision so pro- claimed is authorized by one or more of the following provisions or statutes: (a) Section 101(b)(2) of the Trade Act of 1974 (19 U.S.C. 2111(b)(2)), by virtue of the fact that the rate Page 481 TITLE 19—CUSTOMS DUTIES § 2111 of duty existing on January 1, 1975, applicable to the article was not more than 5 percent ad valorem (or ad valorem equivalent); (b) Section 109(b) of the Trade Act of 1974 (19 U.S.C. 2119(b)), by virtue of the fact that I have determined, pursuant to that section, that the decrease author- ized by that section will simplify the computation of the amount of duty imposed with respect to the arti- cle; and (c) The Trade Agreements Act of 1979 (93 Stat. 144 et seq.) [see 19 U.S.C. 2501] including, but not limited to, Sections 503(a)(1), (2)(A) and (6) (93 Stat. 251 and 252) [Pub. L. 96–39, July 26, 1979] by virtue of the fact that they permit departures from the staging provi- sions of Section 109(a) of the Trade Act of 1974 (19 U.S.C. 2119(a)). 7. In the case of each decrease in duty, including those of the type specific in clause (a) or (b) of the sixth recital of this proclamation, which involves the deter- mination of the ad valorem equivalent of a specified or compound rate of duty, and in the case of each modi- fication in the form of an import duty, the United States International Trade Commission has deter- mined, pursuant to Section 601(4) of the Trade Act of 1974 (19 U.S.C. 2481(4)), in accordance with Section 4(e) of Executive Order No. 11846 of March 27, 1975 (3 CFR 1971–1975 Comp. 973) [set out below], and at my direc- tion, the ad valorem equivalent of the specific or com- pound rate, on the basis of the value of imports of the article concerned during a period determined by it to be representative, utilizing, to the extent practicable, the standards of valuation contained in Sections 402 and 402a of the Tariff Act of 1930 (19 U.S.C. 1401a and 1402) applicable to the article during such representa- tive period. 8. Pursuant to the Trade Act of 1974 [this chapter] and the Trade Agreements Act of 1979 [see 19 U.S.C. 2501], I determine that each modification or continu- ance of existing duties or other import restrictions and each continuance of existing duty-free or excise treat- ment hereinafter proclaimed is required or appropriate to carry out the trade agreements identified in the third recital of this proclamation or the Agreement on Implementation of Article VII of the General Agree- ment on Tariffs and Trade. NOW, THEREFORE, I, JIMMY CARTER, President of the United States of America, acting under the author- ity vested in me by the Constitution and the statutes, including but not limited to Title I and Section 604 of the Trade Act of 1974 [this subchapter and 19 U.S.C. 2483], Section 2 [19 U.S.C. 2503] and Titles II and V of the Trade Agreements Act of 1979 [Pub. L. 96–39, July 26, 1979], and Section 301 of Title 3 of the United States Code, do proclaim that: (1)(a) The valuation standards amendments made by Title II of the Trade Agreements Act of 1979 (93 Stat. 194 et seq.) to Sections 402 and 402a of the Tariff Act of 1930 (19 U.S.C. 1401a and 4102), and (b) subject to the provisions of the General Agree- ment, of the Geneva (1979) Protocol, of other agree- ments supplemental to the General Agreement, of the other agreements identified in recitals 3 and 4, and of United States Law (including but not limited to provi- sions for more favorable treatment),— (i) the modification or continuance of existing du- ties or other import restrictions, and (ii) the continuance of existing duty-free or excise treatment provided for in these agreements and in trade agreements legislation, shall become effective on or after July 1, 1980, as provided for herein. (2) To this end— (a) The amendments made by Title II of the Trade Agreements Act of 1979 (93 Stat. 194 et seq.), except amendments made by section 223(b) [see Effective Date of 1979 Amendment note set out under section 1401a of this title], shall be effective with respect to articles exported to the United States on and after July 1, 1980; (b) The TSUS is modified as provided in Annexes II, III and IV of the proclamation; (c) The modifications to the TSUS made by Sec- tions A and C of Annex II, and Section A of Annex III, of this proclamation shall be effective with respect to articles exported to the United States on and after the effective dates specified in those annexes; (d) The modifications to the TSUS made by Sec- tions B, D and E of Annex II, Section B of Annex III, and Sections A and B of Annex IV, of this proclama- tion shall be effective with respect to articles en- tered, or withdrawn from warehouse for consumption, on and after the effective dates specified in those an- nexes; (e) The United States Trade Representative shall make the necessary determinations relevant to the designation of the effective dates of the modifications of the TSUS made by Sections F and G of Annex II and Section C of Annex III to this proclamation, and shall publish in the Federal Register the effective date with respect to each of the modifications made by these sections; such modifications shall apply to articles entered, or withdrawn from warehouse for consumption, on and after such effective date; (f) With respect to the modifications to the TSUS made by Annex IV to this proclamation and Annex IV to Presidential Proclamation 4707 of December 11, 1979 [see note above], relating to special treatment for the least developed developing countries (LDDC’s), whenever the rate of duty specified in the column numbered 1 for any TSUS item is reduced to the same level as the corresponding rate of duty spec- ified in the column entitled ‘‘LDDC’’ for such item, or to a lower level, the rate of duty in the column enti- tled ‘‘LDDC’’ shall be deleted from the TSUS; (g) Annexes III and IV of Presidential Proclamation 4707 of December 11, 1979 [see note above], are super- seded to the extent inconsistent with this proclama- tion. IN WITNESS WHEREOF, I have hereunto set my hand this 28th day of June, in the year of our Lord nineteen hundred and eighty, and of the Independence of the United States of America the two hundred and fourth. JIMMY CARTER. ANNEXES I TO IV Annexes I to IV of Proclamation 4768, which amended the Tariff Schedules of the United States, are not set out under this section because the Tariff Schedules were not set out in the Code. The Tariff Schedules of the United States were replaced by the Harmonized Tariff Schedule of the United States which is not set out in the Code. See Publication of Harmonized Tariff Schedule note set out under section 1202 of this title. EX. ORD. NO. 11846. ADMINISTRATION OF TRADE AGREEMENTS PROGRAM Ex. Ord. No. 11846, Mar. 27, 1975, 40 F.R. 14291, as amended by Ex. Ord. No. 11894, Jan. 3, 1976, 41 F.R. 1041; Ex. Ord. No. 11947, Nov. 8, 1976, 41 F.R. 49799; Ex. Ord. No. 12102, Nov. 17, 1978, 43 F.R. 54197; Ex Ord. No. 12163, Sept. 29, 1979, 44 F.R. 56673; Ex. Ord. No. 12188, Jan. 2, 1980, 45 F.R. 989; Ex. Ord. No. 13277, § 4, Nov. 19, 2002, 67 F.R. 70306, provided: By virtue of the authority vested in me by the Trade Act of 1974, hereinafter referred to as the Act (Public Law 93–618, 88 Stat. 1978) [this chapter], the Trade Ex- pansion Act of 1962, as amended (19 U.S.C. 1801), Section 350 of the Tariff Act of 1930, as amended (19 U.S.C. 1351), and Section 301 of Title 3 of the United States Code, and as President of the United States, it is hereby or- dered as follows: SECTION 1. The Trade Agreements Program. The ‘‘trade agreements program’’ includes all activi- ties consisting of, or related to, the negotiation or ad- ministration of international agreements which pri- marily concern trade and which are concluded pursuant to the authority vested in the President by the Con- stitution, Section 350 of the Tariff Act of 1930 [section 1351 of this title], as amended, the Trade Expansion Act Page 482 TITLE 19—CUSTOMS DUTIES § 2111 of 1962, as amended [section 1801 et seq. of this title], Divisions B [19 U.S.C. 3801 et seq.] and C of the Trade Act of 2002 [div. C of Pub. L. 107–210, see Short Title of 2002 Amendment note set out under section 3201 of this title],,[sic] or the Act [this chapter]. SEC. 2. The Special Representative for Trade Negotiations [now United States Trade Representative, see Change of Name note above]. (a) The Special Representative for Trade Negotia- tions [now United States Trade Representative], here- inafter referred to as the Special Representative [now Trade Representative], in addition to the functions conferred upon him by the Act [this chapter], including Section 141 thereof [section 2171 of this title], and in ad- dition to the functions and responsibilities set forth in this Order, shall be responsible for such other functions as the President may direct. (b) [Revoked by Ex. Ord. No. 12188, Jan. 2, 1980, 45 F.R. 989.] (c) The Special Representative [now Trade Represent- ative] shall prepare, for the President’s transmission to Congress, the annual report on the trade agreements program required by Section 163(a) of the Act [section 2213(a) of this title]. At the request of the Special Rep- resentative [now Trade Representative], other agencies shall assist in the preparation of that report. (d) The Special Representative [now Trade Represent- ative], except where expressly otherwise provided or prohibited by statute, Executive order, or instructions of the President, shall be responsible for the proper ad- ministration of the trade agreements program, and may, as he deems necessary, assign to the head of any Executive agency or body the performance of his duties which are incidental to the administration of the trade agreements program. (e) The Special Representative [now Trade Represent- ative] shall consult with the Trade Policy Committee in connection with the performance of his functions, in- cluding those established or delegated by this Order and shall, as appropriate, consult with other Federal agencies or bodies. With respect to the performance of his functions under Title IV of the Act [section 2431 et seq. of this title], including those established or dele- gated by this Order, the Special Representative [now Trade Representative] shall also consult with the East- West Foreign Trade Board [abolished]. (f) The Special Representative [now Trade Represent- ative] shall be responsible for the preparation and sub- mission of any Proclamation which relates wholly or primarily to the trade agreements program. Any such Proclamation shall be subject to all the provisions of Executive Order No. 11030, as amended [set out under section 1505 of Title 44, Public Printing and Documents] except that such Proclamation need not be submitted to the Director of the Office of Management and Budg- et. (g) The Secretary of State shall advise the Special Representative [now Trade Representative], and the Committee, on the foreign policy implications of any action under the trade agreements program. The Spe- cial Representative [now Trade Representative] shall invite appropriate departments to participate in trade negotiations of particular interest to such depart- ments, and the Department of State shall participate in trade negotiations which have a direct and signifi- cant impact on foreign policy. SEC. 3. The Trade Policy Committee. (a) [Revoked by Ex. Ord. No. 12188, Jan. 2, 1980, 45 F.R. 989.] (b) The Committee shall have the functions conferred by the Trade Expansion Act of 1962, as amended [sec- tion 1801 et seq. of this title], upon the inter-agency or- ganization referred to in Section 242 thereof, as amend- ed [section 1872 of this title], the functions delegated to it by the provisions of this Order, and such other func- tions as the President may from time to time direct. Recommendations and advice of the Committee shall be submitted to the President by the Chairman. (c) The Special Representative [now Trade Represent- ative] or any other officer who is chief representative of the United States in a negotiation in connection with the trade agreements program shall keep the Committee informed with respect to the status and conduct of negotiations and shall consult with the Committee regarding the basic policy issues arising in the course of negotiations. (d) Before making recommendations to the President under Section 242(b)(2) of the Trade Expansion Act of 1962, as amended [section 1872(b)(2) of this title], the Committee shall, through the Special Representative [now Trade Representative], request the advice of the Adjustment Assistance Coordinating Committee, estab- lished by Section 281 of the Act [section 2392 of this title]. (e), (f) [Revoked by Ex. Ord. No. 12188, Jan. 2, 1980, 45 F.R. 989.] (g) The Trade Expansion Act Advisory Committee es- tablished by Section 4 of Executive Order No. 11075 of January 15, 1963, is abolished and all of its records are transferred to the Trade Policy Committee. SEC. 4. Trade Negotiations Under Title I of the Act. (a) The functions of the President under Section 102 of the Act [section 2112 of this title] concerning notice to, and consultation with, Congress, in connection with agreements on nontariff barriers to, and other distor- tions of, trade, are hereby delegated to the Special Rep- resentative [now Trade Representative]. (b) The Special Representative [now Trade Represent- ative], after consultation with the Committee, shall prepare, for the President’s transmission to Congress, all proposed legislation and other documents necessary or appropriate for the implementation of, or otherwise required in connection with, trade agreements; pro- vided, however, that where implementation of an agreement on nontariff barriers to, and other distor- tions of, trade requires a change in a domestic law, the department or agency having the primary interest in the administration of such domestic law shall prepare and transmit to the Special Representative [now Trade Representative] the proposed legislation necessary or appropriate for such implementation. (c) The functions of the President under Section 131(a) of the Act [section 2151(a) of this title], with re- spect to publishing and furnishing to the International Trade Commission lists of articles, are delegated to the Special Representative [now Trade Representative]. The functions of the President under Section 131(c) of the Act [section 2151(c) of this title] with respect to ad- vice of the International Trade Commission and under Section 132 of the Act [section 2152 of this title] with respect to advice of the departments of the Federal Government and other sources, are delegated to the Special Representative [now Trade Representative]. The functions of the President under Section 133 of the Act [section 2153 of this title] with respect to public hearings in connection with certain trade negotiations are delegated to the Special Representative [now Trade Representative], who shall designate an interagency committee to hold and conduct any such hearings. (d) The functions of the President under Section 135 of the Act [section 2155 of this title] with respect to ad- visory committees and, notwithstanding the provisions of any other Executive order, the functions of the President under the Federal Advisory Committee Act (86 Stat. 770, [former] 5 U.S.C. App.) [see 5 U.S.C. 1001 et seq.], except that of reporting annually to Congress, which are applicable to advisory committees under the Act [this chapter] are delegated to the Special Rep- resentative [now Trade Representative]. In establishing and organizing general policy advisory committees or sector advisory committees under Section 135(c) of the Act [section 2155(c) of this title], the Special Represent- ative [now Trade Representative] shall act through the Secretaries of Commerce, Labor and Agriculture, as ap- propriate. (e) The functions of the President with respect to de- termining ad valorem amounts and equivalents pursu- ant to Sections 601(3) and (4) of the Act [section 2481(3) and (4) of this title] are hereby delegated to the Special Representative [now Trade Representative]. The Inter- Page 483 TITLE 19—CUSTOMS DUTIES § 2112 national Trade Commission is requested to advise the Special Representative [now Trade Representative] with respect to determining such ad valorem amounts and equivalents. The Special Representative [now Trade Representative] shall seek the advice of the Commission and consult with the Committee with re- spect to the determination of such ad valorem amounts and equivalents. (f) Advice of the International Trade Commission under Section 131 of the Act [section 2151 of this title], and other advice or reports by the International Trade Commission to the President or the Special Represent- ative [now Trade Representative], the release or disclo- sure of which is not specifically authorized or required by law, shall not be released or disclosed in any manner or to any extent not specifically authorized by the President or by the Special Representative [now Trade Representative]. (g) All reports, findings, advice, determinations, hearing transcripts, briefs, and information which, under the terms of the Act [this chapter], the Inter- national Trade Commission is required to furnish to the President shall be transmitted to the President through the Special Representative [now Trade Rep- resentative]. SEC. 5. Import Relief and Market Disruption. (a) The Special Representative [now Trade Represent- ative] is authorized to request from the International Trade Commission the information specified in Sec- tions 202(d) and 203(i)(1) and (2) of the Act [sections 2252(d) and 2253(i)(1) and (2) of this title]. (b) The Secretary of the Treasury, in consultation with the Secretary of Commerce or the Secretary of Agriculture, as appropriate, is authorized to issue, under Section 203(g) of the Act [section 2253(g) of this title], regulations governing the administration of any quantitative restrictions proclaimed in order to pro- vide import relief and is authorized to issue, under Sec- tion 203(g) of the Act or 352(b) of the Trade Expansion Act of 1962 [section 1982(b) of this title], regulations governing the entry, or withdrawal from warehouses for consumption, of articles pursuant to any orderly marketing agreement. (c) The Secretary of Commerce shall exercise primary responsibility for monitoring imports under any or- derly marketing agreement. SEC. 6. [Revoked by Ex. Ord. No. 12188, Jan. 2, 1980, 45 F.R. 989.] SEC. 7. East-West Foreign Trade Board [abolished]. (a) In accordance with Section 411 of the Act [section 2441 of this title], there is hereby established the East- West Foreign Trade Board [abolished], hereinafter re- ferred to as the Board. The Board shall be composed of the following members and such additional members of the Executive branch as the President may designate: (1) The Secretary of State. (2) The Secretary of the Treasury. (3) The Secretary of Defense. (4) The Secretary of Agriculture. (5) The Secretary of Commerce. (6) The Special Representative for Trade Negotia- tions [now United States Trade Representative]. (7) The Director of the Office of Management and Budget. (8) The Chairman of the Council of Economic Advis- ers. (9) The President of the Export-Import Bank of the United States. (10) [Deleted by Ex. Ord. No. 12102.] The President shall designate the Chairman and the Deputy Chairman of the Board. The President may des- ignate an Executive Secretary, who shall be Chairman of a working group which will include membership from the agencies represented on the Board. (b) The Board shall perform such functions as are re- quired by Section 411 of the Act [section 2441 of this title] and such other functions as the President may di- rect. (c) The Board is authorized to promulgate such rules and regulations as are necessary or appropriate to carry out its responsibilities under the Act [this chap- ter] and this Order. (d) The Secretary of State shall advise the President with respect to determinations required to be made in connection with Sections 402 and 409 of the Act (dealing with freedom of emigration) [sections 2432 and 2439 of this title] and Section 403 (dealing with United States personnel missing in action in Southeast Asia) [section 2433 of this title], and shall prepare, for the President’s transmission to Congress, the reports and other docu- ments required by Sections 402 and 409 of the Act. (e) The President’s Committee on East-West Trade Policy, established by Executive Order No. 11789 of June 25, 1974, as amended by Section 6(d) of Executive Order No. 11808 of September 30, 1974, is abolished and all of its records are transferred to the Board. SEC. 8. Generalized System of Preferences. (a) The Special Representative [now Trade Represent- ative], in consultation with the Secretary of State, shall be responsible for the administration of the gen- eralized system of preferences under Title V of the Act [section 2461 et seq. of this title]. (b) The Committee, through the Special Representa- tive [now Trade Representative], shall advise the Presi- dent as to which countries should be designated as ben- eficiary developing countries, and as to which articles should be designated as eligible articles for the pur- poses of the system of generalized preferences. (c) The Committee, through the Special Representa- tive [now Trade Representative], shall perform the functions of the President specified in Section 503(a) of the Act [section 2463(a) of this title], with respect to publishing and furnishing to the International Trade Commission lists of articles that may be considered for designation as eligible articles for purposes of the Gen- eralized System of Preferences. (d) The Committee, through the Special Representa- tive [now Trade Representative], to the extent nec- essary to determine the applicability of the provisions of Section 504(d) of the Act [section 2464(d) of this title] to any eligible article, shall perform the functions of the President under Section 332(g) of the Tariff Act of 1930, as amended [section 1332(g) of this title], with re- spect to requests for investigations by, and reports from, the International Trade Commission. SEC. 9. Prior Executive Orders. (a) Executive Order No. 11789 of June 25, 1974, and Sec- tion 6(d) of Executive Order No. 11808 of September 30, 1974, relating to the President’s Committee on East- West Trade Policy are hereby revoked. (b)(1) Sections 5(b), 7, and 8 of Executive Order No. 11075 of January 15, 1963, are hereby revoked effective April 3, 1975; (2) the remainder of Executive Order No. 11075, and Executive Order No. 11106 of April 18, 1963 and Executive Order No. 11113 of June 13, 1963, are hereby revoked. § 2112. Barriers to and other distortions of trade (a) Congressional findings; directives; disavowal of prior approval of legislation The Congress finds that barriers to (and other distortions of) international trade are reducing the growth of foreign markets for the products of United States agriculture, industry, mining, and commerce, diminishing the intended mutual benefits of reciprocal trade concessions, ad- versely affecting the United States economy, preventing fair and equitable access to supplies, and preventing the development of open and nondiscriminatory trade among nations. The President is urged to take all appropriate and feasible steps within his power (including the full exercise of the rights of the United States under international agreements) to harmonize, reduce, or eliminate such barriers to (and other distortions of) international trade. The Presi- dent is further urged to utilize the authority