ExecutiveOrdersEO
Proc 7202--ProclamationClinton · D Quiet signal

Proclamation 7202--

To Eliminate Circumvention of the Quantitative Limitations Applicable to Imports of Wheat Gluten

This proclamation reduces the European Community's 1999/2000 wheat gluten import quota by 5,204,000 kg to penalize excess entries during the first restraint period, and adds a new HTS provision requiring excess shipments to be warehoused or exported rather than entering U.S. customs territory until June 1, 2001. The modifications apply to goods entered on or after June 1, 1999, and remain in effect until June 1, 2001.

Federal Register Open PDF 64 FR 29773

Impact dates

  1. Excess shipments barred from U.S. customs territory until this date; actions terminate

  2. 1999/2000 restraint period ends

  3. Modifications effective for goods entered or withdrawn from warehouse

Key directives

  • Reduce EC wheat gluten quota allocation by 5,204,000 kg for 1999/2000 restraint period
  • Add HTS provision charging excess shipments to subsequent restraint period allocation
  • Require excess shipments to be bonded or exported, barred from U.S. customs territory until June 1, 2001
  • Authorize Secretary of Treasury to enforce restrictions for June 1, 2000 – June 1, 2001 period
  • Supersede inconsistent prior proclamations or Executive orders

Who is ordered

Timeline

Immediate

  • Quota reduction takes effect June 1, 1999 for goods entered or withdrawn from warehouse
  • EC quota lowered from 25,983,000 kg to 20,581,000 kg

Near term (90d)

  • HTS modifications implemented
  • Secretary of Treasury authorized to enforce excess shipment restrictions

Long term

  • Restraint period runs through May 31, 2000; carryover penalty provisions extend to June 1, 2001
  • Potential trade tension with European Community over safeguard enforcement

Risks & tensions

  • Potential WTO dispute with European Community over safeguard administration and anti-circumvention measures
  • Trade retaliation risk from EC
  • Implementation complexity for Customs Service in tracking country-specific allocations and carryover penalties
Proclamation 7202--: To Eliminate Circumvention of the Quantitative Limitations Applicable to Imports of Wheat Gluten · Executive Orders