ExecutiveOrdersEO
Proc 8098ProclamationG.W. Bush · R Quiet signal

Proclamation 8098

To Take Certain Actions Under the African Growth and Opportunity Act and the Generalized System of Preferences

This proclamation designates Liberia as eligible for the African Growth and Opportunity Act (AGOA) and as a lesser developed beneficiary country. It also designates East Timor as a beneficiary and least-developed beneficiary developing country under the Generalized System of Preferences (GSP), removes Bulgaria and Romania from GSP beneficiary status upon their EU accession, and adds Afghanistan to SAARC for GSP purposes upon its SAARC membership.

Federal Register Open PDF 72 FR 459

Impact dates

  1. East Timor least-developed beneficiary status effective (65 days after signing)

  2. Liberia AGOA designation effective for articles entered or withdrawn from warehouse

  3. Bulgaria and Romania EU membership (actual date; GSP removal effective)

Key directives

  • Designate Liberia as eligible and beneficiary sub-Saharan African country under AGOA
  • Designate Liberia as lesser developed beneficiary sub-Saharan African country for apparel preferences
  • Designate East Timor as GSP beneficiary developing country
  • Designate East Timor as least-developed beneficiary developing country under GSP
  • Remove Bulgaria and Romania from GSP upon EU membership
  • Designate Afghanistan as SAARC member for GSP purposes upon actual SAARC membership
  • Modify Harmonized Tariff Schedule to reflect all designations
  • USTR to announce Bulgaria/Romania EU accession dates in Federal Register
  • USTR to announce Afghanistan SAARC membership date in Federal Register

Who is ordered

Timeline

Immediate

  • Proclamation signed December 29, 2006

Near term (90d)

  • Liberia AGOA benefits effective January 1, 2007
  • East Timor GSP beneficiary status effective ~January 18, 2007 (20 days after signing)
  • East Timor least-developed beneficiary status effective ~March 4, 2007 (65 days after signing)

Long term

  • Bulgaria and Romania GSP removal upon EU membership (January 1, 2007)
  • Afghanistan SAARC GSP benefits upon actual SAARC membership

Risks & tensions

  • Bulgaria and Romania GSP removal contingent on EU membership date, which was known but creates implementation uncertainty if delayed
  • Afghanistan SAARC membership was prospective; actual date uncertain at time of proclamation
  • Preference erosion for Bulgaria and Romania could affect bilateral trade relations
  • Liberia's 'lesser developed' status provides competitive advantage over other AGOA beneficiaries in apparel sector
Proclamation 8098: To Take Certain Actions Under the African Growth and Opportunity Act and the Generalized System of Preferences · Executive Orders