ExecutiveOrdersEO
Proc 8111ProclamationG.W. Bush · R Quiet signal

Proclamation 8111

To Implement the Dominican Republic-Central America-United States Free Trade Agreement With Respect to the Dominican Republic and for Other Purposes

This proclamation implements the Dominican Republic-Central America-United States Free Trade Agreement (CAFTA-DR) specifically for the Dominican Republic by modifying the Harmonized Tariff Schedule to provide preferential tariff treatment, removing the Dominican Republic from GSP and CBERA/CBTPA beneficiary status, and delegating authority to CITA to determine Nicaraguan compliance with tariff preference level commitments. It also modifies NAFTA rules of origin to reflect agreed changes with Mexico.

Federal Register Open PDF 72 FR 10025

Impact dates

  1. NAFTA rules of origin modifications effective upon USTR Federal Register announcement that Mexico completed domestic procedures

  2. Tariff-rate quotas and specific duty reductions per dates indicated in Publication 3901 Annexes I and II

  3. Proclamation effective for goods entered or withdrawn from warehouse for consumption (except as otherwise specified)

Key directives

  • Modify HTS per Publication 3901 Annexes I and II for Dominican Republic preferential treatment
  • Authorize CITA to determine Nicaraguan compliance and reduce tariff preference level if warranted
  • Modify NAFTA rules of origin in general note 12 to HTS
  • Remove Dominican Republic from GSP, CBERA, and CBTPA beneficiary enumerations

Who is ordered

Timeline

Immediate

  • HTS modifications effective March 1, 2007 for most goods
  • Dominican Republic removed from GSP, CBERA, and CBTPA beneficiary lists

Near term (90d)

  • Specific tariff-rate quotas and duty reductions take effect per dates in Publication 3901 Annexes I and II

Long term

  • Ongoing CITA monitoring of Nicaraguan compliance with tariff preference level commitments
  • Potential future NAFTA rules of origin modifications upon USTR announcement of Mexican procedural completion

Risks & tensions

  • Potential trade friction if CITA determines Nicaraguan non-compliance and reduces tariff preference level
  • NAFTA modifications contingent on Mexican procedural completion creates uncertainty on timing
  • Removal of Dominican Republic from GSP/CBERA/CBTPA may affect certain exporters previously benefiting from those programs
  • Complex tariff schedule modifications may create implementation challenges for customs administration
Proclamation 8111: To Implement the Dominican Republic-Central America-United States Free Trade Agreement With Respect to the Dominican Republic and for Other Purposes · Executive Orders