ExecutiveOrdersEO
Proc 8272ProclamationG.W. Bush · R Quiet signal

Proclamation 8272

To Modify Duty-Free Treatment Under the Generalized System of Preferences, Take Certain Actions Under the African Growth and Opportunity Act, and for Other Purposes

This proclamation modifies U.S. trade preferences under the Generalized System of Preferences (GSP) and African Growth and Opportunity Act (AGOA). It terminates duty-free treatment for certain articles from specific countries, grants and revokes competitive need limitation waivers, terminates Trinidad and Tobago's GSP beneficiary status effective January 1, 2010, designates Serbia and Montenegro as separate GSP beneficiaries, designates Comoros as an AGOA beneficiary, and makes technical corrections to the Harmonized Tariff Schedule.

Federal Register Open PDF 73 FR 38297

Impact dates

  1. Annex I and IV HTS modifications effective per respective annex dates

  2. Annex V HTS modification effective per Annex V date

  3. Annex VI HTS modification effective when Proclamation 8213 modifications enter into force

  4. Trinidad and Tobago GSP termination effective

  5. Montenegro GSP designation effective (30 days after proclamation date)

  6. Comoros AGOA designation effective for articles entered or withdrawn from warehouse

Key directives

  • Terminate duty-free treatment for certain articles exceeding competitive need limitations
  • Disregard competitive need limitations for certain articles from certain countries
  • Waive competitive need limitations for certain articles from certain countries
  • Revoke previously granted waivers of competitive need limitations
  • Terminate Trinidad and Tobago GSP designation effective January 1, 2010
  • Designate Republic of Serbia as GSP beneficiary
  • Designate Republic of Montenegro as GSP beneficiary
  • Designate Comoros as eligible sub-Saharan African country and AGOA beneficiary
  • Designate Comoros as lesser developed beneficiary sub-Saharan African country
  • Secretary of Labor to carry out biennial CAFTA-DR reporting with USTR consultation
  • Secretary of Labor to solicit public comments on CAFTA-DR matters with USTR consultation
  • Technical rectifications to HTS for Jamaica and Proclamation 8213 understandings

Who is ordered

Timeline

Immediate

  • Proclamation signed June 30, 2008

Near term (90d)

  • Serbia and Montenegro GSP designations effective 30 days after proclamation (approximately July 30, 2008)
  • Comoros AGOA designation effective July 1, 2008

Long term

  • Trinidad and Tobago GSP termination effective January 1, 2010
  • Biennial CAFTA-DR reporting by Secretary of Labor ongoing

Risks & tensions

  • Trade disruption for Trinidad and Tobago with 18-month wind-down period before GSP termination
  • Potential adverse effects on U.S. industries from waived competitive need limitations, though President determined waivers are in national economic interest based on ITC advice
  • Uncertain effective dates for Annex I, IV, V modifications (dates specified in annexes not provided in text)
  • Serbia and Montenegro designation reflects geopolitical state succession following 2006 independence
  • Supersession clause (paragraph 23) may create legal uncertainty for prior proclamations
Proclamation 8272: To Modify Duty-Free Treatment Under the Generalized System of Preferences, Take Certain Actions Under the African Growth and Opportunity Act, and for Other Purposes · Executive Orders