Establishment of Import Restraint Limits for Certain Cotton and Man-Made Fiber Textile Products Produced or Manufactured in Myanmar

COMMITTEE FOR THE IMPLEMENTATION OF TEXTILE AGREEMENTS

Establishment of Import Restraint Limits for Certain Cotton and

Man-Made Fiber Textile Products Produced or Manufactured in Myanmar

February 8, 1994.

AGENCY: Committee for the Implementation of Textile Agreements (CITA).

ACTION: Issuing a directive to the Commissioner of Customs establishing

limits.

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EFFECTIVE DATE: February 16, 1994.

FOR FURTHER INFORMATION CONTACT: Ross Arnold, International Trade

Specialist, Office of Textiles and Apparel, U.S. Department of

Commerce, (202) 482-4212. For information on the quota status of these

limits, refer to the Quota Status Reports posted on the bulletin boards

of each Customs port or call (202) 927-5850. For information on

embargoes and quota re-openings, call (202) 482-3715.

SUPPLEMENTARY INFORMATION:

Authority: Executive Order 11651 of March 3, 1972, as amended;

section 204 of the Agricultural Act of 1956, as amended (7 U.S.C.

1854).

Under the terms of Section 204 of the Agricultural Act of 1956, as

amended, the Government of the United States has decided to establish

restraint limits for cotton and man-made fiber skirts in Categories

342/642 and cotton and man-made fiber nightwear and pajamas in

Categories 351/651, produced or manufactured in Myanmar and exported

during the twelve-month period which began on February 1, 1994 and

extends through January 31, 1995 at levels of 25,383 dozen (Categories

342/642) and 39,893 dozen (Categories 351/651).

Summary market statements concerning Categories 342/642 and 351/651

follow this notice.

Anyone wishing to comment or provide data or information regarding

the treatment of Categories 342/642 and 351/651 or to comment on

domestic production or availability of products included in Categories

342/642 and 351/651, is invited to submit 10 copies of such comments or

information to Rita D. Hayes, Chairman, Committee for the

Implementation of Textile Agreements, U.S. Department of Commerce,

Washington, DC 20230; ATTN: Helen L. LeGrande.

Further comments may be invited regarding particular comments or

information received from the public which the Committee for the

Implementation of Textile Agreements considers appropriate for further

consideration.

The solicitation of comments is not a waiver in any respect of the

exemption contained in 5 U.S.C. 553(a)(1) relating to matters which

constitute ``a foreign affairs function of the United States.''

A description of the textile and apparel categories in terms of HTS

numbers is available in the CORRELATION: Textile and Apparel Categories

with the Harmonized Tariff Schedule of the United States (see Federal

Register notice 58 FR 62645, published on November 29, 1993).

D. Michael Hutchinson,

Acting Chairman, Committee for the Implementation of Textile

Agreements.

Market Statement--Myanmar

Category 342/642 Cotton and Man-Made Fiber Skirts

January 1994

Import Situation and Conclusion

U.S. imports of cotton and man-made fiber skirts, Category 342/642,

from Myanmar reached 25,383 dozen during the year ending October 1993,

nearly twelve times the 2,150 dozen imported from Myanmar in the year

ending October 1992. In the first ten months of 1993, imports of

Category 342/642 from Myanmar reached 25,048 dozen, over eleven and one

half times the January-October 1992 level, and ten times Myanmar's

total calendar year 1992 Category 342/642 imports.

The sharp and substantial increase of Category 342/642 imports from

Myanmar is causing disruption in the U.S. market for cotton and man-

made fiber skirts.

U.S. Production, Import Penetration, and Market Share

U.S. production of cotton and man-made fiber skirts fell from 7,444

thousand dozen in 1989 to 7,181 thousand dozen in 1992, a decrease of 4

percent. This decline continued in 1993, with U.S. production falling

to 3,555 thousand dozen in the first half of 1993, a decline of 8

percent from the January-June 1992 level. In contrast, U.S. imports of

Category 342/642 increased from 6,396 thousand dozen in 1989 to 6,884

thousand dozen in 1992, an 8 percent increase. Category 342/642 imports

continued to increase in 1993, reaching 6,341 thousand dozen during the

first ten months of 1993, 8 percent above the January-October 1992

level.

The ratio of imports to domestic production increased from 86

percent in 1989 to 96 percent in 1992. The ratio of imports to domestic

production continued to increase in 1993, reaching 118 percent in the

first half of 1993. The domestic manufacturers' share of the cotton and

man-made fiber skirt market dropped from 54 percent in 1989 to 51

percent in 1992, and declined to 46 percent in the first half of 1993.

Duty-Paid Value and U.S. Producers' Price

Approximately 90 percent of Category 342/642 imports from Myanmar

during the year ending in October 1993 entered the U.S. under HTSUSA

6204.52.2030--Women's cotton skirts of blue denim; and HTSUSA

6204.52.2070--Women's cotton skirts of other than corduroy and blue

denim. These skirts entered the U.S. at landed duty-paid values below

U.S. producers' prices for comparable skirts.

Market Statement--Myanmar

Category 351/651 Cotton and Man-Made Fiber Pajamas and Other Nightwear

January 1994

Import Situation and Conclusion

U.S. imports of cotton and man-made fiber pajamas and other

nightwear, Category 351/651, from Myanmar reached 39,893 dozen during

the year ending October 1993. There were no Category 351/651 imports

from Myanmar in 1992 or 1991.

The sharp and substantial increase of Category 351/651 imports from

Myanmar is causing disruption in the U.S. market for cotton and man-

made fiber pajamas and other nightwear.

U.S. Production, Import Penetration, and Market Share

U.S. production of cotton and man-made fiber pajamas and other

nightwear fell from 14,235 thousand dozen in 1989 to 10,649 thousand

dozen in 1992, a decline of 25 percent. Production continued to decline

in 1993, falling to 4,734 thousand dozen during the first six months of

1993, 11 percent below the January-June 1992 level. In contrast, U.S.

imports of Category 351/651 increased from 7,289 thousand dozen in 1989

to 9,347 thousand dozen in 1992, an increase of 28 percent. This

increase continued during 1993, as imports of Category 351/651 reached

9,313 thousand dozen in the first ten months of 1993, 16 percent above

the January-October 1992 level.The ratio of imports to domestic

production increased from 51 percent in 1989 to 88 percent in 1992.

This increase continued in the first six months of 1993, as the ratio

of imports to production reached 97 percent. The domestic

manufacturers' share of this market declined from 66 percent in 1989 to

53 percent in 1992, and fell to 51 percent during the first half of

1993.

Duty-Paid Value and U.S. Producers' Price

Approximately 79 percent of Category 351/651 imports from Myanmar

during the year ending in october 1993 entered the U.S. under HTSUSA

6207.21.0030--Men's cotton nightshirts and pajamas with one color in

the warp and/or filling. This nightwear entered the U.S. at landed

duty-paid values below U.S. producers' prices for comparable nightwear.

Committee for the Implementation of Textile Agreements

February 8, 1994.

Commissioner of Customs,

Department of the Treasury, Washington, DC 20229.

Dear Commissioner: Under the terms of section 204 of the

Agricultural Act of 1956, as amended (7 U.S.C. 1854); and in

accordance with the provisions of Executive Order 11651 of March 3,

1972, as amended, you are directed to prohibit, effective on

February 16, 1994, entry into the United States for consumption and

withdrawal from warehouse for consumption of cotton and man-made

fiber textile products in the following categories, produced or

manufactured in Myanmar and exported during the period beginning on

February 1, 1994 and extending through January 31, 1995, in excess

of the following restraint levels:

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Category Twelve-month limit\1\

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342/642............................ 25,383 dozen.

351/651............................ 39,893 dozen.

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\1\The limits have not been adjusted to account for any imports exported

after January 31, 1994.

Textile products in Categories 342/642 and 351/651 which have

been exported to the United States prior to February 1, 1994 shall

not be subject to the limits established in this directive.

Textile products in Categories 342/642 and 351/651 which have

been released from the custody of the U.S. Customs Service under the

provisions of 19 U.S.C. 1448(b) or 1484(a)(1) prior to the effective

date of this directive shall not be denied entry under this

directive.

In carrying out the above directions, the Commissioner of

Customs should construe entry into the United States for consumption

to include entry for consumption into the Commonwealth of Puerto

Rico.

The Committee for the Implementation of Textile Agreements has

determined that these actions fall within the foreign affairs

exception of the rulemaking provisions of 5 U.S.C. 553(a)(1).

Sincerely,

D. Michael Hutchinson,

Acting Chairman, Committee for the Implementation of Textile

Agreements.

[FR Doc. 94-3445 Filed 2-14-94; 8:45 am]

BILLING CODE 3510-DR-F