Trade Policy Staff Committee; Public Comments on the Caribbean Basin Economic Recovery Act: Report to Congress

OFFICE OF THE UNITED STATES TRADE REPRESENTATIVE

Trade Policy Staff Committee; Public Comments on the Caribbean

Basin Economic Recovery Act: Report to Congress

AGENCY: Office of the United States Trade Representative.

ACTION: Notice and request for comments.

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SUMMARY: Section 212(f) of the Caribbean Basin Economic Recovery

Expansion Act of 1990 (19 U.S.C. 2702(f)) (``the Act'') requires the

Administration to submit a report to the Congress on or before October

1, 1996 regarding the operation of the program. All interested parties

are invited to submit comments relevant to the issues to be examined in

preparing such a report, including the considerations included in

subsections 212 (b) and (c) of the Act (19 U.S.C. 2702 (b) and (c)).

DATES: Public comments are due by noon on Monday, July 15, 1996.

ADDRESSES: Office of the United States Trade Representative, 600 17th

Street, N.W., Room 523, Washington, DC 20508.

FOR FURTHER INFORMATION CONTACT:

Dale Eppler, Director for Central American and Caribbean Affairs, (202-

395-5190).

SUPPLEMENTARY INFORMATION: Section 212(f) (19 U.S.C. 2702(f)) of the

Caribbean Basin Economic Recovery Act states: ``On or before October 1,

1993, and the close of each 3-year period thereafter, the President

shall submit to the Congress a complete report

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regarding the operation of this title, including the results of a

general review of beneficiary countries based on the consideration

described in subsections (b) and (c).''

The Chairman of the Trade Policy Staff Committee invites written

comments from the public relevant to the program's operation, including

the status of beneficiary countries under the criteria set out below.

Interested parties may comment on any aspect of the program's

operation. Issues to be examined include: The program's effect on the

volume and composition of trade and investment between the United

States and the region; its effect on economic growth and development of

beneficiary countries; the effect on U.S. firms and consumers; the

degree to which the Act has encouraged the trade and investment

policies cited in the Act; and the administrative requirements for

beneficiary exporters and U.S. importers.

Interested parties are also asked to comment on the following Act

designation criteria as contained in Sections 212(b) and (c) of the

Act:

(b) * * * In addition, the President shall not designate any

country a beneficiary country under this title--

(1) if such country is a Communist country;

(2) if such country

(A) has nationalized, expropriated or otherwise seized ownership or

control of property owned by a United States citizen or by a

corporation, partnership, or association which is 50 per centum or more

beneficially owned by United States citizens,

(b) has taken steps to repudiate or nullify--

(i) any existing contract or agreement with, or

(ii) any patent, trademark, or other intellectual property of, a

United States citizen or a corporation, partnership, or association

which is 50 per centum or more beneficially owned by United States

citizens, the effect of which is to nationalize, expropriate, or

otherwise seize ownership or control of property so owned, or

(C) has imposed or enforced taxes or other exactions, restrictive

maintenance or operational conditions, or other measures with respect

to property so owned, the effect of which is to nationalize,

expropriate, or otherwise seize ownership or control of such property,

unless the President determines that--

(i) prompt, adequate, and effective compensation has been or is

being made to such citizen, corporation, partnership, or association,

(ii) good-faith negotiations to provide prompt, adequate, and

effective compensation under the applicable provisions of international

law are in progress, or such country is otherwise taking steps to

discharge its obligations under international law with respect to such

citizen, corporation, partnership, or association, or

(iii) a dispute involving such citizen, corporation, partnership,

or association, over compensation for such a seizure has been submitted

to arbitration under the provisions of the Convention for the

Settlement of Investment Disputes, or in another mutually agreed upon

forum, and promptly furnishes a copy of such determination to the

Senate and House of Representatives;

(3) if such country fails to act in good faith in recognizing as

binding or in enforcing arbitral awards in favor of United States

citizens or a corporation, partnership or association which is 50 per

centum or more beneficially owned by United States citizens, which have

been made by arbitrators appointed for each case or by permanent

arbitral bodies to which the parties involved have submitted their

dispute;

(4) if such country affords preferential treatment to the products

of a developed country, other than the United States, which has, or is

likely to have, a significant adverse effect on United States commerce,

unless the President has received assurances satisfactory to him that

such preferential treatment will be eliminated or that action will be

taken to assure that there will be no such significant adverse effect,

and he reports those assurances to the Congress;

(5) if a government-owned entity in such country engages in the

broadcast of copyrighted material, including films or television

material, belonging to United States copyright owners without their

express consent;

(6) unless such country is a signatory to a treaty, convention,

protocol, or other agreement regarding the extradition of United States

citizens; and

(7) if such country has not or is not taking steps to afford

internationally recognized worker rights (as defined in section

502(a)(4) of the Trade Act of 1974) to workers in the country

(including any designated zone in that country). Paragraphs (1), (2),

(3), (5), and (7) shall not prevent the designation of any country as a

beneficiary country under this Act if the President determines that

such designation will be in the national economic or security interest

of the United States and reports such determination to the Congress

with his reasons therefor.

(c) In determining whether to designate any country a beneficiary

country under this title, the President shall take into account--

(1) an expression by such country of its desire to be so

designated;

(2) the economic conditions in such country, the living standards

of its inhabitants, and any other economic factors which he deems

appropriate;

(3) the extent to which such country has assured the United States

it will provide equitable and reasonable access to the markets and

basic commodity resources of such country;

(4) the degree to which such country follows the accepted rules of

international trade provided for under the General Agreement on Tariffs

and Trade, as well as applicable trade agreements approved under

section 2(a) of the Trade Agreements Act of 1979;

(5) the degree to which such country uses export subsidies or

imposes export performance requirements or local content requirements

which distort international trade;

(6) the degree to which the trade policies of such country as they

relate to other beneficiary countries are contributing to the

revitalization of the region;

(7) the degree to which such country is undertaking self-help

measures to promote its own economic development;

(8) whether or not such country has taken or is taking steps to

afford to workers in that country (including any designated zone in

that country) internationally recognized worker rights.

(9) the extent to which such country provides under its law

adequate and effective means for foreign nationals to secure, exercise,

and enforce exclusive rights in intellectual property, including

patent, trademark, and copyright rights;

(10) the extent to which such country prohibits its nationals from

engaging in the broadcast of copyrighted material, including films or

television material, belonging to United States copyright owners

without their express consent; and

(11) the extent to which such country is prepared to cooperate with

the United States in the administration of the provisions of this

title.

Persons submitting written comments should provide a statement, in

twenty copies, by noon, Monday, July 15, 1996, to Carolyn Frank,

Executive Secretary, TPSC, Office of the U.S. Trade Representative,

Room 501, 600 17th street, N.W., Washington, D.C. 20508. Non-

confidential information received will be available for public

inspection by appointment, in the USTR Reading

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Room, room 101, Monday through Friday, 10:00 a.m. to 12:00 noon and

1:00 p.m. to 4:00 p.m. For an appointment call Brenda Webb on 202-395-

6186. Business confidential information will be subject to the

requirements of 15 CFR 2003.6. Any business confidential material must

be clearly marked as such on the cover letter or page and each

succeeding page, and must be accompanied by a non-confidential summary

thereof.

Frederick L. Montgomery,

Chairman, Trade Policy Staff Committee.

[FR Doc. 96-15435 Filed 6-17-96; 8:45 am]

BILLING CODE 3190-01-M