Collection of Canadian Province of Manufacture Information for Softwood Lumber on Customs Entry Records

DEPARTMENT OF COMMERCE

Bureau of the Census

15 CFR Part 30

[Docket No. 960329093-6093-01]

RIN 0607-XX13

Collection of Canadian Province of Manufacture Information for

Softwood Lumber on Customs Entry Records

AGENCY: Bureau of the Census, Commerce.

ACTION: Final rule with request for comments.

-----------------------------------------------------------------------

SUMMARY: The Bureau of the Census (Census) has directed the U.S.

Customs Service (Customs) to begin immediate collection of information

on the province of manufacture on imports of softwood lumber from

Canada. This action is taken to assist in carrying out an agreement

reached between the United States and Canada concerning trade in

softwood lumber.

DATES: Final rule effective April 5, 1996. Comments due on or before

May 6, 1996.

ADDRESSES: Direct all written comments to the Director, Bureau of the

Census, Room 2049, Federal Building 3, Washington, DC 20233.

FOR FURTHER INFORMATION CONTACT: C. Harvey Monk, Jr., Bureau of the

Census, Washington, D.C. 20233, by telephone on (301) 457-2255 or by

fax (301) 457-2645. For information on the U.S.-Canada agreement on

softwood lumber: Gordana Earp, Deputy Assistant U.S. Trade

Representative for Industry, by telephone on (202) 395-6160.

SUPPLEMENTARY INFORMATION:

Background

On February 19, 1996, the United States and Canada concluded an

agreement in principle on trade on certain softwood lumber products.

Upon completion of the agreement text, the agreement is to enter into

force, in fact, on April 1, 1996. The agreement includes commitments by

Canada that are linked to the amount of softwood lumber exported

annually to the United States from particular provinces. To carry out

the agreement, it is necessary to determine accurately the amount of

softwood lumber entering the United States on a province-by-province

basis.

Currently, U.S. Customs entry records include information on the

Identification of the Foreign Manufacturer. This information is not

satisfactory because it frequently represents the corporate

headquarters or Canadian vendor, and not the location in which the

goods were actually produced.

Effective April 5, 1996 unless notified by the United States Trade

Representative of a later effective date, the Bureau of the Census will

require the two-letter designation of the Canadian province of

manufacture to be reported on U.S. entry summary records for shipments

released on or after April 5, 1996. The province of manufacture is to

be determined on a first mill basis (i.e., the point at which the item

was first manufactured into a covered lumber product (described

below)). Further processing (e.g., planing or kiln drying) and/or

transformation from one covered lumber product into another covered

lumber product (e.g., remanufactured products) in another province does

not constitute a change in the province of manufacture. For purposes of

this rule, province of manufacture is the province where the subject

merchandise underwent a change in tariff classification to tariff items

4407.1000, 4409.1010, 4409.1090, or 4409.1020 from any other tariff

items except a tariff item within that group.

The reporting of province of manufacture will apply to the non-ABI

as well as ABI entry summaries. For those reporting on paper forms the

province of manufacture code will replace the Country of Origin on the

CF 7501 Entry Summary form. This requirement would apply only for

imports of softwood lumber with Country of Origin Canada.

[[Page 15698]]

All electronic ABI Entry Summaries transmitted with the Country of

Origin Canada would also require the new Canadian province of

manufacture code. The Country of Origin is transmitted for each entry

summary line item in the A 40 record positions 6-7. For imports of

softwood lumber from Canada, the province of manufacture code should

replace Country of Origin in positions 6-7 of the A 40 record.

Valid Canadian province/territory codes are:

XA--Alberta

XB--New Brunswick

XC--British Columbia

XM--Manitoba

XN--Nova Scotia

XO--Ontario

XP--Prince Edward Island

XQ--Quebec

XS--Saskatchewan

XT--Northwest Territories

XW--Newfoundland

XY--Yukon Territory

The authority to collect this information is provided under Title

13, United States Code, Section 301, which authorizes the Secretary of

Commerce to collect information from persons importing into, or

exporting from the United States, as he deems necessary or appropriate

to foster, promote, develop, and further the commerce, domestic and

foreign, of the United States.

The information is to be collected as part of that required on the

Customs CF 7501 paper or ABI automated entry record. This reporting is

required by the Customs Service for each importation of foreign

merchandise and occurs at the time of importation.

The products covered by this rule are certain softwood lumber

products. These lumber products include: (1) Coniferous wood, sawn or

chipped lengthwise, sliced or peeled, whether or not planed, sanded or

finger-jointed, of a thickness exceeding six millimeters; (2)

coniferous wood siding (including strips and friezes for parquet

flooring, not assembled) continuously shaped (tongued, grooved,

rabbetted, chamfered, V-jointed, beaded, molded, rounded or the like)

along any of its edges or faces, whether or not planed, sanded, or

finger-jointed; and (3) other coniferous wood (including strips and

friezes for parquet flooring, not assembled) continuously shaped

(tongued, grooved, rabbetted, chamfered, V-jointed, beaded, molded,

rounded or the like) along any of its edges or faces, whether or not

planed, sanded or finger-jointed; and (4) coniferous wood flooring

(including strips and friezes for parquet flooring, not assembled)

continuously shaped (tongued, grooved, rabbetted, chamfered, V-jointed,

beaded, molded, rounded or the like) along any of its edges or faces,

whether or not planed, sanded, or finger-jointed. Such products are

currently provided for under subheading 4407.1000, 4409.1010, 4409.1090

and 4409.1020, respectively of the Harmonized Tariff Schedule of the

United States (HTSUS).

Rulemaking Requirements

1. This final rule is exempt from the requirements of Executive

Order 12866.

2. This rule involves a collection of information subject to the

Paperwork Reduction Act of 1995. This collection has been approved by

the Office of Management and Budget (OMB) under control number 1515-

0065. The United States Customs Service form CF 7501 and the associated

electronic reporting form A 40 are estimated to average 20 minutes per

response. This estimate includes the time for reviewing instructions,

searching existing data sources, gathering and maintaining the data

needed, and completing and reviewing the collections of information.

Send comments regarding this estimate to Phillip Metzger, Director of

Trade Compliance, U.S. Customs Service, Department of the Treasury,

1301 Constitution Ave., N.W., Washington, DC 20229-0001.

Notwithstanding any other provisions of law, no person is required to

respond to nor shall a person be subject to a penalty for failure to

comply with a collection of information subject to the requirements of

the Paperwork Reduction Act unless that collection of information

displays a currently valid OMB Control Number.

3. This rule does not contain policies with Federalism implications

sufficient to warrant preparation of a Federalism assessment under

Executive Order 12612.

4. Because a notice of proposed rulemaking and an opportunity for

public comment are not required to be given for this rule under 5

U.S.C. 553(a)(1) or by any other law, under section 3(a) and 4(a) of

the Regulatory Flexibility Act (5 U.S.C. 603(a) and 604(a)) no initial

or final Regulatory Flexibility Analysis has to be or will be prepared.

5. The provisions of the Administrative Procedure Act, (5 U.S.C.

553), requiring notice of proposed rulemaking, the opportunity for

public participation, and a delay in effective date, are inapplicable

because this regulation involves a military or foreign affairs function

of the United States (see 5 U.S.C. 553(a)(1)). No other law requires

that a notice of proposed rulemaking and an opportunity for public

comment be given for this rule.

However, because of the importance of the issues raised by this

regulation, this rule is issued in final and comments will be

considered. The period for submission of comments will close May 6,

1996. Direct all written comments to the Director, Bureau of the

Census, Room 2049, Federal Building 3, Washington, DC 20233.

List of Subjects in 15 CFR Part 30

Economic statistics, Foreign trade, Reporting and recordkeeping

requirements.

For reasons set out in the preamble, 15 CFR part 30 is amended as

follows:

PART 30--FOREIGN TRADE STATISTICS

1. The authority citation for 15 CFR part 30 continues to read as

follows:

Authority: 5 U.S.C. 301; 13 U.S.C. 301-307; Reorganization Plan

No. 5 of 1950 (3 CFR 1949-1953 Comp., p. 1004); Department of

Commerce Organization Order No. 35-2A, August 4, 1975, 40 CFR 42765.

Subpart F--Special Provision for Particular Types of Import

Transactions

2. Section 30.80 is added to subpart F to read as follows:

Sec. 30.80 Imports from Canada.

When certain softwood lumber products described under Harmonized

Tariff Schedule of the United States (HTSUS) subheadings 4407.1000,

4409.1010, 4409.1090, and 4409.1020, are imported from Canada; import

entry records are required to show a valid Canadian Province of

Manufacture Code. The Canadian Province of Manufacture is determined on

a first mill basis (the point at which the item was first manufactured

into a covered lumber product). For purposes of determination, Province

of Manufacture is the first province where the subject merchandise

underwent a change in tariff classification to the tariff classes cited

above. The Province of Manufacture Code should replace the Country of

Origin on the CF 7501 Summary Entry form. For Automated Commercial

System entry summaries the Canadian Province Code should be transmitted

in lieu of the Country of Origin in positions 6-7 of the A 40 record.

These requirements would apply only for imports of softwood products

with Country of Origin Canada. Valid Canadian Province/Territory Codes

are:

XA--Alberta

XB--New Brunswick

XC--British Columbia

[[Page 15699]]

XM--Manitoba

XN--Nova Scotia

XO--Ontario

XP--Prince Edward Island

XQ--Quebec

XS--Saskatchewan

XT--Northwest Territories

XW--Newfoundland

XY--Yukon Territory

Dated: March 29, 1996.

Martha Farnsworth Riche,

Director, Bureau of the Census.

[FR Doc. 96-8925 Filed 4-5-96; 4:14 pm]

BILLING CODE 3510-07-P