[Federal Register Volume 77, Number 65 (Wednesday, April 4, 2012)]
[Notices]
[Pages 20476-20478]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-8018]


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OFFICE OF THE UNITED STATES TRADE REPRESENTATIVE

[Docket No. WTO/DS431]


WTO Dispute Settlement Proceeding Regarding China--Measures 
Related to the Exportation of Rare Earths, Tungsten and Molybdenum

AGENCY: Office of the United States Trade Representative.

ACTION: Notice; request for comments.

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SUMMARY: The Office of the United States Trade Representative 
(``USTR'') is providing notice that on March 13, 2012, in accordance 
with the Marrakesh Agreement Establishing the World Trade Organization 
(``WTO Agreement''), the United States requested consultations 
regarding restraints on the export from China of various forms of rare 
earths, tungsten and molybdenum (the ``materials''). That request may 
be found at www.wto.org contained in a document designated as WT/DS431/
1. USTR invites written comments from the public concerning the issues 
raised in this dispute.

DATES: Although USTR will accept any comments received during the 
course of the dispute settlement proceedings, comments should be 
submitted on or before April 30, 2012 to be assured of timely 
consideration by USTR.

ADDRESSES: Public comments should be submitted electronically to 
www.regulations.gov, docket number USTR 2012-0005. If you are unable to 
provide submissions by www.regulations.gov, please contact Sandy 
McKinzy at (202) 395-9483 to arrange for an alternative method of 
transmission.
    If (as explained below) the comment contains confidential 
information, then the comment should be submitted by fax only to Sandy 
McKinzy at (202) 395-3640.

FOR FURTHER INFORMATION CONTACT: Jared Wessel, Assistant General 
Counsel, or Ben Kostrzewa, Assistant General Counsel, Office of the 
United States Trade Representative, 600 17th Street NW., Washington, DC 
20508, (202) 395-3150.

SUPPLEMENTARY INFORMATION: USTR is providing notice that consultations 
have been requested pursuant to the WTO Understanding on Rules and 
Procedures Governing the Settlement of Disputes (``DSU''). If such 
consultations should fail to resolve the matter and a dispute 
settlement panel is established pursuant to the DSU, such panel, which 
would hold its meetings in Geneva, Switzerland, would be expected to 
issue a report on its findings and recommendations within six to nine 
months after it is established.

Major Issues Raised by the United States

    On March 13, 2012, the United States requested consultations 
regarding China's restraints on the export from China of various forms 
of rare earths (``rare earths'' include, but are not limited to, items 
falling under the following eight-digit HS numbers identified in the 
Announcement No. 27 Issuing the 2012 Tariff Implementation Program 
(State Council Customs Tariff Commission, shuiweihui, No. 27, issued 
December 9, 2011, effective January 1, 2012) (hereinafter, the ``2012 
Tariff Implementation Program''): 25309020, 26122000, 28053011, 
28053012, 28053013, 28053014, 28053015, 28053016, 28053017, 28053019, 
28053021, 28053029, 28461010, 28461020, 28461030, 28461090, 28469011, 
28469012, 28469013, 28469014, 28469015, 28469016, 28469017, 28469019, 
28469021, 28469022, 28469023, 28469024, 28469025, 28469026, 28469028, 
28469029, 28469031, 28469032, 28469033, 28469034, 28469035, 28469036, 
28469039, 28469041, 28469042, 28469043, 28469044, 28469045, 28469046, 
28469048, 28469049, 28469091, 28469092,

[[Page 20477]]

28469093, 28469094, 28469095, 28469096, 28469099, 72029911, 72029919, 
72029991, 72029999, and 72051000. Forms of rare earths also include, 
but are not limited to, items falling under the following 10-digit 
Chinese Customs Commodity Codes (``CCC Codes''), as identified in the 
Notice on Issuing the ``2012 Export Licensing Management Commodities 
List,'' Ministry of Commerce and General Administration of Customs 
Notice No. 98 (December 30, 2011), (hereinafter the ``2012 Export 
Licensing Management Commodities List''): 2530902010, 2530902090, 
2612200000, 2805301100, 2805301200, 2805301300, 2805301400, 2805301510, 
2805301590, 2805301600, 2805301700, 2805301913, 2805301914, 2805301915, 
2805301990, 2805302110, 2805302190, 2805302910, 2805302990, 2846101000, 
2846102000, 2846103000, 2846109010, 2846109090, 2846901100, 2846901200, 
2846901300, 2846901400, 2846901500, 2846901600, 2846901700, 2846901920, 
2846901930, 2846901940, 2846901970, 2846901980, 2846901991, 2846901992, 
2846901999, 2846902100, 2846902200, 2846902300, 2846902400, 2846902500, 
2846902600, 2846902810, 2846902890, 2846902900, 2846903100, 2846903200, 
2846903300, 2846903400, 2846903500, 2846903600, 2846903900, 2846904100, 
2846904200, 2846904300, 2846904400, 2846904500, 2846904600, 2846904810, 
2846904890, 2846904900, 2846909100, 2846909200, 2846909300, 2846909400, 
2846909500, 2846909600, 2846909910, 2846909990, 7202991100, 7202991200, 
7202991900, 7202999110, 7202999191, 7202999199, and 7202999900. Forms 
of rare earths may also include the following CCC Codes listed in the 
Announcement Regarding Export Declarations for Rare Earth Products, 
(General Administration of Customs, No. 37, issued May 27, 2011, 
effective June 1, 2011): 25309020, 26122000, 280530, 2846, 32065000, 
36069011, 36069019, 38249099, 72029911, 72029912, 72029919, 72029991, 
72029999, 72044900, 72051000, 72052100, and 85051110); tungsten 
(``tungsten'' includes, but is not limited to, items falling under the 
following eight-digit HS numbers, as identified in the 2012 Tariff 
Implementation Program: 26209910, 28259011, 28259012, 28259019, 
28418010, 28418020, 28418030, 28418040, 28418090, 28499020, 72028010, 
72028020, 81011000, 81019400, and 81019700. Forms of tungsten also 
include, but are not limited to, items falling under the following 10-
digit CCC Codes, as identified in the 2012 Export Licensing Management 
Commodities List: 2611000000, 2620991000, 2825901100, 2825901200, 
2825901910, 2841801000, 2841802000, 2841803000, 2841804000, 2849902000, 
3824300010, 7202801000, 7202802000, 8101100010, 8101100090, 8101940000, 
and 8101970000); and molybdenum (``molybdenum'' includes, but is not 
limited to, items falling under the following eight-digit HS numbers, 
as identified in the 2012 Tariff Implementation Program: 26131000, 
26139000, 28257000, 28417010, 28417090, 72027000, 81021000, 81029400, 
81029700. Forms of molybdenum also include, but are not limited to, 
items falling under the following 10-digit CCC Codes, as identified in 
the 2012 Export Licensing Management Commodities List: 2613100000, 
2613900000, 2825700000, 2841701000, 2841709000, 7202700000, 8102100000, 
8102940000, 8102970000, and 8102990000).
    These export restraints include: Export duties on the materials; 
quantitative restrictions such as quotas on the export of the 
materials; additional requirements and procedures in connection with 
the administration of the quantitative restrictions on the export of 
the materials, including, but not limited to, fees and formalities, 
restrictions on the right to export such as prior export experience 
requirements and minimum capital requirements, and other conditions 
that appear to treat foreign-invested entities differently from 
domestic entities; licensing requirements on the export of the 
materials, including in connection with the administration of the 
quantitative restrictions imposed on the materials; and a minimum 
export price system for the export of the materials. In addition, China 
appears to administer these export restraints and the requirements and 
procedures in connection with the export restraints in a manner that is 
not uniform, impartial, reasonable, or transparent. It further appears 
that China imposes and administers these export restraints through 
measures that are not published.
    USTR believes that these export restraints and China's 
administration of and manner of imposing these export restraints are 
inconsistent with China's obligations under Articles VII, VIII, X, and 
XI of the General Agreement on Tariffs and Trade 1994; paragraphs 
2(A)2, 2(C)1, 5.1, 5.2, 7.2, 8.2 and 11.3 of Part I of the Protocol on 
the Accession of the People's Republic of China (``Accession 
Protocol''); and the provisions of paragraph 1.2 of Part I of the 
Accession Protocol (which incorporates commitments in paragraphs 83, 
84, 162, and 165 of the Report of the Working Party on the Accession of 
China).

Public Comment: Requirements for Submissions

    Interested persons are invited to submit written comments 
concerning the issues raised in this dispute. Persons may submit public 
comments electronically to www.regulations.gov docket number USTR 2012-
0005. If you are unable to provide submissions by www.regulations.gov, 
please contact Sandy McKinzy at (202) 395-9483 to arrange for an 
alternative method of transmission.
    To submit comments via www.regulations.gov, enter docket number 
USTR 2012-0005 on the home page and click ``search''. The site will 
provide a search-results page listing all documents associated with 
this docket. Find a reference to this notice by selecting ``Notice'' 
under ``Document Type'' on the left side of the search-results page, 
and click on the link entitled ``Submit a Comment''. (For further 
information on using the www.regulations.gov Web site, please consult 
the resources provided on the Web site by clicking on ``How to Use This 
Site'' on the left side of the home page.)
    The www.regulations.gov site provides the option of providing 
comments by filling in a ``Type Comments'' field, or by attaching a 
document using an ``upload file'' field. It is expected that most 
comments will be provided in an attached document. If a document is 
attached, it is sufficient to type ``See attached'' in the ``Type 
Comments'' field.
    A person requesting that information contained in a comment 
submitted by that person be treated as confidential business 
information must certify that such information is business confidential 
and would not customarily be released to the public by the submitter. 
Confidential business information must be clearly designated as such 
and the submission must be marked ``BUSINESS CONFIDENTIAL'' at the top 
and bottom of the cover page and each succeeding page. Any comment 
containing business confidential information must be submitted by fax 
to Sandy McKinzy at (202) 395-3640. A non-confidential summary of the 
confidential information must be submitted to www.regulations.gov. The 
non-confidential summary will be placed in the docket and open to 
public inspection.
    Information or advice contained in a comment submitted, other than 
business confidential information, may be

[[Page 20478]]

determined by USTR to be confidential in accordance with section 
135(g)(2) of the Trade Act of 1974 (19 U.S.C. 2155(g)(2)). If the 
submitter believes that information or advice may qualify as such, the 
submitter--
    (1) Must clearly so designate the information or advice;
    (2) Must clearly mark the material as ``SUBMITTED IN CONFIDENCE'' 
at the top and bottom of the cover page and each succeeding page; and
    (3) Must provide a non-confidential summary of the information or 
advice.
    Any comment containing confidential information must be submitted 
by fax. A non-confidential summary of the confidential information must 
be submitted to www.regulations.gov. The non-confidential summary will 
be placed in the docket and open to public inspection.
    Pursuant to section 127(e) of the Uruguay Round Agreements Act (19 
U.S.C. 3537(e)), USTR will maintain a docket on this dispute settlement 
proceeding accessible to the public at www.regulations.gov, docket 
number USTR 2012-0005. The public file will include non-confidential 
comments received by USTR from the public with respect to the dispute. 
If a dispute settlement panel is convened or in the event of an appeal 
from such a panel, the U.S. submissions, any non-confidential 
submissions, or non-confidential summaries of submissions, received 
from other participants in the dispute, will be made available to the 
public on USTR's Web site at www.ustr.gov, and the report of the panel, 
and, if applicable, the report of the Appellate Body, will be available 
on the Web site of the World Trade Organization, www.wto.org. Comments 
open to public inspection may be viewed on the www.regulations.gov Web 
site.

Bradford Ward,
Acting Assistant United States Trade Representative for Monitoring and 
Enforcement.
[FR Doc. 2012-8018 Filed 4-3-12; 8:45 am]
BILLING CODE 3190-W2-P