[Federal Register Volume 77, Number 132 (Tuesday, July 10, 2012)]
[Notices]
[Page 40589]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-16834]



[[Page 40589]]

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COMMITTEE FOR THE IMPLEMENTATION OF TEXTILE AGREEMENTS


Amendment to the 2012 Tariff Preference Level (TPL) for Nicaragua 
Under the Central America-Dominican Republic-United States Free Trade 
Agreement (CAFTA-DR)

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

ACTION: Amending the 2012 TPL for Nicaragua.

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DATES:  Effective Date: July 10, 2012.

SUMMARY: This notice reduces the 2012 TPL for Nicaragua to 96,529,059 
square meters equivalent to account for the shortfall in meeting the 
one-to-one commitment for cotton and man-made fiber woven trousers 
exported from Nicaragua to the United States.

FOR FURTHER INFORMATION CONTACT: Richard Stetson, International Trade 
Specialist, Office of Textiles and Apparel, U.S. Department of 
Commerce, (202) 482-2582.

SUPPLEMENTARY INFORMATION:

    Authority:  Annex 3.28 of the CAFTA-DR; Section 1634(a)(2) and 
(c)(2) of the Pension Protection Act of 2006 (Pub. L. 109-280); 
Presidential Proclamation 8111 of February 28, 2007.

    Background: Annex 3.28 of the CAFTA-DR establishes a TPL for non-
originating apparel goods of Nicaragua. Section 1634(a)(2) of the 
Pension Protection Act references the exchange of letters between the 
United States and Nicaragua, which establishes the one-to-one 
commitment for cotton and man-made fiber trousers. Section 1634(c)(2) 
of the Pension Protection Act authorizes the President to proclaim a 
reduction in the overall limit in the TPL if the President determines 
that Nicaragua has failed to comply with the one-to-one commitment. In 
Presidential Proclamation 8111, the President delegated to CITA the 
authority to determine whether Nicaragua had failed to comply with the 
one-to-one commitment and to reduce the overall limit in the TPL.
    In an exchange of letters dated March 24 and 27, 2006, Nicaragua 
agreed that for each square meter equivalent (SME) of exports of cotton 
and man-made fiber woven trousers entered under the TPL, Nicaragua 
would export to the United States an equal amount of cotton and man-
made fiber woven trousers made of U.S. formed fabric of U.S. formed 
yarn. Any shortfall in meeting this commitment that was not rectified 
by April 1 of the succeeding year would be applied against the TPL for 
the succeeding year. For 2011, the shortfall in meeting the one-to-one 
commitment is 3,470,941 square meters equivalent. This amount is being 
deducted from the 2012 TPL, resulting in a new TPL level for 2012 of 
96,529,059 square meters equivalent.

Kim Glas,
Chairman, Committee for the Implementation of Textile Agreements.
[FR Doc. 2012-16834 Filed 7-9-12; 8:45 am]
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