MemoMemorandumG.W. Bush · R Quiet signal

Presidential Memorandum

Determinations Under Section 1106(a) of the Omnibus Trade and Competitiveness Act of 1988People's Republic of China

President Bush determined that Chinese state trading enterprises significantly burden U.S. foreign trade, but found that China's pending WTO accession commitments satisfy statutory requirements, avoiding invocation of WTO nonapplication provisions against China. The memorandum directs publication in the Federal Register.

Impact dates

  1. Publication in Federal Register

Key directives

  • Publish this memorandum in the Federal Register

Who is ordered

Timeline

Immediate

  • Publication in Federal Register directed
  • Determinations on Chinese state trading enterprises made

Near term (90d)

  • China's WTO accession process continues (December 2001 entry)

Long term

  • Ongoing monitoring of Chinese SOE compliance with WTO commercial considerations commitment

Risks & tensions

  • Reliance on prospective WTO commitments rather than immediate enforcement creates compliance uncertainty
  • Document predates China's actual December 2001 WTO entry by one month
  • Statutory determination of 'undue burden' is overridden by anticipated treaty obligations
Presidential Memorandum: Determinations Under Section 1106(a) of the Omnibus Trade and Competitiveness Act of 1988People's Republic of China · Executive Orders