ExecutiveOrdersEO
Proc 7857ProclamationG.W. Bush · R Quiet signal

Proclamation 7857

To Implement the United States-Australia Free Trade Agreement

This proclamation implements the United States-Australia Free Trade Agreement (USAFTA) by modifying the Harmonized Tariff Schedule to establish preferential tariff treatment, rules of origin, and tariff-rate quotas for Australian goods. It delegates authority to the Secretary of Commerce to create an administrative office for dispute panels and to the Committee for the Implementation of Textile Agreements (CITA) for textile/apparel enforcement and safeguard actions.

Federal Register Open PDF 69 FR 77135

Impact dates

  1. Initial stage duty elimination and tariff-rate quotas effective per dates in Annex II of Publication 3722

  2. Subsequent staged duty reductions for originating Australian products per Publication 3722

  3. Most proclamation provisions effective for goods entered or withdrawn from warehouse for consumption

Key directives

  • Modify HTS per Annex I of USITC Publication 3722 for preferential tariff treatment and rules of origin
  • Modify HTS per Annex II of Publication 3722 for initial duty elimination and tariff-rate quotas with staged future reductions
  • Secretary of Commerce to establish/designate office within Commerce for USAFTA Chapter 21 panel administrative assistance
  • CITA authorized to exercise presidential authority for textile/apparel enforcement under section 206
  • CITA authorized to exercise presidential authority for textile/apparel safeguard investigations and relief under sections 321-328
  • Supersede inconsistent prior proclamations and Executive Orders

Who is ordered

Timeline

Immediate

  • Proclamation signed December 20, 2004
  • HTS modifications incorporated by reference from USITC Publication 3722

Near term (90d)

  • January 1, 2005 effective date for most provisions
  • Initial stage of duty elimination begins per Annex II dates

Long term

  • Staged duty reductions continue on subsequent dates specified in Publication 3722
  • Ongoing CITA enforcement and safeguard authority for textile/apparel trade

Risks & tensions

  • Textile/apparel safeguards (sections 321-328) create potential for trade friction with Australia if relief granted
  • CITA exercising presidential authority may raise separation-of-power concerns or interagency tension with USTR/Commerce
  • Incorporation by reference of USITC Publication 3722 means actual tariff changes not fully visible in proclamation text itself
  • Unclear whether 'relevant dates indicated in Annex II' are same as or different from January 1, 2005 general effective date
Proclamation 7857: To Implement the United States-Australia Free Trade Agreement · Executive Orders