International TradeNewsletter - February 12, 2002
In this Issue...
Report on African Growth and Opportunity Act
February 12, 2002
- A congressional delegation, led by Rep. Royce (R-CA), chair of the House
Africa Subcommittee, recently concluded a visit to South Africa, Lesotho and
Namibia to assess the effects of the African Growth and Opportunity Act (AGOA).
AGOA eliminated tariffs on about 1,800 items, including textiles, imported
from Africa into the United States. Rep. Royce reported a 62-percent
increase in imports from South Africa since the start of AGOA in January
2001, including automotive parts, leather goods, wines and apparel. The
congressman also reported a dramatic increase in employment in several
sectors. The U.S. International Trade Commission (USITC) reports that U.S.
imports from all AGOA-beneficiary countries for the first half of 2001
consisted primarily of energy-related products totaling $2.8 billion. The
remaining AGOA imports consisted of much smaller quantities of textiles and
apparel, minerals and metals, agricultural products, transportation
equipment and footwear. Steps underway to increase the impact of AGOA
include a bill, AGOA II, to expand the range of African-knitted textiles
eligible for duty-free access. The bill has already been incorporated into
the House version of the Andean Trade Promotion and Drug Eradication Act
(H.R. 3009). Additionally, the Office of the U.S. Trade Representative (USTR)
has proposed modifying the Generalized System of Preferences (GSP) program
to provide duty-free access for additional goods from AGOA-beneficiary
countries.
- The USITC is seeking comments with respect to the USTR proposal to modify
the GSP program to provide for the duty-free entry of unwrought manganese
flakes and of prepared and preserved pears from AGOA-beneficiary countries.
The USITC is expected to report to USTR by April 25, 2002. The USITC will
hold a public hearing on March 6, 2002. Requests to participate in the
hearing should be submitted no later than 5:15 p.m. on February 20, 2002.
The USITC also welcomes written submissions, addressed to the Secretary to
the Commission, and received at USITC by 5:15 p.m. on March 13, 2002.
- The USITC has issued a report, "U.S. Trade and Investment with
Sub-Saharan Africa," the second in a series of five intended to assist
President Bush in developing a comprehensive trade and development policy
for Africa. The report, (USITC Publication 3476), is available at http://www.usitc.gov
or by requesting a copy at 202-205-1809.
- The U.S. Department of Commerce has announced that it will lead a
delegation of U.S. firms to Africa to seek new business opportunities.