83_FR_40587 83 FR 40429 - Adjusting Imports of Steel Into the United States

83 FR 40429 - Adjusting Imports of Steel Into the United States

Executive Office of the President

Federal Register Volume 83, Issue 158 (August 15, 2018)

Page Range40429-40432
FR Document2018-17703

Federal Register, Volume 83 Issue 158 (Wednesday, August 15, 2018)
[Federal Register Volume 83, Number 158 (Wednesday, August 15, 2018)]
[Presidential Documents]
[Pages 40429-40432]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-17703]




                        Presidential Documents 



Federal Register / Vol. 158, No. 83 / Wednesday, August 15, 2018 / 
Presidential Documents

___________________________________________________________________

Title 3--
The President

[[Page 40429]]

                Proclamation 9772 of August 10, 2018

                
Adjusting Imports of Steel Into the United States

                By the President of the United States of America

                A Proclamation

                1. On January 11, 2018, the Secretary of Commerce 
                (Secretary) transmitted to me a report on his 
                investigation into the effect of imports of steel 
                articles on the national security of the United States 
                under section 232 of the Trade Expansion Act of 1962, 
                as amended (19 U.S.C. 1862). The Secretary found and 
                advised me of his opinion that steel articles are being 
                imported into the United States in such quantities and 
                under such circumstances as to threaten to impair the 
                national security of the United States.

                2. In Proclamation 9705 of March 8, 2018 (Adjusting 
                Imports of Steel Into the United States), I concurred 
                in the Secretary's finding that steel articles, as 
                defined in clause 1 of Proclamation 9705, as amended by 
                clause 8 of Proclamation 9711 of March 22, 2018 
                (Adjusting Imports of Steel Into the United States), 
                are being imported into the United States in such 
                quantities and under such circumstances as to threaten 
                to impair the national security of the United States, 
                and decided to adjust the imports of these steel 
                articles by imposing a 25 percent ad valorem tariff on 
                such articles imported from most countries.

                3. In Proclamation 9705, I also directed the Secretary 
                to monitor imports of steel articles and inform me of 
                any circumstances that in the Secretary's opinion might 
                indicate the need for further action under section 232 
                with respect to such imports.

                4. The Secretary has informed me that while capacity 
                utilization in the domestic steel industry has 
                improved, it is still below the target capacity 
                utilization level the Secretary recommended in his 
                report. Although imports of steel articles have 
                declined since the imposition of the tariff, I am 
                advised that they are still several percentage points 
                greater than the level of imports that would allow 
                domestic capacity utilization to reach the target 
                level.

                5. In light of the fact that imports have not declined 
                as much as anticipated and capacity utilization has not 
                increased to that target level, I have concluded that 
                it is necessary and appropriate in light of our 
                national security interests to adjust the tariff 
                imposed by previous proclamations.

                6. In the Secretary's January 2018 report, the 
                Secretary recommended that I consider applying a higher 
                tariff to a list of specific countries should I 
                determine that all countries should not be subject to 
                the same tariff. One of the countries on that list was 
                the Republic of Turkey (Turkey). As the Secretary 
                explained in that report, Turkey is among the major 
                exporters of steel to the United States for domestic 
                consumption. To further reduce imports of steel 
                articles and increase domestic capacity utilization, I 
                have determined that it is necessary and appropriate to 
                impose a 50 percent ad valorem tariff on steel articles 
                imported from Turkey, beginning on August 13, 2018. The 
                Secretary has advised me that this adjustment will be a 
                significant step toward ensuring the viability of the 
                domestic steel industry.

                7. Section 232 of the Trade Expansion Act of 1962, as 
                amended, authorizes the President to adjust the imports 
                of an article and its derivatives that are being 
                imported into the United States in such quantities or 
                under such circumstances as to threaten to impair the 
                national security.

[[Page 40430]]

                8. Section 604 of the Trade Act of 1974, as amended (19 
                U.S.C. 2483), authorizes the President to embody in the 
                Harmonized Tariff Schedule of the United States (HTSUS) 
                the substance of statutes affecting import treatment, 
                and actions thereunder, including the removal, 
                modification, continuance, or imposition of any rate of 
                duty or other import restriction.

                NOW, THEREFORE, I, DONALD J. TRUMP, President of the 
                United States of America, by the authority vested in me 
                by the Constitution and the laws of the United States 
                of America, including section 232 of the Trade 
                Expansion Act of 1962, as amended, section 301 of title 
                3, United States Code, and section 604 of the Trade Act 
                of 1974, as amended, do hereby proclaim as follows:

                    (1) In order to establish increases in the duty 
                rate on imports of steel articles from Turkey, 
                subchapter III of chapter 99 of the HTSUS is modified 
                as provided in the Annex to this proclamation. Clause 2 
                of Proclamation 9705, as amended by clause 1 of 
                Proclamation 9740 of April 30, 2018 (Adjusting Imports 
                of Steel Into the United States), is further amended by 
                striking the last two sentences and inserting in lieu 
                thereof the following three sentences: ``Except as 
                otherwise provided in this proclamation, or in notices 
                published pursuant to clause 3 of this proclamation, 
                all steel articles imports specified in the Annex shall 
                be subject to an additional 25 percent ad valorem rate 
                of duty with respect to goods entered for consumption, 
                or withdrawn from warehouse for consumption, as 
                follows: (a) on or after 12:01 a.m. eastern daylight 
                time on March 23, 2018, from all countries except 
                Argentina, Australia, Brazil, Canada, Mexico, South 
                Korea, and the member countries of the European Union; 
                (b) on or after 12:01 a.m. eastern daylight time on 
                June 1, 2018, from all countries except Argentina, 
                Australia, Brazil, and South Korea; and (c) on or after 
                12:01 a.m. eastern daylight time on August 13, 2018, 
                from all countries except Argentina, Australia, Brazil, 
                South Korea, and Turkey. Further, except as otherwise 
                provided in notices published pursuant to clause 3 of 
                this proclamation, all steel articles imports from 
                Turkey specified in the Annex shall be subject to a 50 
                percent ad valorem rate of duty with respect to goods 
                entered for consumption, or withdrawn from warehouse 
                for consumption, on or after 12:01 a.m. eastern 
                daylight time on August 13, 2018. These rates of duty, 
                which are in addition to any other duties, fees, 
                exactions, and charges applicable to such imported 
                steel articles, shall apply to imports of steel 
                articles from each country as specified in the 
                preceding two sentences.''.
                    (2) The text of U.S. note 16(a)(i) to subchapter 
                III of chapter 99 of the HTSUS is amended by deleting 
                ``Heading 9903.80.01 provides'' and inserting the 
                following in lieu thereof: ``Except as provided in U.S. 
                note 16(a)(ii), which applies to products of Turkey 
                that are provided for in heading 9903.80.02, heading 
                9903.80.01 provides''.
                    (3) U.S. note 16(a)(ii) to subchapter III of 
                chapter 99 of the HTSUS is re-designated as U.S. note 
                16(a)(iii) to subchapter III of chapter 99 of the 
                HTSUS.
                    (4) The following new U.S. note 16(a)(ii) to 
                subchapter III of chapter 99 of the HTSUS is inserted 
                in numerical order: ``(ii) Heading 9903.80.02 provides 
                the ordinary customs duty treatment of iron or steel 
                products of Turkey, pursuant to the article description 
                of such heading. For any such products that are 
                eligible for special tariff treatment under any of the 
                free trade agreements or preference programs listed in 
                general note 3(c)(i) to the tariff schedule, the duty 
                provided in this heading shall be collected in addition 
                to any special rate of duty otherwise applicable under 
                the appropriate tariff subheading, except where 
                prohibited by law. Goods for which entry is claimed 
                under a provision of chapter 98 and which are subject 
                to the additional duties prescribed herein shall be 
                eligible for and subject to the terms of such provision 
                and applicable U.S. Customs and Border Protection 
                (``CBP'') regulations, except that duties under 
                subheading 9802.00.60 shall be assessed based upon the 
                full value of the imported article. No claim for entry 
                or for any duty exemption or reduction

[[Page 40431]]

                shall be allowed for the iron or steel products 
                enumerated in subdivision (b) of this note under a 
                provision of chapter 99 that may set forth a lower rate 
                of duty or provide duty-free treatment, taking into 
                account information supplied by CBP, but any additional 
                duty prescribed in any provision of this subchapter or 
                subchapter IV of chapter 99 shall be imposed in 
                addition to the duty in heading 9903.80.02.''.
                    (5) Paragraphs (b), (c), and (d) of U.S. note 16 to 
                subchapter III of chapter 99 of the HTSUS are each 
                amended by replacing ``heading 9903.80.01'' with 
                ``headings 9903.80.01 and 9903.80.02''.
                    (6) The ``Article description'' for heading 
                9903.80.01 of the HTSUS is amended by replacing ``of 
                Brazil'' with ``of Brazil, of Turkey''.
                    (7) The modifications to the HTSUS made by clauses 
                2 through 6 of this proclamation and the Annex to this 
                proclamation shall be effective with respect to goods 
                entered for consumption, or withdrawn from warehouse 
                for consumption, on or after 12:01 a.m. eastern 
                daylight time on August 13, 2018, and shall continue in 
                effect, unless such actions are expressly reduced, 
                modified, or terminated.
                    (8) The Secretary, in consultation with U.S. 
                Customs and Border Protection of the Department of 
                Homeland Security and other relevant executive 
                departments and agencies, shall revise the HTSUS so 
                that it conforms to the amendments directed by this 
                proclamation. The Secretary shall publish any such 
                modification to the HTSUS in the Federal Register.
                    (9) Any provision of previous proclamations and 
                Executive Orders that is inconsistent with the actions 
                taken in this proclamation is superseded to the extent 
                of such inconsistency.

                IN WITNESS WHEREOF, I have hereunto set my hand this 
                tenth day of August, in the year of our Lord two 
                thousand eighteen, and of the Independence of the 
                United States of America the two hundred and forty-
                third.
                
                
                    (Presidential Sig.)

Billing code 3295-F8-P



[[Page 40432]]

[GRAPHIC] [TIFF OMITTED] TD15AU18.013


[FR Doc. 2018-17703
Filed 8-14-18; 8:45 a.m.]
Billing code 7020-02-C



                                                                                                                                                                                 40429

                                                 Federal Register                                    Presidential Documents
                                                 Vol. 158, No. 83

                                                 Wednesday, August 15, 2018



                                                 Title 3—                                            Proclamation 9772 of August 10, 2018

                                                 The President                                       Adjusting Imports of Steel Into the United States

                                                                                                     By the President of the United States of America

                                                                                                     A Proclamation
                                                                                                     1. On January 11, 2018, the Secretary of Commerce (Secretary) transmitted
                                                                                                     to me a report on his investigation into the effect of imports of steel articles
                                                                                                     on the national security of the United States under section 232 of the
                                                                                                     Trade Expansion Act of 1962, as amended (19 U.S.C. 1862). The Secretary
                                                                                                     found and advised me of his opinion that steel articles are being imported
                                                                                                     into the United States in such quantities and under such circumstances
                                                                                                     as to threaten to impair the national security of the United States.
                                                                                                     2. In Proclamation 9705 of March 8, 2018 (Adjusting Imports of Steel Into
                                                                                                     the United States), I concurred in the Secretary’s finding that steel articles,
                                                                                                     as defined in clause 1 of Proclamation 9705, as amended by clause 8 of
                                                                                                     Proclamation 9711 of March 22, 2018 (Adjusting Imports of Steel Into the
                                                                                                     United States), are being imported into the United States in such quantities
                                                                                                     and under such circumstances as to threaten to impair the national security
                                                                                                     of the United States, and decided to adjust the imports of these steel articles
                                                                                                     by imposing a 25 percent ad valorem tariff on such articles imported from
                                                                                                     most countries.
                                                                                                     3. In Proclamation 9705, I also directed the Secretary to monitor imports
                                                                                                     of steel articles and inform me of any circumstances that in the Secretary’s
                                                                                                     opinion might indicate the need for further action under section 232 with
                                                                                                     respect to such imports.
                                                                                                     4. The Secretary has informed me that while capacity utilization in the
                                                                                                     domestic steel industry has improved, it is still below the target capacity
                                                                                                     utilization level the Secretary recommended in his report. Although imports
                                                                                                     of steel articles have declined since the imposition of the tariff, I am advised
                                                                                                     that they are still several percentage points greater than the level of imports
                                                                                                     that would allow domestic capacity utilization to reach the target level.
                                                                                                     5. In light of the fact that imports have not declined as much as anticipated
                                                                                                     and capacity utilization has not increased to that target level, I have con-
                                                                                                     cluded that it is necessary and appropriate in light of our national security
                                                                                                     interests to adjust the tariff imposed by previous proclamations.
                                                                                                     6. In the Secretary’s January 2018 report, the Secretary recommended that
                                                                                                     I consider applying a higher tariff to a list of specific countries should
                                                                                                     I determine that all countries should not be subject to the same tariff.
                                                                                                     One of the countries on that list was the Republic of Turkey (Turkey).
                                                                                                     As the Secretary explained in that report, Turkey is among the major export-
                                                                                                     ers of steel to the United States for domestic consumption. To further reduce
                                                                                                     imports of steel articles and increase domestic capacity utilization, I have
                                                                                                     determined that it is necessary and appropriate to impose a 50 percent
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                                                                                                     ad valorem tariff on steel articles imported from Turkey, beginning on August
                                                                                                     13, 2018. The Secretary has advised me that this adjustment will be a
                                                                                                     significant step toward ensuring the viability of the domestic steel industry.
                                                                                                     7. Section 232 of the Trade Expansion Act of 1962, as amended, authorizes
                                                                                                     the President to adjust the imports of an article and its derivatives that
                                                                                                     are being imported into the United States in such quantities or under such
                                                                                                     circumstances as to threaten to impair the national security.


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                                                 40430            Federal Register / Vol. 158, No. 83 / Wednesday, August 15, 2018 / Presidential Documents

                                                                                                     8. Section 604 of the Trade Act of 1974, as amended (19 U.S.C. 2483),
                                                                                                     authorizes the President to embody in the Harmonized Tariff Schedule of
                                                                                                     the United States (HTSUS) the substance of statutes affecting import treat-
                                                                                                     ment, and actions thereunder, including the removal, modification, continu-
                                                                                                     ance, or imposition of any rate of duty or other import restriction.
                                                                                                     NOW, THEREFORE, I, DONALD J. TRUMP, President of the United States
                                                                                                     of America, by the authority vested in me by the Constitution and the
                                                                                                     laws of the United States of America, including section 232 of the Trade
                                                                                                     Expansion Act of 1962, as amended, section 301 of title 3, United States
                                                                                                     Code, and section 604 of the Trade Act of 1974, as amended, do hereby
                                                                                                     proclaim as follows:
                                                                                                        (1) In order to establish increases in the duty rate on imports of steel
                                                                                                     articles from Turkey, subchapter III of chapter 99 of the HTSUS is modified
                                                                                                     as provided in the Annex to this proclamation. Clause 2 of Proclamation
                                                                                                     9705, as amended by clause 1 of Proclamation 9740 of April 30, 2018
                                                                                                     (Adjusting Imports of Steel Into the United States), is further amended
                                                                                                     by striking the last two sentences and inserting in lieu thereof the following
                                                                                                     three sentences: ‘‘Except as otherwise provided in this proclamation, or
                                                                                                     in notices published pursuant to clause 3 of this proclamation, all steel
                                                                                                     articles imports specified in the Annex shall be subject to an additional
                                                                                                     25 percent ad valorem rate of duty with respect to goods entered for consump-
                                                                                                     tion, or withdrawn from warehouse for consumption, as follows: (a) on
                                                                                                     or after 12:01 a.m. eastern daylight time on March 23, 2018, from all countries
                                                                                                     except Argentina, Australia, Brazil, Canada, Mexico, South Korea, and the
                                                                                                     member countries of the European Union; (b) on or after 12:01 a.m. eastern
                                                                                                     daylight time on June 1, 2018, from all countries except Argentina, Australia,
                                                                                                     Brazil, and South Korea; and (c) on or after 12:01 a.m. eastern daylight
                                                                                                     time on August 13, 2018, from all countries except Argentina, Australia,
                                                                                                     Brazil, South Korea, and Turkey. Further, except as otherwise provided
                                                                                                     in notices published pursuant to clause 3 of this proclamation, all steel
                                                                                                     articles imports from Turkey specified in the Annex shall be subject to
                                                                                                     a 50 percent ad valorem rate of duty with respect to goods entered for
                                                                                                     consumption, or withdrawn from warehouse for consumption, on or after
                                                                                                     12:01 a.m. eastern daylight time on August 13, 2018. These rates of duty,
                                                                                                     which are in addition to any other duties, fees, exactions, and charges
                                                                                                     applicable to such imported steel articles, shall apply to imports of steel
                                                                                                     articles from each country as specified in the preceding two sentences.’’.
                                                                                                       (2) The text of U.S. note 16(a)(i) to subchapter III of chapter 99 of the
                                                                                                     HTSUS is amended by deleting ‘‘Heading 9903.80.01 provides’’ and inserting
                                                                                                     the following in lieu thereof: ‘‘Except as provided in U.S. note 16(a)(ii),
                                                                                                     which applies to products of Turkey that are provided for in heading
                                                                                                     9903.80.02, heading 9903.80.01 provides’’.
                                                                                                       (3) U.S. note 16(a)(ii) to subchapter III of chapter 99 of the HTSUS is
                                                                                                     re-designated as U.S. note 16(a)(iii) to subchapter III of chapter 99 of the
                                                                                                     HTSUS.
                                                                                                       (4) The following new U.S. note 16(a)(ii) to subchapter III of chapter
                                                                                                     99 of the HTSUS is inserted in numerical order: ‘‘(ii) Heading 9903.80.02
                                                                                                     provides the ordinary customs duty treatment of iron or steel products
                                                                                                     of Turkey, pursuant to the article description of such heading. For any
                                                                                                     such products that are eligible for special tariff treatment under any of
                                                                                                     the free trade agreements or preference programs listed in general note
                                                                                                     3(c)(i) to the tariff schedule, the duty provided in this heading shall be
                                                                                                     collected in addition to any special rate of duty otherwise applicable under
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                                                                                                     the appropriate tariff subheading, except where prohibited by law. Goods
                                                                                                     for which entry is claimed under a provision of chapter 98 and which
                                                                                                     are subject to the additional duties prescribed herein shall be eligible for
                                                                                                     and subject to the terms of such provision and applicable U.S. Customs
                                                                                                     and Border Protection (‘‘CBP’’) regulations, except that duties under sub-
                                                                                                     heading 9802.00.60 shall be assessed based upon the full value of the im-
                                                                                                     ported article. No claim for entry or for any duty exemption or reduction


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                                                                  Federal Register / Vol. 158, No. 83 / Wednesday, August 15, 2018 / Presidential Documents                      40431

                                                                                                     shall be allowed for the iron or steel products enumerated in subdivision
                                                                                                     (b) of this note under a provision of chapter 99 that may set forth a lower
                                                                                                     rate of duty or provide duty-free treatment, taking into account information
                                                                                                     supplied by CBP, but any additional duty prescribed in any provision of
                                                                                                     this subchapter or subchapter IV of chapter 99 shall be imposed in addition
                                                                                                     to the duty in heading 9903.80.02.’’.
                                                                                                       (5) Paragraphs (b), (c), and (d) of U.S. note 16 to subchapter III of chapter
                                                                                                     99 of the HTSUS are each amended by replacing ‘‘heading 9903.80.01’’
                                                                                                     with ‘‘headings 9903.80.01 and 9903.80.02’’.
                                                                                                       (6) The ‘‘Article description’’ for heading 9903.80.01 of the HTSUS is
                                                                                                     amended by replacing ‘‘of Brazil’’ with ‘‘of Brazil, of Turkey’’.
                                                                                                       (7) The modifications to the HTSUS made by clauses 2 through 6 of
                                                                                                     this proclamation and the Annex to this proclamation shall be effective
                                                                                                     with respect to goods entered for consumption, or withdrawn from warehouse
                                                                                                     for consumption, on or after 12:01 a.m. eastern daylight time on August
                                                                                                     13, 2018, and shall continue in effect, unless such actions are expressly
                                                                                                     reduced, modified, or terminated.
                                                                                                       (8) The Secretary, in consultation with U.S. Customs and Border Protection
                                                                                                     of the Department of Homeland Security and other relevant executive depart-
                                                                                                     ments and agencies, shall revise the HTSUS so that it conforms to the
                                                                                                     amendments directed by this proclamation. The Secretary shall publish any
                                                                                                     such modification to the HTSUS in the Federal Register.
                                                                                                       (9) Any provision of previous proclamations and Executive Orders that
                                                                                                     is inconsistent with the actions taken in this proclamation is superseded
                                                                                                     to the extent of such inconsistency.
                                                                                                     IN WITNESS WHEREOF, I have hereunto set my hand this tenth day of
                                                                                                     August, in the year of our Lord two thousand eighteen, and of the Independ-
                                                                                                     ence of the United States of America the two hundred and forty-third.




                                                 Billing code 3295–F8–P
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                                                                                                                                                                                         Trump.EPS</GPH>




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                                                 40432            Federal Register / Vol. 158, No. 83 / Wednesday, August 15, 2018 / Presidential Documents



                                                                                                                           ANNEX
                                                                          TO MODIFY CERTAIN PROVISIONS OF CHAPTER 99 OF
                                                                      THE HARMONIZED TARIFF SCHEDULE OF THE UNITED STATES

                                                         Effective with respect to goods entered for consumption, or withdrawn from warehouse for
                                                         consumption, on or after 12:01 a.m. eastern daylight time on August 13, 2018, subchapter III of
                                                         chapter 99 of the Harmonized Tariff Schedule of the United States is modified by inserting in
                                                         numerical sequence the following new tariff provision, with the material in the new tariff
                                                         provisions inserted in the columns labeled "Heading/Subheading", "Article Description", "Rates
                                                         of Duty 1-General", "Rates ofDuty 1-Special," and "Rates ofbuty 2", respectively:


                                                                                                                                                                             Rates of Duty

                                                              Heading/                                      Article description                                              1               2
                                                             Subheading
                                                                                                                                                                 General         Special

                                                            9903.80.02           Products of iron or steel that are the product ofTurkey and
                                                                                 provided for in the tariff headings or subheadings
                                                                                 enumerated in note 16(b} to this subchapter, except any
                                                                                 exclusions that may be determined and announced by the
                                                                                 Department of Commerce ......................................................   50%
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                                                 [FR Doc. 2018–17703

                                                 Filed 8–14–18; 8:45 a.m.]
                                                 Billing code 7020–02–C
                                                                                                                                                                                                 ED15AU18.013</GPH>




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Document Created: 2018-08-15 01:26:10
Document Modified: 2018-08-15 01:26:10
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionPresidential Documents
FR Citation83 FR 40429 

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