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SELECT FISCAL YEAR 1996 BUDGET PROPOSALS AND POSSIBLE GSP EXTENSION HEARING BEFORE THE SUBCOMMITTEE ON TRADE OF THE COMMITTEE ON WAYS AND MEANS HOUSE OF REPRESENTATIVES ONE HUNDRED FOURTH CONGRESS FIRST SESSION FEBRUARY 27, 1995 Serial 104-9 Printed for the use of the Committee on Ways and Means a U.S, GOVERNMENT PRINTING OFFICE 92-961 Cc WASHINGTON : 1996 For sale by the U.S. Goverment Printing Office Congressional Sales Office, Washington, DC 20402 Superimendent of 5, Con ISBN 0-16-047579-1 COMMITTEE ON WAYS AND MEANS BILL ARCHER, Texas, Chairman PHILIP M. CRANE, Illinois SAM M. GIBBONS, Florida BILL THOMAS, California CHARLES B. RANGEL, New York £. CLAY SHAW, JR,, Florida FORTNEY PETE STARK, California NANCY L. JOHNSON, Connecticut, ANDY JACOBS, Jn, Indiana SIM BUNNING, Kentucky HAROLD E. FORD, Tennesse AMO HOUGHTON, New York ROBERT T. MATSUI, California WALLY HERGER, California BARBARA B. KENNELLY, Connecticut JIM MCCRERY, Louisiana WILLIAM J. COYNE, Penneylvania MEL HANCOCK, Missouri SANDER M. LEVIN, Michigan DAVE CAMP, Michigan BENJAMIN L. CARDIN, Maryland JIM RAMSTAD, Minnesota JIM McDERMOTT, Washington DICK ZIMMER, New Jersey GERALD D. KLECZKA, Wisconsin JIM NUSSLE, Iowa JOHN LEWIS, Georgia SAM JOHNSON, Texas LF. PAYNE, Virginia JENNIFER DUNN, Washington RICHARD E. NEAL, Massachusetts MAC COLLINS, Georgia ROB PORTMAN, Ohio PHILIP S. ENGLISH, Pennsylvania JOHN ENSIGN, Nevada JON CHRISTENSEN, Nebraska PHOLUP D. MosELEY, Chief of Staff JANICE Mavs, Minority Chief Counsel SUBCOMMITTEE ON TRADE PHILIP M. CRANE, Ilinois, Chairman BILL THOMAS, California CHARLES B. RANGEL, New York E. CLAY SHAW, JR., Florida SAM M. GIBBONS, Florida AMO HOUGHTON, New York ROBERT T. MATSUI, California MEL HANCOCK, Missouri WILLIAM J. COYNE, Pennsylvania DAVE CAMP, Michigan LF. PAYNE, Virginia JIM RAMSTAD, Minnesota RICHARD E. NEAL, Massachusetts DICK ZIMMER, New Jersey JENNIFER DUNN, Washington a CONTENTS Advisory of February 14, 1995, announcing the hearing WITNESSES US. International Trade Commission, Hon. Peter S. Watson, Chairman .. 5 US. Customs Service, Michael H. Lane, Deputy Commissioner 66 Office of the U.S. Trade Representative, Ira Shapiro, Senior Negotiator .. 128 US. General unting International Trade, Division ... 157 American Association of Exporters & Importers, Bruce N. Shulman .. 173 Coalition for GSP, Robin W. Lanie: 168 Department 56, Inc., David H. Weiser 178 Intern ional Labor Righta Education and Research Fund, Benjamin 182 avin International Mass Retail Association, Robin W. Lanier 168 SUBMISSIONS FOR THE RECORD American Chamber of Commerce of the Dominican Republic, statement .. 189 American Federation of Labor and Congress of Indust Mark A. Anderson, statement .. Apple Computer, Inc., William P. Atgentine Republic, Embassy of, Hi | ment Barrow, Rabe ange, Consursers for World Trade, Doreen L. Brows ieiter Copper & Brass Fabricators Council, Inc., Joseph statement and attachment Cuza, Fermin: Foreign Trade Association of Southern Californit Grech Republic, Embass} of, His Excellency Mi ‘Ys Dominican Association of Free Tones Baber W. Johnson II, statement Organizati 203 Fasig, William P., Apple Comy , letter » 193 Foreign Trade Association of Souihers Califor, and attachment 211 General Electric Co. 216 Glick, Leslie Alan, Tek Ines Partin 256 Gordon, Steven B., , Norwalk, ml International Patella Property ‘Alliance, Steven J. 217 International Ladies’ Garment Workers’ Union, AFL-CIO, Jay Mazur, siaie- ment 219 Inter-Tel, ih 222 Carolyn S. Sinclair, lette 223 Jamaica, Government of, His attachment 224

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