Ms. Sybia Harrison
Chairperson
Section 301 Committee
Office of the U.S. Trade Representative
600 17th Street, NW
Room 223
Washington, DC 20506
Fax: (202)395-3639
Subject: Comments Regarding the Proposed Imposition of Retaliatory Duties on Certain Bicycles Imported From China, Docket No. 301-02
Dear Ms. Harrison:
The Office of Advocacy is mandated by P.L. 94-305 to represent the views and interests of small businesses before Congress and Federal agencies when their policies, regulations, or other actions would affect the small business community.
The Office of Advocacy is aware of and appreciates the need for retaliatory actions against China regarding the piracy of intellectual property. Several small business in the United States are affected by China' s recalcitrant attitude towards the implementation of the 1995 IPR Agreement. Accordingly, we generally support retaliatory tariffs on certain items that are imported from China. However, the Office of Advocacy is concerned about the possible inclusion of bicycles with wheel diameters that are greater than 20 inches.
The Office of Advocacy has had a continuing interest in the affect that the inclusion of such bicycles on the retaliation list would have on independent bicycle shop owners. The independent shop owners make up a special niche in the bicycle industry. They deal primarily in the sale of high quality adult bicycles. Since more than half of their products are imported from China, the inclusion of adult bicycles on the retaliation list would cause irreparable harm to the independent dealers.
We commented on the issue in January 1995. The Office of Advocacy respectfully requests that you incorporate its January 1995 comment into the record. A copy of the 1995 comment is attached to this letter.
Finally, it is our understanding that the proposed list of products that was released by your office on May 15, 1996 did not include adult bicycles. As we enunciated in our January 1995 letter, the industry is seasonal in nature and the independent shop owners often have to plan approximately eight (8) months in advance. As such, they need to have adequate notice of any proposed retaliatory tariffs in order to explore alternative options for obtaining their products. Timing of any tariff on this category of bicycles is, therefore, important to minimize the adverse domestic U.S. impact.
If you have any questions about this matter. please feel free to contact Jennifer A. Smith, Esquire, Assistant Advocate at 202-205-6943.
Sincerely,
Jere Glover
Chief Counsel of Advocacy
Enclosures