TNAG-2468-FCO40-3592-Most-favoured-nation-status-for-China-Hong-Kong-interests-1992 — Page 15

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Proposed Determinations and Action

Although officials of USTR and other United States agencies

have conducted extensive consultations with Chinese government

officials concerning these market access barriers, negotiations

have failed to resolve all of the issues under investigation.

Consequently, USTR proposes to determine pursuant to section

304 (a) (1) (A) (ii) of the Trade Act that these market access

barriers maintained by China are unreasonable or discriminatory

and burden or restrict United States commerce.

If USTR makes an affirmative determination pursuant to

section 304 (a) (1) (A) (ii), USTR also must determine whether action

by the United States is appropriate. If USTR determines that

action is appropriate, section 301(b) of the Trade Act directs

USTR to take all appropriate and feasible action to obtain the

elimination of the unreasonable or discriminatory act, policy or

practice.

Therefore, USTR proposes to take the following action,

pursuant to the authority provided by section 301 (c) (1) (B) of the

Trade Act: To increase duties up to 100 percent ad valorem upon

certain products of China. The products to be subjected to the

increased tariffs will be drawn from the list of products set

forth in the Annex to this notice. In making this determination,

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