PROCLAMATION 5923—DEC. 14, 1988 103 STAT. 2673 2. Section 201(a] of the Implementation Act authorizes the President to proclaim such modifications or continuance of existing duties, such continuance of existing duty-free or excise treatment, and such addi- tional duties, as the President determines are necessary or appropriate to carry out Article 401 of the Agreement (including the schediile of duty reductions with respect to goods originating in the territory of Canada set forth in Annexes 401.2 and 401.7). 3. Section 202 of the Implementation Act provides for certain rules of origin. I have determined that it is necessary to include in the Harmo- nized Tariff Schedule of the United States (HTS) the rules of origin set forth in section 202 (including the "Annex Rules," as that term is de- fined in section 202(d]). Fiu'ther, piu'suant to section 202(e) of the Imple- mentation Act, in order to conform the definition of Canadian articles of original motor-vehicle eq\upment for piuposes of the Automotive Products Trade Act of 1965 (19 U.S.C. 2001 et seq.) with the rules set forth in Annex 301.2 of the Agreement, I have determined that it is nec- essary to modify the pertinent definition set forth in general note 3(c)(iii) of the HTS. 4. Pursuant to sections 503 and 504(c) of the Trade Act of 1974, as amended (the Trade Act) (19 U.S.C. 2463 and 2464(c)), I have deter- mined that certain preferential tariff treatment previously afforded for piu^oses of the Generalized System of Preferences (GSP) should be continued in the HTS subheadings established by Annex n to this Proc- lamation. 5. Pursuant to section 466 of the Tariff Act of 1930, as amended (19 U.S.C. 1466), the rate of duty imposed on equipments, or any part there- of, including boats, purchased for, or the repair parts or the materials to be used, or the expenses of repairs made in a foreign country upon a U.S.-docmnented vessel at its fost arrival in any port of the United States is 50 percent ad valorem. Such duty does not apply to the cost of repair parts, materials, or expenses of repairs in a foreign country upon a U.S. civil aircraft, as defined in general note 3(c)(iv) to the HTS. I have determined that it is necessary or appropriate to provide for the staged reductions in the rate of duty on such equipments, or any part thereof, originating in the territory of Canada and the expenses of re- pairs made in the territory of Canada upon U.S.-documented vessels (except such civil aircraft), as set forth in Annex 401.2 of the Agree- ment. 6. Section 1204(b) of the Omnibus Trade and Competitiveness Act of 1988 (the 1988 Act) (19 U.S.C. 3004(b)) confers authority upon the Presi- dent to proclaim such modifications to the HTS as are necessary or ap- propriate to implement the applicable provisions of Executive actions taken after January 1, 1988 and before January 1, 1989. 7. Section 604 of the Trade Act (19 U.S.C. 2483) confers authority upon the President to embody in the HTS the substance of relevant provi- sions of that Act, of other Acts affecting import treatment, and of ac- tions taken thereunder. NOW. THEREFORE, I, RONALD REAGAN, President of the United States of America, acting under the authority vested in me by the Con- stitution and statutes of the United States, including but not limited to sections 201 and 202 of the Implementation Act, section 1204 of the 1988 Act, and section 604 of the Trade Act, do proclaim that:
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