For Immediate Release
Office of the Press Secretary
November 15, 2005
Message to the Congress of the United States
TO THE CONGRESS OF THE UNITED STATES:
Consistent with section 2103(a)(1) of the Trade Act of 2002, I am
pleased to notify the Congress of my intention to enter into an
agreement with the European Union, Japan, the Republic of Korea, and
Taiwan on tariff treatment for multi-chip integrated circuits.
Multi-chip integrated circuits are semiconductor devices used in
computers, cell phones, and other high-technology products.
United States-based companies are the principal suppliers to the world
of multi-chip integrated circuits. In 2004, global sales of finished
multi-chip integrated circuits were estimated to be $4.2 billion, and
U.S. semiconductor companies account for roughly half of those sales.
The United States, the European Union, the Republic of Korea, and Taiwan
will apply zero duties on these products as of an agreed date. The
target date for entry into force of the Agreement is January 1, 2006.
Japan already applies zero duties on these products and expects to
ratify the Agreement formally in 2006. Further, although all major
producers of multi-chip integrated circuits will be parties to the
Agreement, we will seek to build on this Agreement by joining together
to work in the World Trade Organization to increase the number of
countries granting duty-free treatment to these products.
GEORGE W. BUSH
THE WHITE HOUSE,
November 14, 2005.
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