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total lupo with the old and new rates of duty, will be found under paragraph 21 in the consolidated i1st of United States concessions which appears at the end of this analysis.

Stre In addition to granting some further reduction in the

bited S duties on the various items of interest to Italy, the

dity on United States concessions at Torquay resulted in considerable simplification of the tariri classification and nomen

of the clature. A uniform duty of 5 cents per dozen plus 25 per

rate ste cent ad valorem was established for the art pottery in the

solidate soup valued at $10 or more per dozen, regardless of

at the whether they are composed wholly of clay and whether deco rated. Similarly, a uniform rate of 10 cents per dozen plus 35 percent ad valorem was established for items in

auen the group valued at $3 or more but less than $10 per dozen.

ilbers In recent years Italy has supplied nearly one-third of total United States Imports

of these art pottery Items, and a substantially greater share of the pottery valued at more

ten 1 than $3 per dozen. Japan has been a chier supplier of the lower valued artware, which was not the subject of negotiation at either Annecy or Torquay.

In view of the fact that the tarief classifications
for the foregoing items have been altered on several occa-
sions in recent years, it is not possible to state pre-
cisely the value of the trade covered by the concessions to
Italy at Torquay; 1t 18 estimated, however, that imports
from Italy of the items on which concessions were granted
amounted in 1949 to somewhat more than $1,000,000.

Earthen tableware (nonvitrified) (par. 211).- A con-
cession was granted to Italy under paragraph 211 on all
earthen tableware not decorated, and on tableware decorated
11 composed wholly of clay or valued below certain specified
Values per dozen pieces. The concession consists of a
binding of the nominal specific rate of 10 cents a dozen
pieces on all articles; a reduction for the most part from
50 percent to 20 percent in the ad valorem portion of the
duty (or slightly less than the rate effective until
January 1, 1951, under the trade agreement with Mexico) on
articles at or above certain specified values per dozen
pieces; and either a reduction from 50 percent to 45 per
cent ad valorem or a binding of the existing 45 percent
rate on articles below the values specified. By far the
bulk of the imports from Italy consist of the high-priced
articles on which the greatest reductions apply.

The value brackets, and with minor exceptions the
rates of duty established by the Torquay concessions, are
those previously in effect on articles decorated and not
wholly of clay, and thus remove the distinction heretofore
existing between the rates on articles wholly of clay and
not wholly of clay.

Total imports of these articles in 1949 amounted to
$1,368,000, of which $687,000 came from Italy. Items in
this classification comprised only about oric-fourth of

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total linports of earthen tableware from all countries, but about three-fourths of the imports of such articles from Italy.

Straw hats and related products (par. 1504).- The United States granted to Italy a reduction in the rates of duty on nine items in its schedule relating to straw hats, hat bouies, and related products. A detailed enumeration of the various items involved, and the somewhat complex rate structure applicable thereto, may be found in the consolidated list of United States concessions which appears at the end of this analysis. Broadly, the items include hat bodies made of straw, ramie, chip, grase, osier, rattan, willow, real horsehair, and cuba bark, as well as men's and women's sewea hats made of straw or chip or other natural fibers. At Geneva the United States granted reductions in duties on most of these items to China and France. With the additional reductions made at Torquay, the maximum permissible reduction in duty has been granted on four of the ten items.

Although there are no statistics on United States production of the straw hat bodies on which concessions were granted, the output 18 known to be relatively small. The domestic manufacture of sewed straw hats, on the other hand, is on a large scale and consists of making hat bodies from braids and the finishing of hats from these bodies.

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United States imports of the various items on which concessions were granted have in recent years come chiefly from China, Italy, and Japan, the relative rank of these supplying countries depending upon the year selected. In 1949, United States import: from Italy of hats and hat bodies of the types herein considered were valued at $1,029,000.

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Cotton twill-back velveteens (par. 909).- The United States granted a concession to Italy on cotton twill-back velveteens. The duty, which was 25 cents per square yard, but not less than 25 percent nor more than 44 percent ad valorem, was left unaltered except for the minimum ad valorem part of the rate, which was reduced from 25 percent to 22-1/2 percent. In recent years, the unit value of the products imported from most countries has been suf ficiently high to cause almost all imports to enter at the minimum ad valorem rate.

Although there are no statistics on domestic production of cotton velveteens, it is probable that it exceeds imports of these items in both volume and value. Before World War II, Japan and the United Kingdom were the principal foreign suppliers; in more recent years, the chief supplying countries have been Italy and the United Kingdom.

Imports of cotton velveteens have varied materially over the years. In the immediate prewar period they averaged about 65,000 square yards annually. During the war they almost ceased; but imports in 1949 were many

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Vesa rise 12. 804).- Te cited States granted Ite a esoseseis ca terseda vide in containers of one zaos or less. e eaty on this product was reduced a $

6.25 to 62-1/2 certe per gallon. Probably the ahler testere co the concesso, horever, was the establishment of a separate rate or eaty on Karsela vine, as distinct from tret oc ozber dessert vines. Varselá vine, a type produced prinarily in western sielly, possesses distinctive features o color ac llaro.

It is estise ted that Marsela torpe vine generally accounts for wore than two-thirds of United states læports of dessert vines iroa Itely, but for less than 5 percent of United States 12 ports of dessert vines from ali coustries. It is estimated that the United States Imports of Warsela vide fro: Italy in 1948 vere valued at about $110,000 and in 1949 at about $80,000.

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Total United States imports from Korea in 1949 were valued at $1,602,000, of which $1,025,000 represented products subject to duty and $577,000, products which were free of duty. Imports in 1949 of commodities on which concessions were negotiated initially with Korea at Torquay were valued at $141,000, of this total, imports of products valued at $93,000 were dutiable; imports of products valued at $48,000 were free of duty.

Because of the character of the trade between the two countries, the scope of the negotiations between the United States and Korea at Torquay was necessarily limited. The tarief concessions negotiated initially with Korea applied to seven items, three of which are dutiable and four of which are free of duty. In 1949 these seven items accounted for 9 percent of the total value of United States imports from Korea Korea is not an important secondary supplier of any substantial number of items on which the United States granted concessions to other contracting Parties at Torquay, Annecy, or Geneva.

Reductions in duty were granted by the United States in direct negotiations with Korea at Torquay on agar-agar and resublimed lodine. The existing rate of duty on manufactured mo88 and sea grass was bound against increase; and ginseng, unmanufactured moss and seaweeds, silk waste, and wild or tussah silk were bound on the free list.

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Principal concessions

Agar-agar.- A reduction in the duty from 25 percent to 18 percent ad valorem was granted to Korea on egar-agar. The United States depends upon imports for about two-thirds of its total requirements of this product. Imports, predominantly from Japan, compete with the output of a small number of United States producers. Korea, the second major supplier of United States imports, currently supplies about one-fifth of total imports. In 1948 United States purchases of agar-agar from Korea were velued at $91,000. In 1949 they also amounted to $91,000; in that year they accounted for 19 percent of the value of total United States imports of agar-ager.

Silk waste.- In terms of the value of the trade involved, the second most important concession granted to Korea at Torquay was that on silk waste. Silk waste has been free of duty under both the Teriff Act of 1922 and that of 1930. At Torquay the duty-free status of silk Waste was bound. Inasmuch as sericulture has never been commercially successful in the United States, the domestic production of silk Waste is confined almost entirely to millwaste, which 18 a byproduct of textile manufacture.

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