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Exchange of Letters constituting an Agreement between the Government of Canada and the Government of the United States of America amending Appendix 6 of Annex 300-B, Textiles and Apparel Goods, of the North American Free Trade Agreement between the Government of Canada, the Government of the United States of America and the Government of the United Mexican States [2009] CATSer 8 (1 July 2009)

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EXCHANGE OF LETTERS CONSTITUTING AN AGREEMENT BETWEEN THE GOVERNMENT OF CANADA AND THE GOVERNMENT OF THE UNITED STATES OF AMERICA AMENDING APPENDIX 6 OF ANNEX 300-B, TEXTILES AND APPAREL GOODS, OF THE NORTH AMERICAN FREE TRADE AGREEMENT BETWEEN THE GOVERNMENT OF CANADA, THE GOVERNMENT OF THE UNITED STATES OF AMERICA AND THE GOVERNMENT OF THE UNITED MEXICAN STATES

I

The United States Trade Representative to the Minister for International Trade of Canada

Washington, D.C., May 29, 2008

The Honorable David L. Emerson
Minister of Foreign Affairs and Minister for International Trade
Department of Foreign Affairs and International Trade
Ottawa, Ontario

Dear Minister Emerson:

I have the honor to confirm the agreement, as set forth in the Annex: to this letter, reached by the delegations of the United States of America and Canada, pursuant to Section 7(2) of Annex 300-B of the North American Free Trade Agreement (the "NAFTA"), to make a technical rectification and addition to the special provisions contained in Appendix 6 of Annex 300-B of the NAFTA. The technical rectification would correct a minor error in an earlier addition, implemented by the United States and Canada in July 2005, while the new addition would liberalize the rule of origin for chenille fabric containing artificial staplefibers.

Sincerely,

Susan C. Schwab

cc: His Excellency Eduardo Sojo Garza Aldape

Enclosure

NORTH AMERICAN FREE TRADE AGREEMENT

Textiles and Apparel Goods

Proposed Amendment

1. Add to Appendix 6, Special Provisions, the following bilaterally agreed rule ¹:

Rule Applicable to Chenille Fabric Containing Acrylic Staple Fibers

For purposes of trade between Canada and the United States, a good of either Party of subheading 5801.36 shall be treated as if it were an originating good only if any of the following changes in tariff classification is satisfied within the territory of one or both of the Parties:

a change to subheading 5801.36 from any other chapter, except from heading 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08 or 53.10 through 53.11, Chapter 54, heading 55.01 through 55.02, subheading 5503.10 through 5503.20 or 5503.40 through 5503.90 or heading 55.04 through 55.16.

2. In the last line of the bilaterally agreed rule applicable to pile fabric containing dry spun acrylic fiber, replace “55.15” with “55.16”, as follows:

Rule Applicable to Pile Fabric Containing Dry Spun Acrylic Fiber

For purposes of trade between Canada and the United States, a good of either Party of subheading 5801.35 shall be treated as if it were an originating good only if any of the following changes in tariff classification is satisfied within the territory of one or both of the Parties:

a change to woven-warp pile fabric, cut, of subheading 5801.35, with pile of dry-spun acrylic staple fibers of subheading 5503.30, which fabric has been dyed in the piece to a single uniform color, from any other chapter, except from heading 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08 or 53.10 through 53.11, Chapter 54, heading 55.01 through 55.02, subheading 5503.10 through 5503.20 or 5503.40 through 5503.90 or heading 55.04 through 55.16.

¹ Exact location within Appendix 6 to be determined.

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The Minister for International Trade of Canada to the United States Trade Representative

Ottawa, July 21, 2008

The Honourable Susan Schwab
United States Trade Representative
Washington, D.C.
USA

Dear Ambassador Schwab:

Thank you for your letter dated May 29, 2008, in which you confirm the agreement, as set forth in the Annex to your letter, reached by the delegations of Canada and the United States of America, pursuant to Section 7(2) of Annex 300-B of the North American Free Trade Agreement ("NAFTA"), to make a technical rectification and addition to the special provisions contained in Appendix 6 of Annex 300-B of NAFTA. The technical rectification would correct a minor error in an earlier addition, implemented by the United States and Canada in July 2005, while the new addition would liberalize the rule of origin for chenille fabric containing artificial
staple fibres.

I have the honour to inform you that the Government of Canada accepts your proposal that your letter and its Annex and my letter of confirmation in reply and its Annex, which is equally authentic in English and French, shall constitute an agreement between our two Governments. I have the further honour to inform you that the Government of Canada accepts your proposal that the Parties shall notify each other of the completion of their respective legal procedures required for the entry into force of this Agreement and that the Agreement shall come into force on the first day of the second month following the date of the last notification.

Sincerely,

The Honourable David L. Emerson, P.C., M.P.

cc: His Excellency Eduardo Sojo Garza Aldape

Enclosure

Annex A

NORTH AMERICAN FREE TRADE AGREEMENT

Textiles and Apparel Goods - Availability of Supply

Proposed Amendments to Annex 300-B, Appendix 6, Special Provisions

ANNEX 300-B, APPENDIX 6:

1. In the last line of the bilaterally agreed rule applicable to pile fabric containing dry spun acrylic fiber, replace “55.15” with “55.16”, as follows:

Rule Applicable to Pile Fabric Containing Dry Spun Acrylic Fiber

For purposes of trade between Canada and the United States, a good of either Party of subheading 5801.35 shall be treated as if it were an originating good only if any of the following changes in tariff classification is satisfied within the territory of one or both of the Parties:

a change to woven-warp pile fabric, cut, of subheading 5801.35, with pile of dry-spun acrylic staple fibers of subheading 5503.30, which fabric has been dyed in the piece to a single uniform color, from any other chapter, except from heading 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08 or 53.10 through 53.11, Chapter 54, heading 55.01 through 55.02, subheading 5503.10 through 5503.20 or 5503.40 through 5503.90 or heading 55.04 through 55.16.

2. Add to Appendix 6, Special Provisions, the following bilaterally agreed rule ¹:

Rule Applicable to Chenille Fabric Containing Acrylic Staple Fibers

For purposes of trade between Canada and the United States, a good of either Party of subheading 5801.36 shall be treated as if it were an originating good only if any of the following changes in tariff classification is satisfied within the territory of one or both of the Parties:

a change to subheading 5801.36 from any other chapter, except from heading 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08 or 53.10 through 53.11, Chapter 54, heading 55.01 through 55.02, subheading 5503.10 through 5503.20 or 5503.40 through 5503.90 or heading 55.04 through 55.16.

¹ Exact location within Appendix 6 to be determined.