The U.S. International Trade Commission (USITC) is seeking input for a newly initiated investigation into the probable economic effect of providing duty-free treatment for currently dutiable imports from Kenya.

The investigation, U.S.-Kenya Trade Agreement: Advice on the Probable Economic Effect of Providing Duty-free Treatment for Currently Dutiable Imports, was requested by the U.S. Trade Representative (USTR) in a letter received on March 17, 2020.

As requested, the USITC will advise the President as to the probable economic effect of providing duty-free treatment for imports of currently dutiable products from Kenya on industries in the United States producing like or directly competitive products and on consumers.  In preparing its advice, the USITC will consider each article in chapters 1 through 97 of the Harmonized Tariff Schedule of the United States (HTSUS) for which U.S. tariffs will remain, taking into account implementation of U.S. commitments in the World Trade Organization. The advice will be based on the HTSUS in effect during 2020 and trade data for the year 2019.

In addition, as requested, the USITC will prepare an assessment of the probable economic effects of eliminating tariffs on imports from Kenya of certain agricultural products on U.S. industries producing the products concerned and on the U.S. economy as a whole.  A list of the agriculture products is attached to the USTR’s request letter.

The USITC expects to submit its report, which will be confidential, to the USTR by September 16, 2020.

The USITC is seeking input for the investigation from all interested parties and requests that the information focus on the issues for which the USITC is requested to provide information and advice.  The USITC will hold a public hearing in connection with the investigation on July 7, 2020.  Because COVID-19 mitigation measures are in effect, the public hearing will be held via Go to Meeting. 

Information about how to participate in the hearing will be posted on the Commission’s website at (https://usitc.gov/research_and_analysis/what_we_are_working_on.htm).  Requests to appear at the hearing should be filed no later than 5:15 p.m. on June 10, 2020, with the Secretary,

U.S. International Trade Commission, 500 E Street SW, Washington, DC 20436.  See below for important information regarding filing a request to appear at a USITC hearing.

The USITC also welcomes written submissions for the record.  Written submissions should be addressed to the Secretary of the Commission and should be submitted no later than 5:15 p.m. on July 14, 2020. All written submissions, except for confidential business information, will be available for public inspection.  See below for important information regarding the filing of written submissions for USITC investigations.

IMPORTANT:  All filings, including requests to appear at the hearing and written submissions, must be made through the Commission’s Electronic Document Information System (EDIS, https://edis.usitc.gov). No in-person paper-based filings or paper copies of any electronic filings will be accepted until further notice. Persons with questions regarding electronic filing should contact the Office of the Secretary, Docket Services Division (EDIS3Help@usitc.gov), or consult the Commission’s Handbook on Filing Procedures.

Further information on the scope of the investigation and appropriate submissions is available in the USITC’s notice of investigation, dated May 26, 2020, which can be downloaded from the USITC Internet site (www.usitc.gov) or may be obtained by contacting the Office of the Secretary at the above address or commissionhearings@usitc.gov.

The U.S. International Trade Commission (USITC) today released its report on trade facilitation in the East African Community (EAC), a regional governmental organization that includes Burundi, Kenya, Rwanda, Tanzania, and Uganda.

The investigation, Trade Facilitation in the East African Community: Recent Developments and Potential Benefits, was requested by the U.S. Trade Representative.

As requested, the report summarizes recent trade facilitation developments in the EAC and describes the potential benefits of trade facilitation to the EAC countries, based on empirical studies and the experiences of other developing countries. Highlights of the report follow.

• Trade is growing rapidly among EAC member countries, resulting in higher volumes of goods crossing their borders. In recent years, many African countries, including EAC members, have taken steps to facilitate trade. Improvements in trade facilitation, such as the simplification of customs procedures and improvements to transport infrastructure, enhance countries' ability to compete in international markets.
• EAC countries vary in their level of development, degree of integration into world markets, and success at establishing effective institutions. As a result, each member country faces unique challenges in improving its trade environment. EAC members have had varying levels of success at implementing global best practices for trade facilitation with respect to both border procedures and the condition of transportation infrastructure.
• Efficiency and predictability throughout the trading system reduce time delays and the risks related to uncertainty, thereby lowering costs for both importers and exporters. The benefits are greatest when improvements are made in multiple areas at the same time; for example, when customs administration reforms are undertaken at the same time that transportation infrastructure is upgraded.
• Empirical studies show that trade facilitation decreases costs along the shipping chain, increasing the volume of traded goods. Lower trading costs can result in a host of positive outcomes, including increased trade flows and investment, increases in the share of production for export, more diversified exports, improved tariff collections, and overall economic growth.

Trade Facilitation in the East African Community: Recent Developments and Potential Benefits (Investigation No. 332-530, USITC publication 4335, July 2012) is available on the USITC's Internet site at http://www.usitc.gov/publications/332/pub4335.pdf.

The report may be requested by sending an email to pubrequest@usitc.gov, by calling 202-205-2000, or by writing the Office of the Secretary, U.S. International Trade Commission, 500 E Street SW, Washington, DC 20436.

USITC general factfinding investigations, such as this one, cover matters related to tariffs or trade. The investigations are generally conducted at the request of USTR, the Senate Committee on Finance, or the House Committee on Ways and Means; the USITC may also self-initiate investigations. The resulting reports convey the Commission's objective findings and independent analyses on the subjects investigated. The Commission makes no recommendations on policy or other matters in its general factfinding reports. Upon completion of each investigation, the USITC submits its findings and analyses to the requester. General factfinding investigation reports are subsequently released to the public, unless they are classified by the requester for national security reasons.