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1 June 4, 1993 Mr. Ding Mou Shih Representative Coordination Council for North American Affairs 4301 Connecticut Avenue, NW Suite 420 Washington, D.C. 20008 Dear Mr. Ding: I refer to the Agreement between AIT and CCNAA relating to tradein cotton, wool, man-made fiber, silk blend and other non-cottonvegetable fiber textile products effected by an exchange of let-ters December 1 and December11, 1992. I also refer to discussio-ns between AIT and CCNAA, most recently from December 15 throughDecember 18, 1992. As a result of those discussions I propose,on behalf of AIT, the following Agreement relating to trade incotton, wool, man-made fiber, silk blend and other non-cotton v-egetable fiber textile products. 1.This Agreement supersedes the Textile Agreement between CCNAAand AIT of December 1 and December 11, 1992. For the sake ofclarity, it has been decided to write a new agreement to inco-rporate all modifications which have been agreed. This agreem-ent represents the outcome of that effort and, accordingly, s-hall be the bilateral instrument which governs textile tradebetween Taiwan and the United States. Term 2. (a) The term of this Agreement shall be from January 1, 1990, t-hrough December 31, 1995, except as provided in paragraph 16. (b) An "agreement year" shall be a calendar year commencing onJanuary 1 and ending December 31. Coverage and Structure 3.Textiles and textile products covered by this Agreement are asfollows. The determination of whether a textile or textile pr-oduct is of cotton, wool, man-made fiber or silk blend or oth-er non-cotton vegetable fiber shall be made in accordance withthe terms of paragraph 9. The categories referred to below arethose described in Annex B hereto. (a) Group I-being products other than apparel(including yarn, f-abric, and other made-up and miscellaneous products)of cott-on, wool, and/or man-made fibers; and luggage of silk blendand/or other non-cotton vegetable fibers (categories 200, 201,218,219,220,222,223,224,225,226,227,229,300,301,313,314,315,317,326,360,361,362,363,369,400,410,414,464,465,469,600,603,604,606,607,611,613,614,615,617,618,619,620,621,622,624,625,626,627,628,629,665,666,669,670,870). (b) Group II-being apparel of cotton, wool, man-made fiber, silkblend and/or other non-cotton vegetable fibers except for c-ategory 845 (categories 237,239,330,331,332,333,334,335,336,338,339,340,341,342,345,347,348,349,350,351,352,353,354,359,431,432,433,434,435,436,438,439,440,442,443,444,445,446,447,448,459,630,631,632,633,634,635,636,638,639,640,641,642,643,644,645,646,647,648,649,650,651,652,653,654,659,831,832,833,834,835,836,838,839,840,842,843,844,846,847,850,851,852,858,859). (c) Group III-being sweaters of other non-cotton vegetable fibers (Category 845). (d) products of silk blend and/or other non-cotton vegetable fi-bers not covered by (a), (b) or (c) of this paragraph inclu-ding yarn, fabrics and other made-up and miscellaneous prod-ucts of silk blend and/or other non-cotton vegetable fibers(categories 800, 810, 863, 871 and 899). Limits 4. (a) (i) During the term of this Agreement, CCNAA shall limit annu-al exports from Taiwan of cotton, wool, man-made fiber, a-nd silk blend or other non-cotton vegetable fiber textilesand textile products of Taiwan origin to the United Statesof America to the group limits, sub-group limits, specificlimits and sub-limits set forth in Annex A-1 hereto, as s-uch limits may be adjusted in accordance with paragraphs 5and 6. The groups and specific limits set out in Annex A-1are without such adjustments. All textile and textile pro-ducts in categories not subject to specific limits may be exported from Taiwan to the United States of America only in accordance with paragraph 7. (ii) With respect to the following categories in Group I, CCNAAshall limit annual exports from Taiwan to the United Stat-es to the Specific limits set out in Annex A-1 of the Agr-eement, as may be adjusted by swing, carryover and carry for ward: 200,219,313,314,315,361,369-S and 604. In addit-ion, CCNAA agrees to limit the total exports of these cat-egories in square meters equivalent (SME) as follows: 1992 19931994 1995 ──────────────── ───── 126,048,101128,511,135131,025,141133,591,270 It is further agreed that carryover and carry for ward of three percent (of which carryover shall not exceed one pe-rcent) shall apply to the annual levels set out above. Gr-oup quota not used by the sub-group Categories is availab-le to the rest of the group. Group quota may be used by t-he sub-group categories up to the sub-group limit. While the sub-group Limit has no carryover in 1992 and no carry for ward in 1995, the specific limits within the sub-groupwill still have available all the flexibilities permitted under paragraphs 5 and 6 of this Agreement. (iii) With respect to the following categories in Group II, CCN-AA shall limit annual exports from Taiwan to the United S-tates to the specific limits set out in Annex A-1 of the Agreement as may be adjusted by swing, special shift, car-ryover and carry for ward: 333/4/5,(335),341,342,350/-650,351,447/8,636,641,(641-y) and 651. In addition, CCNAA agrees to limit the total exports of t-hese categories in square meters equivalent (SME) as foll-ows: 1992 1993 19941995 ──────────────── ───── 71,957,65772,614,714 73,280,666 73,955,617 It is further agreed that carryover and carry for ward of three percent (of which carryover shall not exceed one pe-rcent) shall apply to the annual levels set out above. Gr-oup quota not used by the sub-group categories is availab-le to the rest of the group. Group quota may he used by t-he sub-group categories up to the sub-group limit. While the sub-group limit has no carryover in 1992 and no carry for ward in 1995, the specific limits within the sub-groupwill still have available all the flexibilities permitted under paragraphs 5 and 6 of this Agreement. (b) All textile and apparel products shipped under this Agreeme-nt for the personal use of the importer, regardless of value, and properly marked commercial sample shipments valued atU.S. Dollars 250 or less, shall not be subject to the limitsin Annex A-1 or the procedures of paragraph 7 of the Agreem-ent, nor shall they require a visa far entry into the UnitedStates. The products listed in Annex C shall not be subjectto the limits in Annex A-1. (c) CCNAA agrees with AIT on the following provisions: (i) to adjust its Group II limit to 755 million SME beginningin 1992; and (ii) to make adjustments to the base levels, growth rates andswing rates set forth in Annex A-1 and paragraph 5 applic-able to the following specific limits in categories 347/348,359-C/659-C,633/634/635, (633/634), (635), 638/639,640, (640-Y), 642, 645/646, 647-648 and 659-S; and (iii) all of the adjustments described in subparagraphs (i) and(ii) above will be subject to review by the parties at a round of consultations to be held before the end of 1992, if possible ; and (iv) The original base levels, growth rates, and swing rates p-rovided for in Annex A-2 will be restored with the except-ion of the base levels for Group II and categories 640, (640-Y), and 647/648, upon agreement between the parties pr-ovided that improvements have been made by the authoritiesrepresented by CCNAA in the implementation Of the bilater-al agreement to deal with unlawful circumvention (such as by way of illegal transshipment). In addition, CCNAA may request partial or total restoration of the base levels f-or Group II and categories 640, (640-Y), and 647-648 to t-he levels provided for in the exchange of letters dated A-ugust 21, 1990 and September 28, 1990 upon the additional condition that AIT is reasonably satisfied that manufactu-rers of those products on Taiwan have the appropriate pro-duction capacity; and (v) With respect to categories 347/348 and 647/648, the provi-sions of this paragraph do not relate to paragraph 4(d) b-elow. (vi) Pursuant to discussions in December 1992, certain cutbacksin this paragraph have been partially restored for one ye-ar only and further consultations to review the 1994 leve-ls and rates are to be held before July 1993, and consult-ations to review the 1995 levels and rates shall be held in mid-1994, pursuant to paragraph 4 (c) (iv). (d) (i) AIT and CCNAA discussed the proper classification of fineknit form-fitting pants-type garments in February, 1992. The two parties agreed to amend the 1992 levels for categ-ories 347/348 and 647/648 and establish sublimits on men'sand boys' and women's and girls' woven trousers included in 347-W/348-W and 647-W/648-W at the levels set out in A-nnex A-1 and to review this issue at the end of 1992. (ii) Pursuant to discussions in December, 1992, the two partiesagreed to keep sublimits on men's and boys' and women's a-nd girls' woven trousers included in 347-W/348-W and 647-W/648-W at the levels set out in Annex A-1 for 1993-1995. Swing 5. (a) During any agreement year, the group limits set out in AnnexA-l (or pursuant to an amendment thereto) as they may be ad-justed under paragraph 6, may be exceeded by not more thanthe following percentages: for Group I-- three percent until 1992, five percent beginn-ing n 1992. for Group II-- one percent provided that the total of the group limits of Groups I andII is not exceeded. (b) There will be no swing for sub-group I and sub-group II. Gr-oup quota may be used by the sub-group categories up to thesub-group limit. The specific limits within the sub-group w-ill still have available the flexibility permitted under pa-ragraphs 5 and 6 of this agreement. (c) During any agreement year, and within the applicable grouplimit for such an agreement year as it may be adjusted underparagraphs 5(a) and 6, the specific limits and sub-limits s-et out in Annex A-i (or pursuant to an amendment thereto) m-ay be exceeded by not more than the percentages set out bel-low: (1) For the period 1990-1991 the following swing is available:(i) One percent for categories and sub-limits 633/4/5, 633/4, and 635. (ii) Two and one-half percent forpart-category670-H. (iii) Four percent for category 640 and sub-limit category 640-Y. (iv) Five percent for categories, sub-limits and part-catego-ries 239,331,340,341,359-H/659-H,369-L/670-IJ870,433,434 ,436,438,440,442,443,444,445/6,447/8,638/9,641,641-Y,and 647/8. (V) Sir percent for categories and sub-limits 333/4/5,335,338/9,347/8,435,and 604. (vi) Six and one-half percent forcategory313. (vii) No swing for categories 645/6 and 845. (viii) Seven percent for all other specific limits. (2) For the 1992 period, the following swing is available:(i) One percent for sub-limits (347-W/348-W). (ii) Two percent forcategory642. (iii) Two and one-half percent forpart-categosy670-H. (iv) Four percent for category 640 and sub-limit category 640-Y. (V) Five percent for categories, sub-limits and part-catego-ries 239,331,340,341,359-W659-H,369-U670-IJ870,433,434,4 36,438,440,442,443,444,445-6,447-8,638-9,641,641-Y,and 6 47/8. (vi) Six percent for categories and sub-limits 333/4/5,335,338/9,347/8,435, and 604. (vii) Sir and one-half percent for category 313. (viii) No swing for categories and sub-limits 647-W/648-W, 645/6,845,633/4/5,633/4, and 635. (ix) Seven percent for all other specific limits. (3) For the period 1993-1995 the following swing is available:(i) One percent for categories and sublimits 633/4/5, 633/4,and 635. (ii) Two and one-half percent forpart-category670-H. (iii) Five percent for categories, sub-lim its and part-categ-ories 239,331,340,341,359-W659-H,369-LJ670-L/870,433,434 ,436,438,440,442,443,444,445/6,447/8,638/9,641,641-Y,and 647-8. (iv) Six percent for categories and sub-limits 333/4/5,335,338/9,347/8,347-W/348-W, 435, and 604. (v) Six and One-half percent forcategory313. (vi) No swing for categories and sub-limits 647-W/648-W, 645/6, 640, 640-Y, 845. (vii) Seven percent for all other specific limits. (d) Swing shall be calculated on the base limit as specified inAnnex A-1. Special Shift (e) In addition to the adjustments pursuant to sub-paragraph 5(c), the following adjustments to the specific limits set outin Annex A-1 are available during any agreement year. Any a-djustments made to base limits under this agreement may notresult in the levels for overall limits being less than thelevels of the sublimits. (i) Category 331 may be increased by up to five percent provi-ded that an equivalent quantity is deducted from category 631 in the same agreement year, and vice versa. (ii) Category 336 may be increased by up to twenty percent pro-vided that an equivalent quality is deducted from category636 in the same agreement year, and vice verse. (iii) Category 338-9 may be increased by up to ten percent prov-ided that an equivalent quantity in dozens is deducted fr-om category 638/9 in the same agreement year. (iv) Category 338/9 may be increased by an additional ten perc-ent provided that four times the 2nd 10 percent, added to category 338/9 in dozens is deducted from category 638/9 in the same agreement year. (v) Category 340 may be increased by up to ten percent provid-ed that an equivalent quantity is deducted from category 640 in the same agreement year. (vi) Category 341 may be increased by up to ten percent provid-ed that an equivalent quantity is deducted from category 641 in the same agreement year, and vice versa. (vii) Category 342 may be increased by up to twenty percent pro-vided that an equivalent quantity is deducted from catego-ry 642 in the same agreement year, and vice versa. (viii)Category 347/8 may be increased by up to fifteen percentprovided that an equivalent quantity is deducted from cat-egory 647/8 in the same agreement year. For 1992, the tot-al special shift available into category 347-W/348-W shallnot exceed 159, 740 dozen. The overall quantity of shift into category 347/348 may not exceed the quantity availab-le to the sub-limits. The amount of special shift allowed is equal to 15 percent of the 1992 limit for 347-W/348-W. (ix) Category 351 may be increased by up to twenty five percentprovided that an equivalent quantity is deducted from cat-egory 651 in the same agreement year, and vice versa. (x) The specific limit on the categories in the left-hand col-umn below may be increased by the quantities in the centercolumn for the 1990 agreement year provided that an equiv-alent quantity is deducted from the corresponding upper-a-nd lower-garment categories listed in the right-hand colu-mn in the same agreement year. For the following agreementyears (1991-1995), the categories in the left hand column below may be increased by the quantities in the column forthe respective agreement year provided that an equivalent quantity is deducted from the corresponding upper and low-er garment categories listed in the right hand column: 1990 CategoryQuantity (NOS)Component Garment Categories443 9,987 433 and 447/8 444 129,090 435 and 442 or 447/8 643 104,426 633 and 647/8 644 1,562,740 635 and 642 or 647/8 Quantity (NOS) 19911992 1993 1994 1995 44310,08710,188 10,290 10,393 10,497444 130,381 131,685133,002134,332135,675643 105,470 106,525107,590108,666109,753644 1,601,809 1,641,8541,682,9001,724,9731,768,097(xi) For the 1993-1995 quota years the following applies: CategorySpecial Flexibility 1993 1994 1995 Units347/348 Additional Special 60,000 60,000 60,000dz.Shift from 647/648 Additional Swing 165,750165,750165,750 dz. 347-w/348-w Special Shift 15%15%15% from 647-w/648-w or 647/648 CategorySpecial Flexibility1993 1994 1995Units647-648 Additional Swing 60,750 60,750 60,750dz.Carryforward and Carryover 6. (a) Any group limit, subgroup limit, specific limit or sub-limitset out in Annex A-1 may be exceeded in any agreement yearby carryforward and/or carryover as provided below. Any adj-ustments made to base limits under this agreement may not r-esult in the levels for overall limits being less than thelevels of the sublimits. (i) In the case of any group limit or sub-group limit, to a m-aximum of three percent, of which carryover shall not rep-resent more than one percent. (ii) In the case of any specific limit or sub-limit except asprovided in 6 (a)(iii), to a maximum of two percent, of w-hich carryover shall not represent more than one percent. (iii) In the case of categories and sub-categories 340, 633/4/5,633/4 and 635, carryforward of 7.15 percent. (iv) No carryforward shall be available for application in thefinal agreement year. (b) For purposes of this Agreement, a shortfall occurs when exp-orts of textiles and textile products from Taiwan to the Un-ited States of America, in any agreement year, are below anyapplicable group limit, subgroup limit, specific limit or s-ub-limit as set out in Annex A-1. (c) Carryover and carryforward shall be calculated on the baselimit of the receiving category in the receiving year as sp-ecified in Annex A-1. (d) Adjustments made under this paragraph are in addition to th-ose permitted under paragraph 5. (e) (i) For 1991, carryforward used by categories 347/348 and 647/648 will be deducted from the subsequent limits for 347-W/3481W and 647-W/648-W respectively. (ii) For 1992, the total carryforward available into categories347/348 and 347-W/348-W shall not exceed 21,299 dozen. (iii) For 1992, the total carryforward available into categories47/648 and 647-W/648-W shall not exceed 104,971.dozen. (iv) For 1992, the total carryover available into categories 347/348 and 347-W/348-W shall not exceed 10,649 dozen. (v) For 1992, the total carryover available into categories 647/648 and 647-W/648-W shall not exceed 52,485 dozen. (vi) For 1992,thecombinedcarryover and carryforward shall notexceed 21,299 dozen for categories 347/348, 347-Wm48-W. (vii) For 1992, the combined carryover and carryforward shall n-ot exceed 104, 971 dozen for categories 647/648, 647-W/648-W. (viii) For 1993 only, additional special carryover of 318,750 d-ozen is allowed into category 347/348. (ix) For 1993 only, additional special carryover of 112,500 do-zen is allowed into category 647/648. Export Certification System 7. (a) Each category and part-category not subject to a specific l-imit will be subject to the consultation procedures as setforth in sub-paragraphs 7(b) through 7(h) below. (b) (i) CCNAA shall provide weekly reports promptly (i.e., as soonas possible but in no case later than five U.S. working d-ays following the close of the reporting period) to AIT onexport certifications (EC), by category and part-category,issued for export to the United States for each category and part-category not subject to a specific limit. (ii) CCNAA will notify AIT immediately whenever EC applicationsfor any category or part-category total 15 percent of the previous agreement year's trade within the reporting peri-od, provided that the issuance of such ECs would bring thetotal cumulative issuances for the year to 80 percent of the previous year's trade or 66,890 square meters equival-ent for wool products and 468,231 square meters equivalentfor cotton, man-made fiber, silk blend and other non-cott-on vegetable fiber products, whichever is higher. (iii) CCNAA will wait at least five U.S. working days after not-ification to AIT before issuing ECs against the applicati-ons in question. (c) AIT may request consultations with a view to agreement on anappropriate level of restraint for any category, part-categ-ory, or product not given a specific limit for any agreementyear whenever, in the view of AIT, conditions in the U.S. m-arket warrant such a limitation on further trade in any suchcategory, part-category, or product in order to eliminate areal risk of market disruption. (d) The request for such consultations shall be supported as so-on as possible, and in any case within 21 days of the dateof the request, by a statement of market conditions in theUnited States of America which in the opinion of AIT make n-ecessary the request for consultations. The statement shallinclude data similar to that contemplated in paragraphs 1 a-nd 2 of Annex A of the Arrangement. (e) Upon receipt of a request for such consultations, CCNAA, asrequested by AIT, shall cease or otherwise limit further is-suance of ECs for a period of seven U.S. working days. AITmay request CCNAA to extend that period of seven U.S. worki-ng days and may also request Taiwan to limit the issuance ofECs to a level different from that specified in paragraph 7(f)(i) or (ii) below, whichever is applicable. CCNAA shall c-onsider any such request sympathetically and shall respondpromptly. Unless agreed otherwise, the CCNAA shall have theright, following the expiration of the period of seven U.S.working days mentioned above or any agreed extension thereof, to resume the issuance of ECs up to the level specified inparagraph 7(f)(i) or (ii) below, whichever is applicable. E-Cs thus issued, as well as ECs issued prior to receipt of t-he request for consultations, may be honored by the issuanceof export licenses by the CCNAA. The two parties, unless otherwise agreed, shall consult assoon as possible within 30 days of the request for such con-sultations and shall make their best efforts to complete su-ch consultations within 30 days of the commencement. (f) (i) In the event that consultations do not result in agreement, AIT shall have the right to request the CCNAA to limit exports of the relevant products during the agreement yearin which the request for consultations is made to a level not less than the highest of: (A) The level of trade in the relevant product, category orpart-category for the immediately preceding agreement y- ear plus either 15 percent of that level (in the case of cotton, man-made fiber, silk blend and other non-cotton vegetable fiber products) or 6 percent of that level (in the ease of wool products). (B) The average of the level of trade for those categoriesnot listed in paragraph 7 (f) (i) (c) which are not aff- ected by conversion to the HCC in the relevant product, category or part-category for all previous years since January 1, 1981 (January 1, 1987, in the case of silk b- lend and other non-cotton vegetable fibers) plus either 15 percent of that average level (in the case of cotton, man-made fiber, silk blend and other non-cotton vegetab- le fiber products), or 6 percent of that average level ( in the case of wool products),or The average of the lev- el of trade for the 200 category series and other categ- ories affected by conversion to the HCC, in the relevant product, category, or part-category for all previous ye- ars since January 1, 1986 (January 1, 1987 in the case of silk blend and other non-cotton vegetable fibers), p- lus either 15 percent of that average level (in the case of cotton, man-made fiber, silk blend and other non-cot- ton vegetable fiber products), or 6 percent of that ave- rage level (in the case of wool products) . (D) The limit requested by AIT for the cessation of issuanceof ECs in accordance with paragraph 7(e) hereof. (ii) Except as provided for in sub-paragraph 7.(0(iv)below, inrespect of any product, or category or part-category wherea limit has been established for a single agreement year and where, in the immediately subsequent agreement year, AIT makes another request for consultations under sub-par-agraph 7(c) of this Agreement; and, in the event that suchconsultations do not result in agreement, AIT shall have the right to request CCNAA to limit exports of the releva-nt products during the agreement year in which the requestfor consultations is made to a level not less than the hi-gher of: (A) The limit established for the immediately preceding yearplus either 8 percent of that limit (in the ease of cot- ton, man-made fiber, silk blend and other non-cotton ve- getable fiber products) or 3 percent of that limit (in the case of wool products). (B) The limit requested by AIT for the cessation of issuanceof ECs in accordance with subparagraph 7(e) hereof. (iii) Where AIT makes a request under paragraph 7.(D(i) or (ii)hereof, CCNAA agrees that it will honor such a request. (iv) In respect of any product, category or part-category forwhich a limit is established in any one agreement year, e-ither party may, prior to the start of the immediately fo-llowing agreement year, elect to convert that limit into aspecific limit effective as such from January 1 of the im-mediately following agreement year. Where such a conversi-on is made, the specific limit so created shall, from the date of effect, be accorded growth at 2.5 percent per ann-um for cotton, man-made fiber, silk blend and other non-c-otton vegetable fiber products, and one percent per annum for wool products. The specific limit so created shall, f-rom the year of effect, be accorded flexibility (as provi-ded for in paragraph 5) at 7 percent; and in subsequent y-ears the flexibility provisions set out in paragraph 6 of the Agreement shall also apply. In the event a silk blend or other vegetable fiber category under paragraph 3(d) is converted into a specific limit, appropriate arrangements for swing (both into and out of such category) will be ma-de. (v) Should two requests in respect of the same product, categ-ory or part-category be made under paragraph 7 (c) hereof during the term of this Agreement but in different non-co-nsecutive agreement years, the provisions of paragraph 7 (f) (i) shall apply to the second of the two requests. (vi) The two parties agree that the provisions of paragraph 7hereof shall not derogate from the rights of the two part-ies under paragraph 17 of this Agreement. (g) For the purposes of paragraph 7 hereof, the phrase "level oftrade" shall mean the level of trade established by consult-ations to he held within the first six months after the endof each agreement year or, where such consultations have notbeen completed, the level of trade by date of export. (h) CCNAA and AIT shall consult as early as possible with regardto problems that may arise of the provisions of paragraph 7are invoked near the end of an agreement year to consider t-he possibility of avoiding undue hardship to the trade. 8.CCNAA shall administer its export control system under this A-greement. AIT may assist CCNAA in implementing the limitationprovisions of this Agreement by controlling imports of textileand textiles products covered by this Agreement. Classification 9. (a) Tops, yarns, piece goods, made-up articles, garments, and o-ther textile manufactured products, all being products whichderive their chief characteristics from their textile compo-nents of cotton, wool, man-made fiber, silk blends, non-cot-ton vegetable fibers, or blends thereof, in which any or allof those fibers in combination represent the chief weight ofthe product, are subject to this Agreement. (b) For the purposes of this Agreement, textile products coveredby sub-paragraph (a) above shall be classified as: (i) man-made fiber textiles, if the product is in chief weightof man-made fibers, unless: (A) the product is knitted or crocheted apparel in which wo-ol equals or exceeds 23 percent by weight of all fibers, in which case the product will be a wool textile; or (B) the product is apparel, not knitted or crocheted, in wh-ich wool equals or exceeds 36 percent by weight of all fibers, in which ease the product will be a wool textile ; or (C) the product is a woven fabric in which wool equals or e-xceeds 36 percent by weight of all fibers, in which case the product will be a wool textile. (ii) Cotton textiles, if not covered by (i) and if the productis in chief weight of cotton, unless the product is a wov-en fabric in which wool equals or exceeds 36 percent by w-eight of all fibers, in which case the product will be a wool textile. (iii) Wool textiles, if neither of the foregoing applies, and t-he product is in chief weight of wool. (iv) Silk blend or non-cotton vegetable fibers textiles, if no-ne of the foregoing applies and the product is in chief w-eight of silk or non-cotton vegetable fibers,unless: (A) cotton with wool and/or man-made fibers in the aggregateequal or exceed 50 percent by weight of the component f- ibers thereof and the cotton component equals or exceeds the weight of each of the total wool and/or man-made fi- ber components, in which ease the product will be a cot- ton textile. (B) if not covered by (iv)(A) and wool exceeds 17 percent byweight of all component fibers, in which case the produ- ct will be considered a wool textile. (C) if not covered by (iv)(A) or (B) and man-made fibers incombination with cotton and/or wool in the aggregate eq- ual or exceed 50 percent by weight of the component fib- ers thereof and the man-made fiber component exceeds the weight of the total wool and/or cotton component, in wh- ich case the product will be considered a man-made fiber textile. (c) Notwithstanding the above, garments which contain 70 percentor more by weight silk (unless they also contain over 17 pe-rcent by weight wool), and products other than garments whi-ch contain 85 percent or more by weight silk, are not subje-ct to this Agreement. Silk blend and non-cotton vegetable f-iber sweaters, as determined above, shall be divided into "silk blend" sweaters and "non-cotton vegetable fiber" sweat-ers. For the purpose of this division, sweaters shall be cl-assified as "silk blend" if the silk component exceeds by w-eight the non-cotton vegetable fiber component (if any). Sw-eaters not classified as "silk blend" sweaters in accordancewith the foregoing shall be classified as "non-cotton veget-able fiber" sweaters. Garments containing 70 percent or moreby weight silk and over 17 percent by weight wool shall beclassified as wool textiles, under subparagraph (b) (iv) (B). (d) Coverage under this paragraph is intended to be identical w-ith the terms of Article 12 of the Arrangement regarding In-ternational Trade in Textiles and in conformance with parag-raph 24 of the July 31, 1986, Protocol of Extension. In theevent of a question regarding whether a product is coveredby this Agreement by virtue of being chief weight of cotton,wool, man-made fiber, silk blend or non-cotton vegetable fi-ber, the chief value of the fibers may be considered. Merged Categories 10. (a) The system of categories and the rates of conversion listedin Annex B hereto shall apply in implementing this agreement, except as provided for in paragraph 10 hereof. (b) For the purpose of this Agreement and with reference to theparticular circumstances of Taiwan's trade patterns with theUnited States of America, the categories and part-categoriesbelow are merged as indicated and treated as single categor-ies, with limits for categories and sub-categories as set o-ut in Annex A-1. Categories Merged Designation in Sub-categories the Agreement 225,317,326 225/317/326None 300,301,607 300/301/607300;310;607 369-L,670-L,870 369-LJ670-L1870None 613,614,615,617 613/4/5/7None 619,620 619/20 None 625,626,627 628,629 625/6/7/8/9None 333,334,335 333/4/5335 338,339 338/9None 347,348 347/8347-W/348-W 347-W,348-W 347/W/348-WNone 350,650 350/650None 352,652 352/652None 359-C,659-C 359-C/659-CNone 359-H,659-H 359-H/659-HNone 445,446 445/6None 447,448 447/8None 633,634,635 633/4/5633/4;635 638,639 63819None 645,646 645/6None 647,648 647/8647-W/648-W 647-W,648-W 647-W/648-WNone (c) For the purpose of this Agreement, the following categoriessummarized in Annex B are divided into part categories: CategoryDesignation in Description the Agreement 347 347-WM & B woven pants347 347-KM & B knit pants348 348-WW & G woven pants348 348-KW & G knit pants359 359-CCoveralls 359 359-HHeadwear 359 359-0Other 369 369-LLuggage 369 369-SShoptowels 369 369-0Other 647 647-WM & B woven pants647 647-KM & B knit pants648 648-WW & G woven pants648 648-KW & G knit pants659 659-CCoveralls 659 659-HHeadwear 659 659-SSwimwear 659 659-0Other 669 669-PPolypropylene bags 669 669-TTents 669 669-0Other 670 670-HHandbags 670 670-LLuggage 670 670-0Other (d) The following sub-limits shall be established: CategoryDesignation inDescription the Agreement 640 640-Y Shirts made of yarn-dyed fabric641 641-Y Blouses made of yam-dyed fabric347/348 347-W/348-W cotton trousers, pants and 647/648 647-W/648-W shorts made of woven fabric man-made fiber trousers, pants and shorts made of woven fabric (e) For the purpose of computing limits and charges to limits,the rates of conversion for individual categories set out inAnnex B shall be applied, except as stated below: CategoryConversion Factor 300/301/607 8.50 333/4/5 33.75 352/652 11.30 359-C/659-C 10.10 359-H/659-H 11.50 369-L/670-L/870 3.80 633/4 33.9 633/4/5 34.1 638/9 12.50 Implementation and Administration 11. (a) Changes in the implementation and interpretation of this Ag-reement (such as changes in practices, rules, procedures, c-ategorization, etc.) which have the effect of upsetting thebalance of rights and obligations between the parties, or w-hich affect the economic content of this parties, or whichaffect the economic content of this agreement, or which aff-ect the ability of either party to use or benefit fully fromthis Agreement, or which result in any disruption to tradeshall normally be avoided. The party initiating the relevantchange shall endeavor to consult prior to the time that suchaction may affect trade between Taiwan and the United Statesof America with a view toward making appropriate adjustmentsto this Agreement. Should consultation prior to implementat-ion not be feasible, both parties agree to consult at the r-equest of either party at the soonest possible date, with aview toward reaching a mutually satisfactory solution within30 days of the request. (b) Mutually satisfactory administrative arrangements or adjust-ments may be made to resolve minor problems arising in theimplementation of this Agreement, including differences inpoints of procedure or operation. (C) Exports from Taiwan in excess of authorized limits in any a-greement year may be denied entry into the United States ofAmerica. Any such shipments denied entry may be permitted e-ntry into the United States and charged to the applicable l-imit in the succeeding agreement year. (d) Exports from Taiwan in excess of authorized limits in any a-greement year will, if allowed entry into the United Statesof America during that agreement year, be charged to the ap-plicable limit in the succeeding Agreement year. (e) AIT will notify CCNAA as soon as possible of the amount ofcharges involved pursuant to sub-paragraph Il(d). (f) Any action taken pursuant to this paragraph will not prejud-ice the rights of either side regarding consultations. Visa System 12.The visa and certification system established by letters dat-ed April 18, 1991, and May 1, 1991, will remain in force sub-ject to paragraph 1l (b). Exchange of Information 13. (a) The two parties recognize that the successful implementationof this Agreement depends in large part upon mutual coopera-tion on statistical questions .AIT shall promptly supply CC-NAA with data on monthly imports of cotton, wool, man-madefiber, silk blend and other non-cotton vegetable fiber text-ile products from Taiwan. CCNAA shall promptly supply AIT w-ith pertinent data on anticipated exports in categories notsubject to specific limits and data on monthly exports of c-otton, wool, man-made fiber, silk blend and other non-cottonvegetable fiber textile products to the United States. (b) Each party agrees to supply promptly any other available st-atistical data necessary to the implementation of this Agre-ement requested by the other party. (c) AIT and CCNAA agree to supply to the other party informationwithin its possession reasonably believed to be necessary tothe enforcement of this Agreement. Spacing 14.CCNAA shall use its best efforts to space exports from Taiwanto the United States of America within each category or sub-category (or combination of categories) evenly throughout ea-ch agreement year, taking into consideration normal seasonalfactors. Equity and Extension of the Arrangement 15. (a) If, having regard to the provisions of the Arrangement (andany extension thereof), CCNAA considers that Taiwan is beingplaced in an inequitable position vis-a-vis a third party (including in relation to any matter concerning coverage und-er this Agreement), CCNAA may request consultations with AITwith a view to taking appropriate remedial action. AIT shallconsult with CCNAA in the event of such a request. (b) Either party may request consultations following any extens-ion of the Arrangement, with the objective of revising thisagreement to ensure conformity with the said extension shou-ld that, in either party's view, be necessary. (c) AIT and CCNAA agree to consult on the provisions of this ag-reement in the event that a new international regime for te-xtile trade is agreed after the scheduled expiration of the1986 protocol of extension to the Multifiber Arrangement onJuly 31, 1991, to conform this Agreement to the new regime.Termination 16.This Agreement may be terminated either by mutual consent ofthe two parties at any time, or by either party, effective atthe end of an agreement year, upon written notice to the oth-er party to be given at least 180 days prior to the end of s-uch agreement year. Rights 17.For the duration of this Agreement, AIT shall not invoke pro-cedures similar to that of Article 3 of the Arrangement to r-equest restraint on the export of cotton, wool, man-made fib-er, silk blend and other non-cotton vegetable fiber textileproducts from Taiwan to the United States of America. AIT andCCNAA reserve their rights to request consultations with res-pect to textiles and textile products not subject to this Ag-reement. Other Consultation Provisions 18.In addition to the consultation provisions elsewhere in thisAgreement, CCNAA and AIT agree to consult, at the request ofeither party, on any question arising in the application ofthis Agreement. 19.AIT and CCNAA shall, to the extent possible, provide each ot-her any necessary assistance to avoid circumvention of thisAgreement. This letter and your reply confirming the contents thereof onbehalf of CCNAA will constitute an Agreement between AIT andCCNAA governing trade in cotton, wool, man-made fiber, silkblend and other non-cotton vegetable fiber textile productsbetween Taiwan and the United States of America, which shallenter into force on the date of your reply with effect fromJanuary 1, 1992. Sincerely, [Signed] Natale H. Bellocchi Chairman of the Board and Managing Director ANNEX A-1 CURRENT QUOTA LIMITS METRIC 199019911992 CATEGORYUNITLIMIT LIMITLIMITGROUPISME 529,202,216 534,494,238539,839,180SUBGROUP ISME N/AN/A 126,048,101200 KG560,429 574,440588,801218 SME17,344,350 17,777,959 18,222,408219 SME12,754,806 13,073,676 13,400,518225/317/326 SME30,786,176 31,555,830 32,344,726226 SME 5,586,708 5,726,3765,869,535300/301/607 KGS 1,500,000 1,522,5001,545,338(300KGS 1,250,000 1,268,7501,287,781)(301KGS 1,250,000 1,268,7501,287,781)(607KGS 1,250,000 1,268,7501,287,781)313 SME60,942,149 61,551,570 62,167,086314 SME22,719,691 23,287,683 23,869,875315 SME17,409,072 17,844,299 18,290,406361 NOW 1,125,779 1,153,9231,182,771363 NOW11,612,973 11,671,038 11,729,393369-L/670-L/870 KGS41,000,000 41,820,000 42,656,400369-S KGS 463,876466,195 468,526604 KGS 200,167203,170 206,218644 SME 2,500,0002,562,500 2,626,563613/4/5/7 SME15,504,754 15,892,373 16,289,682619/20SME11,396,234 11,681,140 11,973,169625/6/7/8/9 SME14,829,192 15,199,922 15,579,920669-P KGS 269,590276,330 283,238669-T KGS 876,222 898,128920,581670-H KGS15,700,000 16,014,000 16,334,280ANNEX A-1 CURRENT QUOTA LIMITS CONTINUED METRIC19931994 1995 CATEGORYUNITLIMIT LIMITLIMITCROUPISME 545,237,572 550,689,948556,196,848SUBGROUPI SME 128,511,135 131,025,141133,591,270200 KG603,521 618,609634,074218 SME18,677,96819,144,917 19,623,540219 SME13,735,53114,078,919 14,430,892225/317/326 SME33,153,34433,982,178 34,831,732226 SME 6,016,273 6,166,6806,320,847300/301/607 KGS 1,568,518 1,592,0461,615,927(300KGS 1,307,098 1,326,704 1,346,605)(301KGS 1,307,098 1,326,704 1,346,605)(607KGS 1,307,098 1,326,704 1,346,605)313 SME62,788,75763,416,645 64,050,811314 SME24,466,62225,078,288 25,705,245315 SME18,747,66619,216,358 19,696,767361 NOW 1,212,340 1,242,6491,273,715363 NOW11,788,04011,846,980 11,906,215369-L/670-L/870 KGS43,509,52844,379,719 45,267,313369-S KGS 470,869 473,223475,589604 KGS 209,311 212,451215,638611 SME 692,227 2,759,5332,828,521613/4/5/7 SME16,696,92417,114,347 17,542,206619/20SME12,272,49812,579,310 12,893,793625/6/7/8/9 SME15,969,41816,368,653 16,777,870669-P KGS 290,319 297,577305,016669-T KGS 943,596 967,186991,366670-H KGS16,660,96616,994,185 17,334,069ANNEX A-1 CURRENT QUOTA LIMITS CONTINUED METRIC199019911992 CATEGORYUNITLIMIT LIMIT LIMIT GROUP IISME 791,383,399 799,297,233 755,000,000SUBGROUP II SME N/A N/A71,957,657237 DOZ 547,545 561,234 575,265239 KGS 5,000,000 5,075,000 5,151,125331 DPR 487,376 489,813 492,262333/4/5 DOZ 240,000 246,000 252,150(335DOZ 130,000 133,250136,581)336 DOZ93,28795,61998,009338/9 DOZ 695,275 705,704 716,290340 DOZ 1,110,000 1,111,110 1,112,221341 DOZ 325,000 326,625 328,258342 DOZ 203,029 204,044 205,064345 DOZ97,47399,910 102,408347/8 DOZ 1,059,633 1,064,931 2,339,931(347-W/348-W) DOZ N/A N/A1,064,931)350/650 DOZ 125,000 126,250 127,513351 DOZ 337,772 339,461 341,158352/652 DOZ 2,474,982 2,536,857 2,600,278359-H/659-H KGS 4,607,852 4,630,891 4,654,045359-C/659-C KGS 1,440,000 1,447,200 1,447,633433 DOZ13,93514,07414,215434 DOZ 9,674 9,771 9,869435 DOZ22,97623,20623,438436 DOZ 4,573 4,619 4,665438 DOZ25,82126,07926,340440 DOZ 5,000 5,050 5,101442 DOZ43,34743,39043,433443 NOS39,01439,40439,798444 NOS55,56356,11956,680445/6 DOZ 130,124 130,775 131,429447/8 DOZ19,04219,23219,424631 DPR 4,154,629 4,237,722 4,322,476633/4/5 DOZ 1,634,440 1,634,440 1,634,440(633/4DOZ 959,317 959,317959,317)(635DOZ 850,077 850,077850,077)636 DOZ 350,662 354,169 357,711638/9 DOZ 6,592,119 6,592,119 6,565,058640 DOZ 2,196,291 2,196,291 1,058,909(640-YDOZ 1,316,080 1,361,080281,710)641 DOZ 724,533 725,258 725,983(641-YDOZ 253,586 253,840254,094)642 DOZ 776,357 777,133 777,133643 NOS 464,282 468,925 473,614644 NOS 594,004 608,854 624,075645/6 DOZ 4,087,255 4,107,691 4,107,691647/8 DOZ 5,707,874 5,707,874 5,473,544(647-W/648-WDOZ N/A N/A 5,248,544651 DOZ 423,590 425,708 427,837659-S KGS 1,778,232 1,778,232 1,601,702835 DOZ N/A N/A16,400ANNEX A-1 CURRENT OUOTA LIMITS CONTINUED METRIC199319911992 CATEGORYUNITLIMIT LIMIT LIMIT GROUP IISME 755,000,000 755,000,000 755,000,000SUBGROUP II SME72,614,71473,280,66673,955,617237 DOZ 589,647 604,388 619,498239 KGS 5,228,392 5,306,818 5,386,420331 DPR 494,723 497,197 499,683333/4/5 DOZ 258,454 264,915 271,538(335DOZ 139,996 143,496147,083)336 DOZ 100,459 102,970 105,544338/9 DOZ 727,034 737,940 749,009340 DOZ 1,113,333 1,114,446 1,115,560341 DOZ 329,899 331,548 333,206342 DOZ 206,089 207,119 208,155345 DOZ 104,968 107,592 110,282347/8 DOZ 1,072,919 1,064,931 1,064,931(347-W/348-WDOZ 1,072,919 1,064,9311,064,931)350/650 DOZ 128,788 130,076 131,377351 DOZ 342,864 344,578 346,301352/652 DOZ 2,665,285 2,731,917 2,800,215359-H/659-H KGS 4,677,315 4,700,702 4,724,205359-C/659-C KGS 1,458,273 1,447,633 1,447,633433 DOZ14,35714,50114,646434 DOZ 9,96810,06810,169435 DOZ23,67223,90924,148436 DOZ 4,712 4,759 4,807438 DOZ26,60326,86927,138440 DOZ 5,152 5,204 5,256442 DOZ43,47643,51943,563443 NOS40,19640,59841,004444 NOS57,24757,81958,397445/6 DOZ 132,086 132,747 133,410447/8 DOZ19,61819,81420,012631 DPR 4,408,926 4,497,105 4,587,047633/4/5 DOZ 1,634,440 1,634,440 1,634,440(633/4DOZ 959,317 959,317959,317)(635DOZ 850,077 850,077 850,077636 DOZ 361,288 364,901 368,550638/9 DOZ 6,578,589 6,565,058 6,565,058640 DOZ 1,058,909 1,058,909 1,058,909(640-YDOZ 500,000 281,710 281,710641 DOZ 726,709 727,436 728,163(641-YDOZ 254,348 254,602254,857)642 DOZ 778,299 777,133 777,133643 NOS 478,350 483,134 487,965644 NOS 639,677 655,669 672,061645/6 DOZ 4,138,498 4,107,691 4,107,691647/8 DOZ 5,248,544 5,248,544 5,258,544(647-W/648-WDOZ 5,248,544 5,248,5445,258,544)651 DOZ 429,976 432,126 434,287659-S KGS 1,689,967 1,601,702 1,601,702835 DOZ16,81017,23017,661ANNEX A-1 CURRENT QUOTA LIMITS CONTINUED METRIC 199019911992 CATEGORYUNITLIMIT LIMIT LIMIT GROUP III 845 DOZ 844,434 845,278 846,123 METRIC 199419951996 CATEGORYUNITLIMIT LIMIT LIMIT GROUP III 845 DOZ 846,969 847,816 848,664 ANNEX A-2 PREVIOUS BUOTA LIMITS (Do not currently apply):** METRICPERCENT1992 CATEGORY UNITSWINGLIMIT GROUP IISME 1 807,290,205 347/8 DOZ 6 1,070,256 359-C/659-C KGS 7 1,454,436 633/4/5 DOS 1 1,634,440 (633/4DOS 1959,317) (635DOS 1850,077) 638/9 DOS 5 6,592,119 640 DOS 4 2,196,291 (640Y DOS 41,361,080) 642 DOS 7 777,910 645/6 DOS O 4,128,229 647/8 DOS 5 5,707,874 659-5 KGS 7 1,778,232 PREVIOUS QUOTA LIMITS (Do not currently apply) METRIC1992 19921992 CATEGORY UNIT LIMITLIMIT LIMIT GROUP IISME 815,366,107 823,516,738831,751,905347/8 DOZ 1,075,607 1,080,9851,086,390359-C/659-C KGS 1,461,708 1,469,0171,476,362633/4/5 DOS 1,634,440 1,634,4401,634,440(633/4DOS 959,317 959,317 959,317)(635DOS 850,077 850,077 850,077)638/9 DOS 6,592,119 6,592,1196,592,119640 DOS 2,196,291 2,196,2912,196,291(640/YDOS 1,361,080 1,361,0801,361,080642 DOS 778,688 779,467780,246645/6 DOS 4,148,870 4,169,6144,190,462647/8 DOS 5,707,874 5,707,8745,707,874659-S KGS 1,778,232 1,778,2321,778,232** According to exchange of letters dated August 21, 1990 and S-eptember 28, 1990, the levels in Annex A-2 were agreed. Theydo not currently apply. Based on subsequent discussions, thelimits agreed in the 1990 exchange of notes were modified andthe current limits are set out in Annex A-i. We have includedthe previous limits, growth rates, and swing rates in Annex A-2 for referencepurposes for possible restoration under para-graph 4. Annex B Categories numbered in the : 200 series are of cotton and/or man-made fiber, 900 series are ofcotton, 400 series are of wool, 600 series are of man-made fiber, and 800 series of silk blend and/or other non-cotton vegetable fibe-rs. Cat- DescriptionConversion Unego-Factor toitrySquare MetersYarn 200Yarns put up for retail6.6Kgsale & sewing thread 6.5Kg201Specialty yarns8.5Kg300Carded cotton, yarns 8.5Kg301Combed cotton, yarns 3.7Kg400Wool yarn 600Textured filament yarns, 6.5KgMMF 603Yarn containing 85 percent or more by weight artificial 6.3Kgstaple fiber 604Yam containing 85 percent or more by weight synthetic7.6Kgstaple fiber 606Non-textured filament yarns, 20.1 KgMMF 607Other staple fiber yarn, 6.5KgMMF8.5Kg800Silk blends t non-cotton vegetable fiber yarns Fabric 218of yarns of different colors 1.0M2219Duck 1.0M2220Fabric of special weave1.0M2222Knit fabric12.3 Kg223Non-woven fabric 14.0 Kg224Pile & tufted fabric 1.0M2 225Blue denim 1.0M2226Cheesecloth, batistes, lawns, or voiles1.0M2227Oxford cloth 1.0M2229Special purpose fabric 13.6 Kg313Sheeting 1.0M2314Poplin L broadcloth1.0M2315Printcloth 1.0M2317Twills 1.0M2326Sateens1.0M2410Woven wool fabrics 1.0M2414Other wool fabrics 2.8Kg611Woven fabric containing 85 percent or more by weight artificial staple1.0M2613Sheeting 1.0M2614Poplin L broadcloth1.0M2615Printcloth 1.0M2617Twills & sateens 1.0M2 618Woven artificial filament fabric 1.0M2619Polyester filament fabric, weighing not more than 170 grams per square meter 1.0M2620Other synthetic1.0M2filament fabric 621Impression fabric14.4 Kg622Glass fiber fabric 1.0M2624Woven man-made fiber fabric, containing more than 15 percent but less than 36 percent wool1.0M2Staple/filament combination: 625Poplin & broadcloth1.0M2 626Printcloth 1.0M2627Sheeting 1.0M2628Twills L sateens 1.0M2629Other MMF1.0M2810Woven fabric of silk blends or non-cotton vegetable fiber1.0M2Apparel 237Playsuits, sunsuits, etc.19.2 DOZ239Infants' wear 6.3Kg330Handkerchiefs 1.4 DOZ331Gloves L mittens2.9DP332Hosiery 3.8 DPR333M & B suit-type coats30.3 334Other M L B coats34.5 Doz335W&Gcoats 34.5 Doz336Dresses37.9 Doz338M & B knit shirts 6.0 Doz339W g, G knit shirts & blouses6.0 Doz340M & B shirts, not knit 20.1 Doz341W g,G shirts & blouses, not knit12.1 Doz342Skirts 14.9 Doz345Sweaters 30.8 Doz347Mg, Btrousers, slacks, & shorts 14.9 Doz348Wg, Gtrousers, slacks, & shorts 14.9 Doz349Brassieres L other body- supporting garments 4.0 Doz350Dressing gowns, robes, etc.42.6 Doz351Nightwear & pajamas43.5 Doz352Underwear 9.2 Doz353M & B down-filled coats34.5 Doz354W & G down-filled coats34.5 Doz359Other cotton apparel8.5 Kg431Gloves & mittens1.8 Dpr432Hosiery 2.3 Dpr433M & B suit-type coats30.1 Doz434Other M BE B coats 45.1 Doz435W & G coats45.1 Doz436Dresses41.1 Doz438Knit shirts & blouses12.5 Doz439Infants' wear 6.3 Kg440Shirts & blouses, not knit 20.1 Doz442Skirts 15.0 Doz443M & B suits3.76 Nos444W&Gsuits 3.76 Nos445M&B sweaters 12.4 Doz446W&Gsweaters12.4 Doz447M&B trousers, slacks g, shorts15.0 Doz448W&G trousers, slacks g, shorts15.0 Doz459Other wool apparel3.7 Kg630Handkerchiefs 1.4 Doz631Gloves & mittens2.9 Dpr632Hosiery 3.8 Dpr633M & B suit-type coats30.3 Doz634Other M & B coats34.5 Doz635Wg, Gcoats 34.5 Doz636Dresses37.9 Doz638M & B knit shirts15.0 Doz639W & G knit shirts & blouses12.5 Doz 640M & B shirts, not knit 20.1 Doz641W & G shirts & blouses, not knit 12.1 Doz642Skirts 14.9 Doz643M&B suits3.76 Nos644WLGsuits 3.76 Nos645M&Bsweaters30.8 Doz646WCGsweaters30.8 Doz647M&B trousers, slacks, & shorts 14.9 Doz648W & G trousers, slacks, & shorts 14.9 Doz649Brassieres & body supporting garments 4.0 Doz650Dressing gowns, robes, etc.42.6 Doz651Nightwear & pajamas43.5 Doz652Underwear13.4 Doz653M & B down-filled coats34.5 Doz654W & G Down-filled coats34.5 Doz659Other MMF apparel14.4 Kg831Gloves & mittens2.9 Dpr832Hosiery 3.8 Dpr833M & B suit-type coats30.3 Doz834Other M & B coats & jackets34.5 Doz 835W & Gcoats &jackets34.5 Doz 836Dresses37.9 Doz838Knit shirts, blouses & tepe11.7 Doz839Infants' wear 6.3 Kg840Not knit shirts & blouses16.7 Doz842Skirts 14.9 Doz843M&B suits3.76 Nos844W&Gsuits 3.76 Nos845Sweaters of non-cotton vegetable fibers30.8 Doz846Sweaters of silk blend 30.8 Doz847Trousers, shorts 14.9 Doz85DDressing gowns & robes, etc. 42.6 Doz851Nightwear & pajamas43.5 Doz852Underwear11.3 Doz858Neckwear6.6 Kg859Other apparel12.5 KgMade-Up & Miscellaneous Textiles 360Pillowcases 0.9 Nos361Sheets5.2 Nos362Bedspread & quilts5.8 Nos363Teny & other pile towels0.4 Nos369Other cotton manufactures 8.5 Kg464Blankets2.4 Kg465Floor Coverings 1.0 M2469Other wool manufactures 3.7 Kg665Floor coverings 1.0 M2666Other MMF furnishings14.4 Kg669Other man-made fiber manufactures 14.4 Kg670FLat goods, handbags, luggage3.7Kg863Towels 0.4Nos870Luggage3.7Kg871Handbags & Flatgoods 3.7Kg 899Other silk and non-cotton vegetable fiber manufacturers11.1 KgANNEX C EXEMPT PRODUCTS REQUIRING EXEMPT CERTIFICATION 1.Pincushions 2.Embroideries (needle work), of man-made fibers with designs e-mbroidered with wool thread. 3.Handmade carpets, i.e. in which the pile was inserted or knot-ted by hand. 4.Christmas or Easter ornaments having a non-textile core or anon-text Frame and man-made fiber textile covering. 5.Martial Arts uniforms, such as Kung Fu, Karate, and Judo unif-orms. 6.Toy(novelty)animals, birds or insects with a plastic, wire orother non-textile core that are cover or decorated with texti-le thread or fiber. 7.Traditional Chinese caps 8.Traditional Chinese garments Jackets-three-quarter length or shorter, of woven fabrics, us-ually with Chinese figures in the weave, but may be plain/wov-en otherwise figured or printed. They have a low Mandarin col-lar, long sleeves and full frontal openings, with 'frog' typeclosures (looped fastenings made of braid, cording, etc., usedwith a matching knot or toggle of the same material. Fur or imitation fur-lined jackets which may or may not be re-versible and are otherwise identical in appearance and constr-uction with the jackets described above. Vests-sleeveless garments extending from the neck area to wai-st with or without pockets at the waist. They are otherwise i-dentical in appearance and construction with the jackets desc-ribed above. EC-82-040 June 24, 1993 Ambassador Natale H. Belocchi Chairman of the Board and Managing Director American Institute in Taiwan 1700 N. Moore Street, #1700 Arlington, VA 22209 Dear Mr. Ambassador: I refer to your letter of June 4, 1993 proposing a new textileagreement between AIT and CCNAA. The agreement will supersede t-he Agreement effected by exchange of letters dated December 1 a-nd December 11, 1992 which governs trade in cotton, wool, man-m-ade fiber, silk blend and other non-cotton vegetable fiber text-ile products between the territory represented by AIT and the t-erritory represented by CCNAA. I have been instructed by the appropriate authorities of my gov-ernment to advise that we agree to the contents of the above-me-ntioned new textile agreement and that your letter and this let-ter of reply shall constitute an Agreement between AIT and CCNAAfor the period from January 1, 1990 through December 31, 1995.Sincerely, [Signed] Mou-Shih Ding Representative