April 1, 1983

To the Congress of the United States:

In accordance with Section 203(b)(1) of the Trade Act of 1974, I am reporting to the Congress on my decision concerning imports of heavyweight motorcycles (engines over 700 cc). I have decided to impose the import relief recommended by the U.S. International Trade Commission (USITC) with one modification. The USITC remedy involves the imposition of incremental tariffs beginning with 45 percent ad valorem above the current rate and declining to 35, 20, 15, and 10 percent in subsequent years above the scheduled tariffs.

I have determined that import relief in this case is consistent with our national economic interest. The domestic industry is threatened by serious injury because of increased imports. I have maintained that I would enforce our trade laws where necessary and where such actions are consistent with our international obligations.

It is necessary to modify the USITC remedy to enable small volume foreign producers that are not a cause of threat of injury to the U.S. industry to have continued access to U.S. markets. I therefore will proclaim tariff-rate quotas for imports of heavyweight motorcycles of 5,000 units (increasing yearly to 6,000, 7,000, 8,500, and 10,000) for imports from the Federal Republic of Germany, and a total of 4,000 units (increasing by 1,000 yearly) for imports from all other countries except Japan. In order to treat Japan fairly, I will also proclaim a tariff-rate quota of 6,000 units (increasing by 1,000 yearly) for imports from Japan.

Ronald Reagan

The White House,

April 1, 1983.