IN ACCORDANCE with the requirements of section 502(a)(2) of the Trade Act of 1974, I herewith notify the House of Representatives/Senate of my intention to withdraw the designation of Laos as a beneficiary developing country for purposes of the Generalized System of Preferences by amending Executive Order No. 11888 of November 24, 1975.
The considerations which entered into my decision were based upon the provisions of section 504(b) and 502(b)(1) of the Trade Act. Section 504(b) of that Act states:
"The President shall, after complying with the requirements of section 502 (a)(2), withdraw or suspend the designation of any country as a beneficiary developing country if, after such designation, he determines that as the result of changed circumstances such country would be barred from designation as a beneficiary developing country under section 502(b)...."
Section 502(b) (1) states that:
"... the President shall not designate any country a beneficiary developing country under this section--if such country is a Communist country, unless (A) the products of such country receive nondiscriminatory treatment, (B) such country is a contracting party to the General Agreement on Tariffs and Trade and a member of the International Monetary Fund, and (c) such country is not dominated or controlled by international communism .... "
As a result of changed circumstances, Laos would be barred from designation as a beneficiary developing country under section 502(b)(1), quoted above.
A diplomatic note is being prepared for delivery to the Government of Laos on or about the same date as that of the delivery of this letter, notifying that Government of my intention to terminate the country's beneficiary status, together with the considerations entering into my decision, as required by section 502(a) (2) of the Trade Act.
GERALD R. FORD